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Budget signals lower increases to health transfers, end of funding deals

The federal budget restricts health transfer growth to 3% annually after 2028, despite inflation and aging population driving higher real health-care costs, experts said.

  • Mostafa Askari said the federal budget 'signal' indicates there is no room for premiers to negotiate more health funding, as transfers and payments will not change.
  • To meet its fiscal target, Ottawa set the escalator to a minimum of three per cent annually based on a rolling three-year average of nominal GDP growth, Askari said.
  • Expiring agreements will remove targeted dollars for provinces and territories, including $1.2 billion for home care, mental health, and addictions, and a $600 million transfer for long-term care, the Canadian Health Coalition said.
  • Analysts warn provinces will face a shrinking federal share as the Canadian Union of Public Employees said funding will decrease in five years and Steven Staples said Ottawa will do the 'absolute minimum' on health care.
  • Don Drummond warned premiers may want to brace for what comes next and recalled the 1995 cuts as federal governments carve out infrastructure money for health infrastructure and dental plan.
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Budget signals lower increases to health transfers, end of funding deals

The federal budget signals there is no room for the premiers to negotiate for more health-care funding in coming years, one economist says, as the Ontario government calls for that to change.

·Canada
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OTTAWA—The federal budget does not provide for room for provincial premiers to negotiate more funding for health care in the coming years, according to an economist. The Canada Health Transfer is expected to rise to $54.7 billion in 2025-2026, and then increase by 5% per year until 2028. Subsequently, the budget provides for a minimum increase of 3% per year, calculated on the basis of the three-year moving average of nominal GDP growth. "It see…

·Richelieu, Canada
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The Ankatso esplanade once again served as a rallying point for medical interns, students, exiters and health workers yesterday. After their gathering, the strikers marched to the Ministry of Public Health in Ambohidahy, before continuing their mobilization before the National Assembly in Tsimbazaza to try to make their voice heard. The demonstrators denounce the lack of a concrete response to their demands made for several months. Their main de…

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The Hamilton Spectator broke the news in Hamilton, Canada on Tuesday, November 11, 2025.
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