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Health & Healthcare News

Who pays for Canadian health care?

2026-08-21 from cma.ca

Provinces and territories are responsible for the management, organization and delivery of health care services. The federal government provides some funding through the Canada Health Transfer and is responsible for setting and administering national standards of care through the Canada Health Act.

What health care does the federal government pay for?  

The federal government contributes through the Canada Health Transfer to help provinces and territories pay for health care. This amount was $49.4 billion in 2023–2024, representing about 22% of what provinces and territories spend on health care. Ottawa also provides targeted funding for select services like mental health, home care and primary care through bilateral agreements with provinces and territories. It also provides health care directly to certain groups, including:  

  • First Nations Peoples living on reserves and Inuit 
  • Members and veterans of the military  
  • People incarcerated in federal prisons 
  • Certain refugees seeking safety in Canada 

Read more here

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