‘No easy choices left’ for Ontario hospitals to save money: association – CTV
January 23, 2026
TORONTO — Ontario hospitals have already started making some “lower risk” cuts in the face of rising deficits, but those alone won’t alleviate hospitals’ financial strain, the head of their association says, warning there are no easy choices left.
The Ontario Hospital Association has told the provincial government in its submission ahead of the spring budget that the sector faces a structural deficit of $1 billion and needs not just more money this year but a predictable, multi-year funding plan.
“Worryingly, our financial reserves — also called working capital — which are really intended to be for long-term, capital-related expenses like medical and diagnostic equipment or refurbishing and rebuilding hospitals … those working capital dollars are being used to actually pay for operating expenses, and that is a sign of a sector under real, serious financial (pressure),” association president and CEO Anthony Dale said in an interview.
If the province were to actually meet the full operating needs of the hospital sector, it would need to add about $2.7 billion, Dale said, but the hospital association realizes that due to other budgetary constraints caused by the trade war with the United States, the province is not in a position to offer that amount.
