Thank you, Mr. Chair, for inviting me to contribute to the important HUMA committee study on the Government of Canada's main estimates for the 2019-20 fiscal year. I'd like to thank and congratulate all members of this committee. As a number of you know, it was a committee I served on. I really appreciate the very important work you do and your passion for the work here.
As my colleague the honourable Jean-Yves Duclos, Minister of Families, Children and Social Development clearly explained a few minutes ago, ESDC has made investments to fulfill its mandate to Canadians—very significant investments that have changed the lives of many Canadians. I also want to mention the appearances of my colleagues Minister Hajdu and Minister Qualtrough before this very committee a number of days ago.
The purpose of my appearance today as Minister of Seniors is to speak about this year's main estimates, as well as to provide some clarifications on what the Government of Canada plans to do for seniors. All of you on this committee know that the seniors population is growing. It's estimated that by 2036 seniors will represent one-quarter of Canada's population—25%. We know we have to act now. We have to prepare now. We have to implement programs and put them in place to ensure that the needs of our seniors are met, and also to create opportunities so that seniors can be conscientious contributors to communities and be actively engaged and involved.
We recognize that the Parliament of Canada has the power to do this, but also we want to acknowledge that we have a duty to do this.
In this year's main estimates, you'll notice that there is an increase of $2.5 billion to the old age security pension and the guaranteed income supplement. This is due to the changes in the average monthly rates and in the increasing number of recipients. This will continue to help support middle-class Canadians and those working hard to join, especially the ones among the seniors population.
I am working very closely with my cabinet colleagues to develop innovative initiatives to ensure that our seniors can have an active and healthy retirement. I want to assure you that I'm also working with our provincial and territorial partners. In fact, I'm looking forward to the next FPT meeting, which will be taking place next week.
If there's a file that overlaps and requires a collaborative approach, it's absolutely this one. I look forward to the contributions of all to ensure that, as we work hard for our seniors, they are going to get the supports that they need and that they deserve.
The government has already implemented a number of measures to improve the quality of life for seniors. First, we restored the age of eligibility of the OAS and GIS from 67 to 65. This measure has prevented 100,000 seniors from going into poverty. We also increased the guaranteed income supplement for the most vulnerable seniors. This has lifted 57,000 seniors out of poverty and has had a positive impact on 900,000 seniors in this country. We've also improved the Canada pension plan so that future retirees all across Canada can enjoy a more secure retirement and have more money in their pockets. It ultimately will result in an increase of up to 50% in CPP earnings. I recognize that this isn't for our present seniors population, but I believe it's critical that we look to the future and prepare for seniors of the future. This measure is going to make a great difference in the lives of our future seniors.
We recognize that income security is very important for our seniors. That's why we have made these investments. In addition, the Government of Canada is preparing to make further investments to ensure the financial security of retirement-age seniors. One measure that I will address is in budget 2019, which proposes to improve the earnings exemption in the guaranteed income supplement. The current exemption sits at $3,500 a year. What we are proposing in budget 2019 is to increase this exemption from $3,500 to $5,000, and then 50% of the next $10,000 is eligible. Finally, a very important measure is to also include, for the first time, seniors who are self-employed. This is going to keep the hard-earned money of seniors in their pockets, and I think it will also combat ageism.
We recognize the contributions that seniors make to our communities and our workforce. If seniors want to continue working, then we want to incentivize them to do that because we know that we all benefit from their experience, their wisdom and their knowledge.
This is a very significant measure in the budget that I'm very happy about.
Budget 2019 also proposes legislative changes to the CPP that will ensure that Canadian retirees receive the full value of their pensions. We're proposing that, in 2020, we will proactively enrol and register Canadians who are entitled to CPP at the age of 70 if those individuals have not applied. It's interesting that there are a number of Canadians who are entitled to CPP and just don't have knowledge of it. It's estimated there are 40,000 people in Canada who are entitled to this benefit. If seniors are entitled to benefits we absolutely want to ensure that they receive them. This is another measure to make that happen.
In addition to the income security piece, we also know that the health and well-being of seniors is extremely important. I've had the opportunity to travel and engage with seniors across the country, as well as family members and organizations that work with and for seniors. This has been a real honour and a privilege. One of the issues that comes up repeatedly is the issue of social isolation. This is concerning to our government, so we are taking action.
In budget 2019, we are proposing a very significant increase to the new horizons for seniors program. That's an increase of $100 million over five years. It's $20 million, and then after that it's $20 million per year. This investment actually represents a 40% increase in the new horizons for seniors program. This is going to help support programs that are being offered across this country—both community-based and pan-Canadian. The community-based projects have goals that specifically help combat isolation, elder abuse and elder fraud, which we know are important to combat. They will encourage and promote mentoring and volunteering and provide infrastructure investments to help provide safe and secure spaces for seniors to gather.
As I've said, I've actually had the opportunity in my travels to visit programs that are taking place across the country. When I do that and engage with the seniors who are benefiting from those programs, I can tell you that these investment dollars are second to none. They are really making a difference in the lives of seniors.
I've seen some of what these measures have resulted in. For example, I've seen seniors centres that are able to purchase new equipment and provide exercise, yoga and mindfulness classes, which is something I strongly support and see great value in. They're offering intergenerational activities—that's so important—and providing valuable awareness education and training about elder abuse and elder fraud.
Those are some of the goals that these investment dollars will help us achieve.
In addition to this, we know that most seniors—not all seniors, but the majority of seniors—want to age in place. In this regard, our government has invested $6 billion in home care and palliative care, so that seniors can stay in their communities if they want to. These transfers, of course, are going to the provinces and the territories; it's the provinces and the territories that will determine how those dollars are spent. The idea is that if a senior wishes to age in place, we want to give them the support to do that.
Budget 2019 also strengthens this initiative through an investment of $35 million in the assisted living program. This investment will help first nation seniors and people with disabilities retain their autonomy and stay at home in their communities near their families. Budget 2019 also proposes an $8.5 million investment in the development of a long-term care strategy for first nations and Inuit.
Mr. Chair and members of the committee, it's clear that the 2019-20 estimates represent a significant step forward for those who built this country. We are proud of what we have accomplished as a government and optimistic for the future of Canada's seniors. I can assure you today that we will continue to work tirelessly to implement measures to improve the quality of life of seniors.
I thank you once again for giving me the opportunity to appear before you today. I know Minister Duclos and I are now available to answer questions.