Major Federal Transfers

The Government of Canada provides significant financial support to provincial and territorial governments on an ongoing basis to assist them in the provision of programs and services. There are four main transfer programs: The Canada Health Transfer (CHT), the Canada Social Transfer (CST), Equalization and Territorial Formula Financing (TFF).

The CHT and CST are federal transfers which support specific policy areas such as health care, post-secondary education, social assistance and social services, early childhood development and childcare.

The Equalization and Territorial Formula Financing programs provide unconditional transfers to the provinces and territories. Equalization enables less prosperous provincial governments to provide their residents with public services that are reasonably comparable to those in other provinces, at reasonably comparable levels of taxation. TFF provides territorial governments with funding to support public services, in recognition of the higher cost of providing programs and services in the north. 

Federal Transfers to Provinces and Territories

(Updated March 2007)

	Canada		Manitoba
	Newfoundland and Labrador		Saskatchewan
	Prince Edward Island		Alberta
	Nova Scotia		British Columbia
	New Brunswick		Nunavut
	Quebec		Northwest Territories
	Ontario		Yukon

The Canada Health Transfer and the Canada Social Transfer

	Canada Health Transfer
	Canada Social Transfer
	Brief History of the Health and Social Transfers
	Tax Transfers
	Federal Support for Children (and investments over time)
	Federal Investments in Support of the 10-Year Plan to Strengthen Health Care
	Federal Transfers in Support of the 2000/2003/2004 First Ministers' Accords
	Federal Support for Diagnostic and Medical Equipment

Equalization and Territorial Formula Financing

	Equalization Program
	n	Associated Equalization
	Territorial Formula Financing

Other Transfers

	Nova Scotia Offshore Arrangements
	Newfoundland and Labrador Offshore Arrangements
	Alternative Payments for Standing Programs and the Quebec Abatement

Fiscal Balance

	Restoring Fiscal Balance
	Budget 2007 Companion Paper - Restoring Fiscal Balance for a Stronger Federation
	Budget 2006 Companion Paper - Restoring Fiscal Balance in Canada
	Federal Initiatives in Support of Post-Secondary Education, Public Transit and Affordable Housing (C-48)

A multimedia presentation illustrating how federal revenues were spent in the most recent fiscal year available (2005-06), as well as the main sources of government revenue. (requires a Flash plug-in)

• HTML version

Previous versions of this presentation are also available.

Important Notices