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Toronto Approves Pilot for Four City-Run Grocery Stores

A staff report due April 22 will test if a nonprofit, city-operated model can deliver real savings without large subsidies.

Overview

  • City council passed the pilot in a 21–3 vote, with councillors Brad Bradford, Jon Burnside and Stephen Holyday opposed.
  • The plan calls for four nonprofit stores, one in each community council district, with sites prioritized for lower-income areas that lack full-service grocers.
  • The stores aim to sell essentials at lower prices by removing retail markups and using city tools such as waived property taxes, development charges and other fees.
  • The Daily Bread Food Bank supports exploring the idea but notes grocery margins are only 3–5%, which could cap savings at about $40–$73 per household each month before operating costs.
  • Community health leaders say easier access to affordable, nutritious food could cut reliance on food banks and reduce future health strain, with implementation measures set to be presented by the city manager on April 22.