OTTAWA, July 28, 2025 — The federal government’s wavering commitment to nationwide pharmacare funding is creating significant uncertainty and risks creating health inequalities across Canada, reproductive health advocates say.
## Pharmacare Funding Gaps Leave Canadians in Limbo
Advocates express deep disappointment as the government delays agreements for essential medications, potentially creating a two-tiered system.
- The federal government has signed deals with four jurisdictions but not the remaining provinces and territories for the first phase of pharmacare.
- This phase includes funding for contraceptives and diabetes medications, with a study to follow on universal coverage.
- Critics argue the government is prioritizing other issues, like U.S. tariffs, over Canadians’ health needs.
- Unions and health organizations warn this inaction breaks promises and sets back women’s health.
The government’s first phase of pharmacare, established by legislation last fall with support from the Liberals and NDP, aims to cover the cost of contraceptives and diabetes medications. Health Minister Marjorie Michel acknowledged discussions with provinces are ongoing, stating, “It’s a new government, and we are in a new context, and we have to have discussions with the provinces to see how we can support them.” However, she did not commit to finalizing deals with all remaining jurisdictions.
Does the federal government plan to fund pharmacare in all provinces and territories? The government has not committed to signing deals with all remaining jurisdictions, sparking concerns among health advocates about widespread coverage.
Uncertainty and Inequality
Liz Thompson, advocacy lead for Cover Contraception, called the situation “really disappointing,” adding, “It seems like they don’t really know what they’re going to do.” The government has allocated $1.5 billion for this initial phase, which also includes a study on universal pharmacare. So far, agreements have been reached with British Columbia, Prince Edward Island, Yukon, and Manitoba, covering specific medications for four years.
Teale Phelps Bondaroff, chair and co-founder of the Access B.C. campaign, criticized the lack of progress, stating, “That’s incredibly disappointing and demonstrates a fundamental lack of leadership on this issue.” He believes the Liberals are overlooking everyday Canadians’ health and well-being due to a focus on larger issues like U.S. tariffs. “You have a government that’s hyper-focused on these macro issues and I worry that they’re forgetting about everyday Canadians in that process,” he said.
A Step Backward for Health
Dr. Amanda Black, past president of the Society of Obstetricians and Gynecologists of Canada, warned that failing to sign new agreements would be a setback for women’s health. “I think we need to pressure both at the provincial level as well as at the federal level,” she urged.
Julie Veinot, executive director of South Shore Sexual Health in Nova Scotia, expressed shock at the potential for unequal coverage. “It is quite a shock to me that there is even the possibility that some provinces won’t get this coverage,” she said. Veinot highlighted the current cost of living, stating, “Unfortunately, we know the cost of living is super high right now, so we don’t want folks to have to pick between paying rent and buying birth control.”
Broken Promises and National Building
The Canadian Labour Congress, which celebrated the Pharmacare Act’s passage last fall, views the lack of universal commitment as a broken promise. Elizabeth Kwan, a senior researcher at the congress, stated that failing to reach deals with all provinces and territories is “breaking a promise to Canadians.” She emphasized the importance of social programs in national identity: “The government needs to understand that nation-building means also nation-building with the social programs that define us as Canadians. And I believe that that’s part of what makes us a sovereign country.”
Kwan also pointed to job losses across various sectors, including retail and education, as reasons why a universal public system is crucial. “And this is why we need a universal public system,” she asserted.
With files from Toronto.
This report was first published July 28, 2025.
