Manitoba 2026 Poverty Report Card

Manitoba’s current government has been in power since 2023. It has positioned itself around a clear narrative of rebuilding public services, stable leadership, and reconciliation. The overall political climate is stable but performance sensitive. The government’s credibility in 2025–26 will hinge on visible improvements in access to health care and cost-of-living relief.  

In 2026, Manitoba released a renewed five-year poverty reduction strategy, Pathways Forward: Manitoba’s Poverty Reduction Strategy — Heart Medicine for Communities, under the Poverty Reduction Strategy Act, which mandates a renewed strategy every five years. The strategy prioritizes three life-stage groups — children aged zero to five (including the prenatal period), youth exiting the child-welfare system, and seniors — and was informed by more than 3,000 consultations with residents, Indigenous organizations, advocates, service providers, people with lived experience, and business stakeholders. It outlines recommended actions such as increasing Employment and Income Assistance (EIA) earning exemptions, indexing Rent Assist and Manitoba Supports for Persons with Disabilities (MSPD), doubling the prenatal benefit, and legislating universal school nutrition. A whole-of-government approach is embedded through coordinated governance structures, including the Poverty Reduction Committee of Cabinet, a deputy ministers’ table, and an interdepartmental action table.  

The strategy has received mixed reviews from community organizations and stakeholders:  

• Rural organizations say the strategy does not adequately address the realities of living in rural areas, including access to transportation, housing costs, and reliance on volunteer-led supports.  
• Advocacy groups argue the strategy lacks immediate, substantial financial measures — particularly increases to frozen EIA rates — and does not propose broader income support reforms.  
• Labour advocates highlight the absence of a commitment to a living wage or a minimum wage tied to the cost of living as a key gap.  
• Critics have pointed out that the focus on three life-stage groups excludes other populations — especially working-age adults and school-age children — who also face significant poverty.  

Manitoba’s Budget 2026, Good Jobs. Lower Costs. Better Health Care, projects a 2026–27 deficit of $498 million on $26.82 billion in revenue and $27.318 billion in expenses. This marks a notable narrowing from the previous year, driven by a 7.0% revenue increase and improved income for Manitoba Hydro. The net debt-to-GDP ratio is projected at 38.2%, and the government maintains it is on a path to balance by the end of its first term.

Despite measures that were welcomed in Budget 2026, such as new affordability and income support measures, key gaps remain. Budget 2026 does not increase core EIA benefit rates or move beyond the existing CPI-indexed minimum wage formula. Unlike tax credits and brackets, social assistance programs remain unindexed to inflation, even as tax credits and brackets are indexed. Advocacy organizations, including Make Poverty History Manitoba and the Canadian Centre for Policy Alternatives, have consistently called for meaningful increases to the EIA, noting that current rates leave recipients well below the poverty line. Neither the poverty reduction strategy nor the budget includes commitments to raise EIA rates.  

Some incremental changes have been made. For example, as of August 2025, the EIA earned income exemption allows recipients to earn up to $500 per month without clawbacks, but there is a 70% clawback on additional earnings. Manitoba’s minimum wage rose modestly to $16.00 from $15.80 per hour in October. The increase reflects inflation but still leaves the minimum wage below widely cited living wage thresholds.  

Recent rent regulation reforms strengthen tenant protections and limit excessive increases, building on 2025 legislative changes that restrict large rent increases. While these measures may help moderate housing costs, they do not fully address affordability pressures. Similarly, while the strategy commits to indexing Rent Assist, the indexing will not close the gap between current benefit levels and actual market rents, particularly outside Winnipeg.  

Overall, Manitoba’s approach reflects a combination of targeted affordability measures and incremental system improvements, but stops short of structural income reforms.  

Affordability 

Create a comprehensive, province-wide food-security strategy. 

Manitoba should develop and implement a comprehensive food-security strategy to address rising food insecurity and complement its poverty reduction strategy. This work would require full provincial leadership and collaboration with community organizations, Indigenous governments, non-profits, and private sector partners to ensure meaningful, long-term impact. 

Enhance and expand rental assistance. 

Manitoba’s Rent Assist program provides flexible support in a tight housing market, but benefit levels and eligibility thresholds have not kept pace with rising housing costs. Since 2015, average rents in the province have increased by 20% while Rent Assist eligibility has increased by only 4%. To address this gap, Manitoba should raise all eligibility thresholds by 20%, index them to inflation, and consider increasing the benefit to cover at least 80% of median rent. These changes would ensure that households with low incomes, including people who are working but struggling to make ends meet, can access adequate housing support. 

Income Security 

Expand earnings exemptions and strengthen the Rewarding Work Allowance. 
Under Manitoba’s Employment and Income Assistance (EIA) Program, recipients may exempt the first $200 earned and retain 30% of their earnings beyond that amount — equivalent to a 70% clawback. This structure discourages labour force participation. Increasing the earnings exemption to 55% would allow recipients to retain more of each dollar they earn and strengthen their incentive to work. Additionally, Manitoba should consider increasing the Rewarding Work Allowance by 50%, from $100 to $150 monthly for full time workers and from $50 to $75 for part time workers, to better support individuals who are moving into stable employment. 

Labour Market Reform 

Develop a youth employment and training strategy to increase youth participation in work and education by 25% by 2030. Manitoba has a relatively high proportion of youth who are not engaged in employment or education, placing many at heightened risk of long-term poverty. The provincial government should establish an expert panel to design a youth employment and training strategy within six months, with legislated objectives incorporated into the broader poverty reduction strategy. The short-term goal should be to increase youth participation in work and education by 25%, supported by targeted investments in training, supports, and pathways to employment.

Addressing Inequities 

Strengthen efforts to address food insecurity in northern Manitoba. 
Food-insecurity rates in northern Manitoba far exceed national averages. Addressing this will require a comprehensive, multi government approach focused on increasing local food production, improving transportation and storage infrastructure, supporting Indigenous led food sovereignty initiatives, and fostering economic development in northern communities.