Trudeau eyes billions to patch Canada's creaking health system cdnpoli
Trudeau will host provincial leaders this week in Ottawa to try to make progress on a new health funding deal. The premiers want as much as C$28 billion in new annual spending. Federal officials dispute the need for that amount, and they want to place conditions on the money, such improving outcomes in long-term care.Sign up to receive daily headline news from the Calgary Herald, a division of Postmedia Network Inc.
Some facilities have even been forced to temporarily shut down emergency rooms for lack of staff. Family physicians are in short supply in some regions — forcing many newcomers to immigrant-friendly Canada to rely on walk-in clinics, telephone and online appointments or ER visits, for lack of an available doctor.
The risk of Canada’s finances becoming unsustainable was outlined last month in a report co-authored by former Bank of Canada Governor David Dodge and Robert Asselin, a long-time Trudeau adviser who’s now with the Business Council of Canada. The main source of existing federal funding for provincial health systems is the Canada Health Transfer, which is enshrined in legislation and grows in line with a three-year moving average of nominal GDP. In the fiscal year that began last April, the transfer rose to C$45.2 billion, or 9.4% of total program expenses.
A similar process is likely to play out this time around — and the main question is how much more money Trudeau and Freeland are willing to put on the table, and if they’re willing to increase the main transfer.
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