Ottawa plans one-year extension of $1.2 billion for home care and mental health services

OTTAWA — The federal government says it plans to extend funding to provinces and territories for mental health, addictions and home care by one year. Health Minister Marjorie Michel said in a social media post that the announced extension represents $1.2 billion.

Michel’s post follows provincial health ministers’ concerns that patients and health-care jobs could face “profound and negative” effects if the federal funding agreements are not renewed in this year’s budget. Provinces and territories also raised concerns earlier this month about the future of the Canada Health Transfer.

The federal budget is to be tabled later this fall. Provincial and territorial health ministers are scheduled to meet Thursday in Winnipeg, and Michel is to co-chair Friday’s meeting.

This report by The Canadian Press was first published Oct. 14, 2026.