Health transfers: $46.2 billion more over ten years is “clearly insufficient”

François Legault believes that the additional amount of $46.2 billion over ten years to the Canada Health Transfer (TCS) is “clearly insufficient”, but considers that the absence of new conditions for the transfer is “good news”.

• Read also: “We always have a nice common front,” says Legault in Ottawa

“The catch-up that we asked for is not there, so it does not solve the fundamental problem of funding health care in Canada,” said Mr. Legault during a post-meeting press conference with its 12 counterparts from the other provinces and territories.

This first offer, presented by Justin Trudeau to his provincial counterparts on Tuesday followingnoon, moves away from the original request of the provincial premiers.

The latter demanded that the federal contribution be increased from 22% to 35%, or the equivalent of an additional $28 billion annually. The offer currently on the table instead provides for an annual injection of $4.87 billion across the country, nearly six times less than expected.

The Trudeau government is also committed to raising the annual increase by 3% and 5% per year for the next five years, which is equivalent to $17.3 billion. Premiers welcomed this portion of the deal.

In addition, Ottawa is setting aside an additional $25 billion for piecemeal agreements with the provinces, according to the priorities of each, through bilateral agreements.

“The leeway is in the bilateral agreements,” said Justin Trudeau when asked regarding the possibility of increasing the basic offer at a press conference early in the evening.

The latter noted that “many provinces are in a budget surplus situation”, a proposal that François Legault rejects.

Will the offer hold?

The premiers have said they want to take a few days before taking a position on the agreement.

“First, we will discuss it among ourselves. It’s better to have a small amount than to have nothing,” said François Legault.

They will try to come up with “strategies” over the next few days so they can snatch more money from the federal coffers, but their expectations may well be dashed.

“What I understood from Mr. Trudeau is that it’s a final offer,” said Mr. Legault.

Justin Trudeau did not make it clear that the offer was final.

In exchange for these investments, the Trudeau government is demanding that the provinces commit to setting up a pan-Canadian data sharing system, which the Legault government has already agreed to.

Prime Minister Justin Trudeau called the meeting a few times a simple “working meeting”. For their part, the provincial premiers said they were “happy” to finally be able to discuss a first proposal following two years of repeated requests for a new agreement.

Arrived yesterday in the federal capital, the premiers did not know the details of the federal proposal before it was proposed to them by Mr. Trudeau’s team on Tuesday.

Yesterday, Mr. Legault indicated that the provinces always formed “a beautiful common front”. He repeated on Tuesday his wish to see this common front remain intact over the coming weeks.

He and his counterparts are expected to speak at a joint press briefing later on Tuesday followingnoon. Justin Trudeau is scheduled to hold a separate press briefing at an Ottawa-area hospital in the early evening.

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