Prime Minister Mark Carney has again declined to endorse changes to Canada’s equalization formula, confirming the existing arrangement will remain in place until its scheduled 2029 review.
Asked whether he supports any of Alberta Premier Danielle Smith’s proposed reforms — including eliminating the formula’s automatic GDP escalator — Carney defended the predictability of the existing system.
Juno News@junonewscom
PM Carney SHUTS DOWN equalization reform, confirming Ottawa will keep the controversial formula in place until at least 2029.
Asked about ending the automatic GDP escalator, Carney defended the status quo—then pivoted to housing.
3:34 PM · Aug 6, 2026 · 3.6K Views
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“We have an equalization agreement in place,” Carney said.
“Governments rely on those formulas in setting their policies, and so that predictability and that financing is valuable — and yes, we’re going to keep it in place,” he added.
“The review is for 2029. That is the next update.”
