While the leaders of Canada’s major national political parties said they would maintain the growth track for federal health care funding to the provinces at the existing rate beyond 2014, there is good reason to be cautious, says Premier Robert Ghiz.
“I welcome the pledge of national party leaders to maintain six per cent growth in health funding beyond 2014; however, it is important that this increase not be undermined by cutbacks in other federal transfers,” said Premier Ghiz. He called on the leaders of the national political parties to pledge that the growth of health care funding will not come at the expense of cuts in other transfer programs.
“I want assurances that overall federal transfers to Prince Edward Island will be adequate and grow at a reasonable and predictable rate,” said Premier Ghiz. Constraints have been placed on core funding such that both last year and again this year, core federal transfers to Prince Edward Island have essentially remained flat.
The current annual escalator of six per cent for the Canada Health Transfer was established in 2004 for a ten-year period by the federal government as part of a Health Accord reached with the provinces. In 2011-12, this transfer will provide almost $27 billion to the provinces. Prince Edward Island’s share will be about $115 million.
The growth in the cost of providing health care over the past decade has exceeded six per cent.
“I am pleased that national parties have expressed their commitment to health care,” said Premier Ghiz. “Health care is a top priority for Islanders and it is important that our interests be made known.”