A federal poverty reduction strategy for Canada

CPJ’s Envisioning Canada Without Poverty campaign has ended. We thank CPJ members and supporters for contacting their MPs and sharing the important message that poverty must be addressed. Thanks to you, the campaign was a success. For new opportunities to get involved in the fight against poverty, check out CPJ’s new campaign: Dignity for All.

What is a poverty reduction strategy?

Poverty reduction strategies have been used successfully in other countries to combat poverty. In 2007, the National Council of Welfare released Solving Poverty: Four Cornerstones of a Workable National Strategy for Canada, a report that identified key components of successful anti-poverty strategies. The four cornerstones they identified are: a national strategy with measurable targets and timelines, an action plan and budget that cut across and within governments, mechanisms of accountability and agreed-upon poverty indicators that can monitor progress. This strategy, or framework, is important in demonstrating the commitment and providing the accountability for the fight against poverty. Various policy aspects can then be adopted within this strategy.

1. A strategy with a long-term vision and measurable targets and timelines.
   In order to be successful, a strategy needs a clear goal. Some European countries have committed to specific thresholds – reducing poverty by 25% in 5 years, for example. In Canada, Quebec has set its goal as having one of the lowest poverty rates among industrialized countries by 2013. Newfoundland and Labrador are aiming to be the Canadian province with the lowest level of poverty by 2016.

   The long-term vision serves as a guiding purpose and commitment for the strategy, directing policy effort and providing a benchmark for accountability. It is an important symbolic statement that the government is committed to eliminating poverty, but also a clear target for policy efforts.

   Putting a timeline on the vision is necessary for accountability and to measure progress. But it also recognizes that it may take some time to develop a wide-range of policies that will have the full impact expected. The timeline should not be an excuse to delay action, but should provide space to consult with the public over what works and what doesn’t, what is missing and what could be expanded.

   As well as a long-term vision, a poverty reduction strategy should include a series of intermediate targets. These could focus on particular areas of poverty and well-being, such as affordable housing or access to literacy programs. Or they could be aimed at populations that are particularly vulnerable to poverty, such as aboriginals, newcomers or single parents. The targets should be measurable, ambitious, but achievable.

2. A plan of action and budget that coordinates initiatives within and across governments and other partners.
   Because poverty is complex and multi-faceted, it can’t be dealt with by one federal government department alone. In fact, many ministers and departments will need to be involved, from Finance to Human Resources and Social Development, from Health to Indian and Northern Affairs. Departments will have to work together, as will Cabinet, to ensure that priorities are identified and policy efforts are coordinated and achieved. Otherwise, programs with different goals can have unintended consequences on each other.

   Within Canada’s federal structure, levels of government will also need to communicate and collaborate. As some of Canada’s provinces already have poverty reduction strategies, the federal government will need to work with them to ensure a national plan is supportive of these provincial efforts.

   The federal government’s budget is the strongest statement of its values and priorities. Making poverty reduction a genuine priority must include budgetary initiatives. Some of the financial commitments will be permanent, others will be short-term. Over time, as poverty decreases, the federal government will spend less money on dealing with the symptoms of poverty in health and other costs.

3. Accountability structures for ensuring results and for consulting Canadians.
   Good poverty reduction strategies begin on the ground, talking to Canadians about what their needs and priorities are. People living in poverty are the real experts on poverty. They are the ones whose lives will be most affected by what is or is not done. Consultations also help to bring onside other sectors of society, including voluntary and non-profit organizations that assist and advocate on behalf of the poor, community groups and businesses.

   Mechanisms to ensure ongoing accountability are also important. It isn’t enough for targets to be measurable; someone must actually measure how we’re doing and publicly report on progress. This will allow citizens to keep their elected officials accountable for how they deliver on their commitments. Accountability does not need to be practiced in only one way; several mechanisms are probably a good way to ensure everyone is involved and invested.

4. A set of agreed upon poverty indicators that will be used to plan, monitor change and assess progress.
   It’s hard to know how you’re progressing if you don’t know what you’re measuring or working to change. Canada has no official definition of poverty, but we do have a number of poverty indicators that could be used to give a richer, fuller understanding of how poverty manifests itself in Canada. These poverty indicators can also be used to track where poverty is located, the depth of poverty, and the most significant challenges confronting Canadians living in poverty. More specific, localized poverty indicators and indicators of well-being can also be developed while the plan is in process. Action on poverty shouldn’t be delayed while poverty indicators are worked out, however. We can start making an immediate impact on poverty and follow up this action with real and accurate measurements of success.