PC Government Plans Many More Healthcare Cuts

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A Socialist Project e-bulletin ... No. 1872 ... August 11, 2019

PC Government Plans Many More Healthcare Cuts

Doug Allan

The Financial Accountability Office of Ontario (FAO) Economic and Budget Outlook review has identified planned government spending savings that come via [1] announced program changes (program cuts like the government’s cut to OHIP+), [2] announced efficiency targets (identified areas where the government hopes it will find savings without service cuts), and [3] cuts that have not yet been announced by the government.

While the government has identified some spending cuts of type 1 or 2 above, the government’s spending plan needs billions of dollars in extra, unidentified and unannounced cuts to meet its savings targets according to the FAO (type 3 cuts, as above). For healthcare, this amounts to $5.2-billion in unidentified and unannounced cost savings needed for the government’s health spending plan to work in 2023-24. Even though the cuts identified to date have been major and painful, $5.2-billion is many times more than the cuts announced and implemented to date.

The unidentified and unannounced health cuts exist even for this fiscal year... -- but they become a much bigger issue as the years go along until they account for $5.2-billion out of $8-billion in total healthcare cuts required by the government’s fiscal plan in 2023-24.

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