Conference of Provincial-Territorial Ministers of Health

NEWS RELEASE – Finance and Health Ministers Seek Funding Partnership with the Federal Government

Provincial-Territorial Ministers of Finance and Health agreed  that a funding partnership is needed in sustaining and transforming Canada's  health care systems to address the needs of patients and their families now and  in the future – and that this partnership starts with a federal government that  is willing to work with all jurisdictions.

The health funding partnership has weakened since the early  days of Medicare.  The federal share of  provincial-territorial health spending is down from historical levels of  funding and is projected to decline steadily over the longer term –  particularly given the impending cut to the Canada Health Transfer (CHT)  escalator, which has been in place since the 2004 Health Accord was signed.

Based on this unilateral federal decision made in 2011,  the rate of CHT funding growth will be cut from 6 per cent to a new floor of 3  per cent beginning next year.  The  negative budgetary impact for all provinces and territories will be over $1  billion in the first year alone, and this figure is projected to increase to a  cumulative impact of over $60 billion over the next ten years. This will put  pressure on provincial-territorial health systems stability and long-term  sustainability.  

Today, Health and Finance Ministers from across Canada  took the step to meet and discuss this important issue, and focus on a  collaborative way forward.

We will continue to work together and report to Canada's  Premiers who have, in the spirit of cooperation and reflecting the importance  of this issue to Canadians, requested a specific meeting with Prime Minister  Trudeau to discuss sustainable long-term health care financing before  mid-December.

Finance Ministers and Health Ministers re-iterated  Premiers call to the Prime Minister to hold a First Ministers' Meeting on  health care sustainability and to reach a long-term agreement on health care  funding.

Provincial and territorial Finance and Health Ministers  strongly support the call by Canada's Premiers not to reduce the growth rate in  the CHT before it can be considered by First Ministers.  If a meeting is not possible within the  proposed timeframe, the federal government should postpone the currently  scheduled changes to the CHT escalator to provide an opportunity to reach a  long-term funding agreement that reflects the needs of Canadians and is  respectful of provincial-territorial jurisdiction.