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Nova Scotia reaches own health care funding deal with Ottawa

WATCH ABOVE: The Nova Scotia government has reached its own deal with the federal government for health care funding, a day after New Brunswick reached its own separate deal. Global’s Marieke Walsh reports.

The Nova Scotia government has reached its own deal with the federal government for health care funding, a day after New Brunswick reached its own separate deal.

Funding from the federal government will be provided over 10 years for home care and mental health, according to a press release sent late Friday.

READ MORE: Provincial health demands ‘out of the realm’ of possibility: Bill Morneau

The province will receive an estimated $287.8 million in funding, with $157 million to increase home care and $130.8 million going towards mental health. There is no word on how the money will be spread out over the 10 years.

The government release announced the additional money for home care and mental health, but it did not outline the base annual increase in federal health care funding the province will get.

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READ MORE: Nova Scotia, New Brunswick split on Ottawa’s cash for health care offer

The provinces were told to expect an annual increase tied to nominal GDP with a base of three per cent by the previous Conservative government. But on Monday federal Finance Minister Bill Morneau offered a flat increase of 3.5 per cent annually. At the time, he said that offer was off the table after talks collapsed Monday.

On Monday, the provinces rejected Ottawa’s deal for a federal health accord. On Tuesday, Premier Stephen McNeil said the province was still asking for a 5.2 per cent annual increase in health care funding from Ottawa. He also said he remained hopeful a deal would be reached with all provinces.

Then on Thursday, New Brunswick Premier Brian Gallant announced the province had reached its own deal with Ottawa for funding. If another province or territory negotiates better financial terms Nova Scotia and New Brunswick will have the option to adopt those as well.

The agreement goes into effect on April 1.

– With files from Marieke Walsh, Global News