Ottawa must renew mental health and home care funding, health ministers say

Health ministers from Canada are urging the federal government to renew funding for mental health, addiction, and home care services before the end of March 2027. These ministers gathered with their finance department counterparts to discuss the impending loss of $1.2 billion in funding, which would have severe implications for patients and health-care jobs.

Marion Cooper, president of the Canadian Mental Health Association, noted that dedicated funding has led to the creation of numerous programs and services across the country, and its reduction would be highly concerning.

Cooper emphasized that there is a "fairly strong consensus" among different levels of government and advocacy organizations regarding the need for dedicated funding. If the funding is not included in a broader Canada Health Transfer, there is a concern that resources may not be directed to mental health or community-based services. The health ministers warn that the end of dedicated funding agreements will create a "fiscal cliff" that will negatively impact patients and the health sector, potentially leading to job losses.

The federal government pledged $200 billion in additional health funding over 10 years in the 2023 budget, with $4.8 billion set aside for home care, community care, and mental health and addiction services. This funding is set to expire in March 2027, while $3 billion for long-term care safety will sunset in 2026. Additionally, $1.7 billion for personal support worker wages will be paid out by 2028.

Manitoba Health Minister Uzoma Asagwara emphasized the looming fiscal cliff, stating that Canadians face "devastating consequences" for health systems during a time when mental health needs are increasing. All provincial and territorial health ministers are united in their demand for renewed funding. The federal budget also guarantees a five-per-cent annual growth for the Canada Health Transfer, which is set to increase by a minimum of three per cent after 2028.

However, premiers have called for the five-per-cent floor to be maintained. Health Minister Marjorie Michel and Finance Minister François-Philippe Champagne did not participate in the meeting with other health ministers, with Michel's office stating that the minister intends to approach the meeting collaboratively.