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Appropriation Act No. 4, 2025-26

Full Title:
An Act for granting to His Majesty certain sums of money for the federal public administration for the fiscal year ending March 31, 2026

Summary#

  • This bill gives the federal government permission to spend up to about $5.41 billion for the rest of the 2025–26 fiscal year (ending March 31, 2026).
  • It is a routine “supplementary” funding bill. It tops up departments and Crown corporations where earlier budgets were not enough.

Key changes and impacts:

  • Large funding for Canada Post and the Canadian Broadcasting Corporation (CBC) to support operations.
  • Extra funds for National Defence, veterans’ programs, Indigenous services, immigration, health, and foreign affairs.
  • A $1 billion central fund for defence and security pressures that may arise across departments.
  • Authority to write off many old, uncollectable student and apprentice loan debts.
  • A small share of funding (about $50 million) can be used into the next fiscal year for the Canada Revenue Agency (CRA) and the border agency to finish projects.

What it means for you#

  • General public

    • No new taxes or programs are created. This bill mainly keeps existing services running and handles shortfalls.
    • Some services may be steadier because departments have enough money to finish the year.

  • Mail users

    • Canada Post receives a major funding boost. This is meant to support day‑to‑day mail service and other public obligations.

  • Media audiences

    • CBC gets extra operating money. This helps it continue news and programming.

  • Students and apprentices with long‑overdue government loans

    • The government will write off many old debts judged uncollectable (tens of thousands of accounts). This clears those specific balances and stops collection on them. It does not give cash to borrowers and does not apply to active, repayable loans.

  • Veterans and their families

    • Added funding supports benefits and services, which can help with claims and supports.

  • Indigenous communities

    • Extra contributions for Indigenous Services and Crown‑Indigenous Relations support health services, community programs, and economic initiatives.

  • People interacting with immigration and settlement services

    • More funding helps with processing and settlement supports delivered through partner groups.

  • Travelers and businesses

    • Extra funds for foreign affairs, border services, and CRA IT and operations can support consular help, smoother border operations, and tax administration work.

  • Defence workers and suppliers

    • Added funds for National Defence and a $1 billion defence/security fund support equipment, facilities, and related initiatives.

Expenses#

Estimated annual cost: about CAD $5.41 billion in added spending authority for 2025–26.

  • Total new authority: $5,408,955,628.
  • Most funds must be used by March 31, 2026; about $50.3 million (CRA and border services) can be used up to March 31, 2027.
  • Not all items are cash outlays. Some are accounting actions (for example, writing off old student debts) and do not involve new payments.

Largest line items (rounded):

  • Canada Post: $1.008 billion (operations/public obligations).
  • Treasury Board defence and security pressures (central fund to top up departments as needed): $1.0 billion.
  • National Defence: about $1.22 billion (operations, capital, and grants/contributions).
  • Indigenous Services: about $509 million (grants and contributions).
  • Veterans Affairs: about $300 million (benefits and programs).
  • Immigration, Refugees and Citizenship: about $172 million (operations and contributions).
  • CBC/Radio‑Canada: $150 million (operations).
  • Foreign Affairs, Trade and Development: about $85 million (operations, capital, and grants/contributions).
  • Health: $60 million (grants and contributions).
  • Border services (CBSA) and CRA (multi‑year authority): about $50 million combined.

Other notable items:

  • Write‑off of old student and apprentice loans: about $382 million covering 38,526 debts (accounting action; not new spending).
  • Small write‑off of legacy government annuity overpayments.

Proponents' View#

  • It keeps government services stable by covering shortfalls late in the fiscal year.
  • Supports essential public services like mail delivery, public broadcasting, veterans’ care, and Indigenous community services.
  • Provides needed funds for defence equipment and readiness at a time of global uncertainty.
  • The central $1 billion defence/security fund lets the government respond quickly to urgent needs without delays.
  • Writing off long‑uncollectable student debts cleans up the books and stops spending more on collection efforts that won’t work.
  • Allows CRA and border services to finish upgrades and projects over two fiscal years, which can improve service.

Opponents' View#

  • The total is large for an in‑year top‑up and could add to the deficit.
  • Big payments to Crown corporations (Canada Post, CBC) look like bailouts to some critics, without clear performance targets.
  • The $1 billion central defence/security fund may reduce transparency because details come later when funds are allocated.
  • Writing off student loan debts may feel unfair to people who repaid or are still paying.
  • The bill bundles many items together, limiting detailed debate on each program.
  • Some worry that repeated late‑year funding shows weak planning and cost control.