Lapsed Funding

  • National Defence manages a large and complex budget with major equipment and construction initiatives that need funding over many years.
  • That is why we introduced a new funding model in 2017 to ensure that projects get the money they need when they need it.
  • This means that money can be re-allocated to support priority projects within a given year, or moved forward to support needs in future years.
  • Despite long-term planning, certain projects may not progress as scheduled as timelines shift.
  • National Defence continues to work with industry to address the impacts of COVID-19 and deliver on major projects outlined in Strong, Secure, Engaged.
  • We will continue to direct committed funding when needed, ensuring the military has the equipment they need to succeed in operations at home and abroad.

Key Facts

  • Of the $1.2 billion in lapsed funding last year, $1.06 billion is available for future years and consists of:
    • $855.1 million for adjustments to Vote 5 spending on capital equipment and infrastructure;
    • $186.7 million for adjustments to Vote 1 and Vote 10 spending;
    • $18.6 million in Carry Forward (for operating expenditures); and,
    • $0.4 million in proceeds from the disposal of surplus Crown assets.

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