Provincial calls for more health funding amid tax breaks raises ‘questions,’ says Trudeau

Canadians may want to ask themselves why provinces are demanding more money from Ottawa in health transfers while they also give tax breaks to the wealthiest, Trudeau said Tuesday.

Canadians may want to ask themselves why provinces are demanding more money from Ottawa in health transfers, while they simultaneously “turn around and give tax breaks to the wealthiest,” Prime Minister Justin Trudeau said Tuesday.

He said while the federal government is committed to increasing funding for health care in Canada, provinces could be using more of their own funds and tax bases to address significant challenges facing the health system nationwide.

“I think citizens of provinces that see provincial governments saying that they don’t have any more money to invest in health care and therefore they need money from the federal government, while at the same time they turn around and give tax breaks to the wealthiest – those citizens can ask themselves some questions,” Trudeau told reporters during an availability in New Brunswick Tuesday.

“We’re going to be there with more money … as to how the provincial government chooses to spend its money or invest people’s money in tax breaks for the wealthiest, that’s a question for citizens of the province to reflect on.”

Trudeau’s comments as federal, provincial and territorial health ministers prepared to wrap up meetings in Vancouver, where provinces and territories presented a united front in seeking a boost in federal health spending.

All 13 of Canada’s premiers have been demanding a $28-billion increase to the Canada Health Transfer, which they say will bring the federal contribution toward health costs from 22 per cent currently to 35 per cent.

Ottawa argues the premiers’ figures do not represent the full scope of the federal government’s total investment in health care, as tax points to provinces and other specific bilateral deals on mental health and home care are not being factored in.

The premiers recently launched an advertising campaign in an attempt to dial up the political heat in their demands, tying the need for more federal funding to an exodus of doctors and nurses from the health system – a phenomenon that has placed considerable strain on hospitals and emergency departments across the country.