Federal Budget 2021: The need for a long-term federal commitment for sustainable health care services

Federal Budget 2021: The need for a long-term federal commitment for sustainable health care services

OTTAWA, March 25, 2021 – Canada’s Premiers¹ welcome today’s announcement of additional federal funding to assist provinces and territories in covering some of the extraordinary costs associated with the COVID-19 pandemic.

Short-term funding, while useful, does not, however, enable provinces and territories to address the long-term health care needs of Canadians. An immediate long-term funding commitment by the federal government, delivered through the Canada Health Transfer (CHT), is critical to address the structural cost drivers faced by all provincial and territorial health care systems, secure the sustainability of Canada’s health care systems, and ensure Canadians have timely access to quality health services wherever they live in Canada.

With April 19^th set as the date for the 2021-22 federal budget, Premiers once again call on the federal government to increase its current share of provincial and territorial health costs from 22% to 35% and to maintain this share over time. A 35% share represents a $28 billion increase to the CHT in the next fiscal year.

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“We can’t afford to wait until after the pandemic to address this issue. We can continue to manage the pandemic, while addressing the future sustainability of our health care systems. The next federal budget must reflect the federal government’s commitment to long-term, sustainable funding for health care through the CHT.”

– François Legault, Chair of the Council of the Federation and Premier of Québec.

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¹Newfoundland and Labrador and Yukon are operating in a caretaker period due to general elections and are unable to participate.