Studies on the Registered Education Savings Plan (RESP) show that while it is open for all Canadians, higher-income families receive a disproportionately larger share of the benefits.
Federal audits indicate that the CESG structure inherently favors those with disposable income. Because the grant is a "matching" program, the majority of expenditures benefit higher-income families who can afford the contributions required to trigger the maximum grant (Employment and Social Development Canada [ESDC], 2024).
Families in the top 20% of income earners are more than twice as likely to have an RESP as those in the bottom 20%. According to a 2019 study, high-income families held an average of $22,052 in RESP assets, while those in the bottom quintile held only $3,295 (Frenette, 2022).
Employment and Social Development Canada. (2024). Canada Education Savings Program: Annual statistical review 2022. Government of Canada. www.canada.ca
Frenette, M. (2022). Registered Education Savings Plan investments by family income, immigrant status, Indigenous identity, and province. (Catalogue No. 36-28-0001). Statistics Canada. www150.statcan.gc.ca
After nearly 17 years of implementation and outreach, participation gaps remain significant. The official non-participation rate in the CLB stands at 58.1%, compared with a 45% non-participation rate in RESPs among Canadian families overall. (Robson, 2022).
Robson, J. (2022). Policy Forum: Does non-filing hinder access to the Canada Learning Bond for low-income families? Canadian Tax Journal, 70(3), 615-626..
The Canada Learning Bond (CLB) requires no personal contribution, yet only 43.4% of eligible children received it as of 2024 (ESDC, 2024). While automatic enrolment will help children born in 2024 or later, many eligible children born earlier may still miss out unless caregivers take action.
Employment and Social Development Canada. (2024). Canada Education Savings Program: 2024 Annual statistical review. Government of Canada. www.canada.ca
According to the Canadian Centre for Policy Alternatives, 22.7% of children in Nova Scotia live in poverty, with even higher rates among young children and single-parent families. When families struggle to meet basic needs, saving for post-secondary education becomes nearly impossible—highlighting the urgent need to strengthen RESP contributions for children who need opportunity the most.
Canadian Centre for Policy Alternatives. (2025). 2025 report card on child and family poverty in Nova Scotia. https://www.policyalternatives.ca/news-research/2025-report-card-on-child-and-family-poverty-in-nova-scotia/
