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Ontario announces unexpected extension to per-vote subsidy for political parties

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In a rare moment of unity at Queen’s Park, Ontario’s political parties have agreed to extend a per-vote subsidy the Ford government had planned to scrap, keeping a financial guarantee in place for all parties for another two years.

Election laws in Ontario mean that every party receives a subsidy of just over 63 cents for votes they received in the previous election to offer some guaranteed funding for political parties to operate.

The subsidy had been due to end before the beginning of next year as a result of changes endorsed by the government, but changes agreed to by all Ontario parties mean it will now extend until at least Dec. 31, 2026.

“I’ve had conversations with the New Democrats, the Liberals and the Green Party this week,” Progressive Conservative House Leader Steve Clark told reporters on Wednesday.

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“We’ve had very open conversations about the decision. We’ve all been unanimous that this bill should have the support of every party.”

The Ontario NDP declined to comment on the move, while the Ontario Liberals did not respond to a request for comment in time for publication.

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Global News also contacted the Ontario Green Party for comment.

Data from Elections Ontario shows the Progressive Conservatives were given roughly $1.2 million per quarter from the subsidy this year. The Ontario NDP was granted around $710,000 and the Liberals $715,000. The Greens were sent almost $180,000 per quarter.

Real-time fundraising disclosures — which are not always finalized — show the Progressive Conservatives have fundraised almost $2 million less this year than they did through the whole of last year. The NDP are about $500,000 down and the Liberals are $300,000 below their 2023 total.

The decision by the government to extend the per-vote subsidy, which it had previously pledged to scrap, suggests a departure from Premier Doug Ford’s long-held view the payments are a waste of public money.

“I do not believe the government should be taking money from hard-working taxpayers and giving it to political parties. Corporate welfare is wrong, and political party welfare is equally wrong; I will put an end to both,” Ford wrote in a Facebook post before the 2018 election.

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“That is why when I am elected Premier I will stand up for all Ontario taxpayers and eliminate the per-vote subsidy given to political parties in Ontario. This will save taxpayers millions of dollars each year.”

Asked if Ford agreed with the new direction to keep the subsidy in place for two more years, Clark said the move was about political unity in the house.

“I’ve been concentrating on the relationships with the parties in the house — that’s been my focus as house leader,” he said.

“I wanted to make sure they knew there was a bill coming, what the bill was about and the fact that the next election — whenever it is called — will be under these rules.”

The Canadian Taxpayers Federation criticized the extension, echoing the premier’s claim the subsidy is “political welfare” paid for by the public.

“For the premier to let this gravy train live on is a terrible insult to Ontario taxpayers and represents yet another broken promise about fiscal responsibility from this government,” the federation’s Ontario director Jay Goldberg said in a statement. “Ford must reverse course and cancel this terrible decision.”

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