OTTAWA — The Carney government has announced a commitment of over $660 million to support gender equality and 2SLGBTQIA+ programs over the next five years. This funding aims to address a significant projected decline in financial support that has raised concerns among community organizations and some members of the Liberal Party. Finance Minister François-Philippe Champagne revealed the funding details on Wednesday, ahead of the upcoming federal budget presentation next week.

The new funding includes $382.5 million over five years, with an ongoing commitment of $76.5 million thereafter, dedicated to women’s equality initiatives. This will encompass a fund aimed at enhancing economic opportunities and leadership for women. Additionally, $223.4 million will be allocated over five years for programs addressing gender-based violence, with $44.7 million per year continuing after that. Furthermore, $54.6 million will be directed towards 2SLGBTQIA+ communities and initiatives to ensure safety at Pride events, with $10.9 million ongoing.

Champagne emphasized the importance of “predictable and stable” funding for these initiatives, which he, Women and Gender Equality Minister Rechie Valdez, and Indigenous Services Minister Mandy Gull-Masty described as essential for promoting equality and supporting community organizations.

Concerns about potential funding cuts arose earlier this fall when the Women and Gender Equality department’s annual plan indicated that funding would decrease significantly. Without new financial support, the department's budget was projected to drop from $407.1 million in the current fiscal year to $76.3 million by 2027-28, marking an 81 percent reduction over three years. The newly announced funding is expected to reduce this decline to approximately 51 percent.

In late September, over 180 organizations advocating for women’s equality and 2SLGBTQIA+ rights sent an open letter to Prime Minister Carney, urging the government to maintain current funding levels. Liberal MP Karina Gould expressed her belief that programs facing funding expiration would receive new financial support, stating, "Given the economic situation facing the country, gender equality is not a luxury, it is a necessity."

As the Carney government seeks to balance spending restraint with significant investments to stimulate the economy, it has also set a goal of reducing annual expenditures by $25 billion over the next three years. This comes alongside plans to increase military spending. A recent report highlighted that expiring funding in various departments, including Women and Gender Equality, could contribute to the government's overall spending reduction goals.

With the budget presentation approaching, uncertainty remains regarding how Carney's minority government will secure support from opposition parties to avoid a potential snap election. The Conservatives and Bloc Québécois have outlined demands for smaller deficits and increased health transfers to provinces, while the NDP has expressed opposition to austerity measures. NDP interim leader Don Davies has called for financial support focused on job creation, healthcare, and affordable housing.

Ahead of the funding announcement, NDP MP Leah Gazan criticized the anticipated funding cuts for the Women and Gender Equality department, questioning, "The prime minister was talking about sacrifices the other day. My question for the prime minister is, who is he asking to sacrifice?" Gazan highlighted the ongoing issues of violence against women and gender-diverse individuals, asserting that they should not bear the burden of budget cuts.