Archived - Backgrounder: Building a Better Future for Canada's North

Budget 2016 builds a better future for Canada’s North by taking the following actions:

Budget 2016 provides up to $177.7 million over two years, starting in 2016–17, to provinces and territories in order to address urgent housing needs. Funding includes: $76.7 million to Nunavut and further investments earmarked for three Inuit regions—Nunavik ($50 million over two years), Nunatsiavut ($15 million over two years), and the Inuvialuit Settlement Region ($15 million over two years).

Budget 2016 provides $40 million over two years, starting in 2016–17, to renew the Strategic Investmentsin Northern Economic Development program, which fosters growth and development in the North—including in key sectors such as geosciences, renewable energy, fisheries, tourism and cultural sectors—supporting economic diversification and encouraging Northerners’ participation in the economy.

Budget 2016 provides $64.5 million over five years, starting in 2016–17, and $13.8 million per year ongoing, to expand the Nutrition North Canada program to support all northern isolated communities, by providing a subsidy on perishable nutritious food.

Budget 2016 proposes to increase the maximum daily residency deduction to $22 from $16.50, as of January 1, 2016. It is estimated that this measure will reduce federal revenues by about $255 million over the 2015–16 to 2020–21 period.

Budget 2016 provides $10.7 million over two years, starting in 2016–17, to implement renewable energy projects in off-grid Indigenous and northern communities that rely on diesel and other fossil fuels to generate heat and power.

Budget 2016 provides up to $25.3 million to support five recreational and sport facility projects in Nunavut, including a cultural centre in Cape Dorset, repairs for the Cambridge Bay Arena and the Iqaluit Aquatic Centre.

Budget 2016 provides $15 million over two years, beginning in 2016–17, to launch a pilot project to enhance training that aligns with community needs, such as housing construction, water treatment, child care, and local administration. Over the next year, the Government will consult with stakeholders, including Indigenous organizations and employers, in order to work towards a renewed and expanded Aboriginal Skills and Employment Training Strategy.

Budget 2016 provides $19 million over five years, starting in 2016–17, to collaborate with researchers and Inuit communities to gather existing research and traditional knowledge of the Arctic environment and conduct new research where gaps in knowledge exist.

Budget 2016 provides $67 million to introduce legislative amendments to improve the stability and predictability of federal Territorial Formula Financing payments, which will provide additional funding to territories in 2016–17.