In the September 2017 Budget Update, the government reduced MSP premiums by 50%, effective January 1, 2018. In addition, the Minister of Finance confirmed the government’s intention to fully eliminate MSP premiums over the next four years. The first 50% premium reduction was absorbed into the province’s existing fiscal framework. However, the promised elimination of MSP premiums is not accounted for in the current fiscal plan. As a result, the government will face a financial shortfall estimated at roughly $1.3 billion when MSP premiums disappear. The Task Force has been asked to advise on how to make up the foregone revenue.
