While the vast majority of Canadians are concerned about the ballooning national deficit, only a small minority support health cuts as a way to make up budget shortfalls, a new poll suggests.
The survey, conducted by Ipsos Reid for the Canadian Medical Association, found that 83 per cent of Canadians feel that "urgent" action is needed to trim spending at the national level.
However, the poll found that only 16 per cent of those questioned support "reduced spending on health care because of the deficit."
Contrasting those numbers, 63 per cent of the respondents said they supported spending cuts to other programs.
Last year, health costs equaled about $183 billion in spending, or about 12 per cent of Canada's gross domestic product. That number has consistently risen as the nation ages.
The findings come as the Conservative government prepares to table its budget in Parliament on March 4.
The government has steadfastly denied that it will raise taxes to make up the shortfall, which ballooned into the billions last year through increased stimulus spending and plummeting corporate tax revenues.
Since the federal government sends billions to the provinces each year in health care transfer payments, the poll also asked Canadians about the nature of that relationship.
According to the survey:
- 70 per cent believe Ottawa should ensure transfer funds are well spent
- 94 per cent say Ottawa should be tasked with developing a long-term strategy for rising health costs
Last year, the federal government paid $129-billion in health transfers, and if Ottawa decides to cut back, the provinces will have a hard time making up the difference.
All of the provinces, save for Saskatchewan, are facing a balance sheet covered in red ink, which could leave hospitals in the lurch.
On Friday, it was announced that Canada's deficit for the fiscal year had reached $39.4 billion. The government's monthly Fiscal Monitor blamed an aging population and rising program costs for the numbers.
The deficit includes $16 billion in stimulus spending, rolled out through the Economic Action Plan.
Initially, Finance Minister Jim Flaherty had predicted that this year's deficit would be $56 billion. That number was adjusted from an earlier prediction which put the deficit at $33.7 billion.
In 2008-2009, Ottawa recorded a small budget surplus of about $400 million.
Still, the poll's findings suggest that Canadians would rather see a balanced approach to the country's red balance sheet:
- 91 per cent agreed that a long-term plan to deal with the debt is the best way forward
- 83 per cent said they were worried that important social programs would suffer with short-term cuts
Parliamentary Budget Officer Kevin Page warned earlier this month that the government must either cut spending or raise taxes in the coming years, as the number of retirees grows across the country.
The increased costs of carrying a growing number of pensioners will be exacerbated by big health costs and longer life expectancy rates, Page's report said.
"It's very hard to offset demographic pressures," Page told The Canadian Press earlier this month.
"What people are starting to realize is that this is biting now and it's going to bite significantly in terms of budgetary revenues and expenditures."
The Conservative government has been reticent to raise taxes since taking office, and they have trimmed two cents off of the GST over the past four years.
With files from The Canadian Press
The poll, which was conducted February 8 - 15, surveyed 2,017 Canadians in each of the provinces. The poll has a margin of error of 2.18 percentage points at the 95 per cent confidence level.
