Trudeau announces $37B in child care deals with 11 provinces and territories
Trudeau Government Extends Federal Child Care Program with $37 Billion Agreements
As Prime Minister Justin Trudeau’s government prepares to leave office, it has made a significant move to secure the future of its flagship child care program. Radio-Canada has reported that agreements worth nearly $37 billion over five years have been signed with 11 provinces and territories to extend the federal child care space program.
Trudeau will officially announce the extension of early learning and child care agreements for the years 2026-2031, with the goal of increasing child care spaces at an average cost of $10 per day nationwide. The agreements include a three per cent annual increase in base funding for four years starting in 2027-2028 to account for rising operational costs.
While agreements have been reached with most provinces, Ontario was initially not on board. However, a deal worth $16.77 billion has since been reached with Ontario. Negotiations are ongoing with Alberta and Saskatchewan.
This is how the funding will be allocated:
- Quebec: $9.83 billion
- British Columbia: $5.38 billion
- Manitoba: $1.9 billion
- Nova Scotia: $1.05 billion
- New Brunswick: $876 million
- Newfoundland and Labrador: $503 million
- Prince Edward Island: $199 million
- Nunavut: $109 million
- Northwest Territories: $80 million
- Yukon: $74 million
- Ontario: $16.77 billion
The federal government aims to create 250,000 new child care spaces at a $10 daily cost by March 2026 through these investments. However, challenges such as labor shortages and inflation have complicated the program’s implementation.
While the next prime minister could potentially revise or revoke these agreements, doing so may strain relations with the provinces involved. Conservative Party leader Pierre Poilievre has expressed plans to make changes to the program if elected, while Liberal leadership contender Mark Carney has pledged to maintain federal transfers to provinces and individuals.
During the program’s initial phase in 2021, Ottawa invested $27 billion over five years and secured agreements with all 13 provinces and territories. Quebec received $6 billion as part of these agreements, with Premier François Legault emphasizing the province’s autonomy in early childhood education.