Canada cannot remain the only NATO member that refuses to meet promises on military spending
The federal government should consider raising the Goods and Services tax to meet Canada ’s defence commitments. On the other hand, it might want to transfer GST tax points to the provinces, to properly fund health care.The Western democracies are in a full-fledged cold war with a group of autocracies led by China and Russia. In this critical moment, Canada and other NATO members have pledged to spend at least 2 per cent of GDP on defence.
Perhaps the next government can find money for defence by rolling back a raft of Liberal commitments to social programs, such as the new pharmacare and national child care programs. But this would be unpopular, and might not do much more than reduce the annual federal deficit, whichCutting the size of the federal public service back to near prepandemic levels would save money, but probably not enough to meet the 2 per cent defence target.
“The federal government should be raising money or reallocating its own spending, not to spend on the provinces’ responsibilities, but to spend its own core responsibilities,” he told me, and “defence is certainly a core responsibility.”
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