Government hints at boosting Canada’s military spending

I have long said that you could fund the CAF to 4 percent of GDP, but we would still lag behind in NATO and be much the same where we are.

It's never the money, it's politics. It's procedures. It's the pork-barreling in our defence spending that makes us a paper tiger in NATO.

My only hope in all of this for the CAF and the GoC, whatever the political stripe that may be, is that it will rouse them out of the "Peace Dividend" slumber. The world has been unstable since 1945. We have used geography, proximity, and association as a Defence Policy ever since. ICBMs don't care how close to the U.S. or how far from Russia/China we are.

Don't give us a dime more, but let us spend money on defence like it matters. The fact we follow the same rules for purchasing a fighter aircraft as we do for buying office furniture for a Service Canada office is disgraceful. Don't treat defense procurement as a stimulus package for Canadian Industry. There I said it.

We spend so much money, time, and effort trying to get that money to stay in Canada; be it by awarding contracts to companies with no capability to produce items without first "retooling" and"developing the production lines", or by hamstringing perfectly competent and competitive bidders by forcing the project to be made in St. Margaret de Poutain de Champignon, QC because the ruling government either lost the seat in the election, or won it with promises.

We spend so much money and staff hours jumping through TBS regulations that are great for other departments, but are terrible for defence procurement. Some items you have to sole source, because there are technologies and capabilities no one else makes. By doing the bid process, you get companies clamoring for a project they can't deliver on, but because they tick the bright boxes on the score sheet....

I truly and honestly belief we need to split from PSPC and legislate that its not beholden to TBS, only to the PBO/PCO. The guiding principles of this new Defence Procurement department should be "Off the shelf, from somewhere else" if there isn't an industry in Canada.

BOOTFORGEN has demonstrated how well we do when we are able to actually get what we need, instead of lining the pockets of a Canadian company that got lucky.

That, but with tanks, fighters, ships, weapons systems....

 

[Czech_pivo]

Well well well, now we know where the exact 6.1$ billion over 5yrs for the CAF is coming from.

Ottawa’s tax on banks and life insurers to deliver $6.1-billion over five years,​

Ottawa’s tax on banks and life insurers to deliver $6.1-billion over five years, 40 per cent less than Liberal campaign pledge

After months of uncertainty on Bay Street, the Liberals released the final details of these tax changes in their federal budget on Thursday, and the total blow is less severe than the initial pledge

www.theglobeandmail.com

 

[Brad Sallows]

"Hi, we're the GoC and we're passing along some money to you (DND) that we got from pinching the employees and shareholders of banks and insurance companies. Hopefully they'll be angry at us and not at you."

 

[Good2Golf]

"Hi, we're the GoC and we're passing along some money to you (DND) that we got from pinching the employees and shareholders of banks and insurance companies. Hopefully they'll be angry at us and not at you."

Indeed. Already, the experts as gaslighting are setting up a false dichotomy.

Of course we know that taxes come into general revenue and expenditures come from the totality of the Main and Supplemental Estimates, so there is of course no such thing as the bank/insurance tax going to fund DND, but not beyond the Government to sow the seeds of discontent from one against another…

 

[Czech_pivo]

Indeed. Already, the experts as gaslighting are setting up a false dichotomy.

Of course we know that taxes come into general revenue and expenditures come from the totality of the Main and Supplemental Estimates, so there is of course no such thing as the bank/insurance tax going to fund DND, but not beyond the Government to sow the seeds of discontent from one against another…

Now if they can only get the Bank's project management teams set up at DND..... says I tongue in cheek

 

[Edward Campbell]

"Hi, we're the GoC and we're passing along some money to you (DND) that we got from pinching the employees and shareholders of banks and insurance companies. Hopefully they'll be angry at us and not at you."

"Hi, we're the GoC and we're passing along some money to you (DND) that we got from pinching the employees and shareholders of banks and insurance companies. Hopefully they'll be angry at us and not at you."

Those shareholders would be just about every flippin' pension plan in Canada.

 

[OldSolduer]

"Hi, we're the GoC and we're passing along some money to you (DND) that we got from pinching the employees and shareholders of banks and insurance companies. Hopefully they'll be angry at us and not at you."

Those shareholders would be just about every flippin' pension plan in Canada.

Correct and now I am in receipt of CPP and CFSA - plus RRSPs etc this is robbery.

WHILE I am on the soapbox hit WalMart, Amazon, Pfizer, Loblaws etc and have them pay their fair share too. All these industries/businesses made obscene profits during the pandemic. Add more if you choose to.

The ones that aren't making out so good are small businesses.

 

[Brad Sallows]

Those shareholders would be just about every flippin' pension plan in Canada.

You're singing my song. To a corporation, taxes are just numbers on the liability side, along with wages and benefits, dividends, and other costs of whatever it is they do. More of one squeezes the others. Retarding wage/benefit and/or retirement savings growth isn't any kind of public good.

 

[Czech_pivo]

"Hi, we're the GoC and we're passing along some money to you (DND) that we got from pinching the employees and shareholders of banks and insurance companies. Hopefully they'll be angry at us and not at you."

Those shareholders would be just about every flippin' pension plan in Canada.

I don't believe this current Cabinet has a single member that has spent anytime working on Bay Street (or Montreal finance) in any manner whatsoever. It would be interesting to see if this is the first time in Canadian history that this has occurred.

To me, it does clearly state the direction/thought process of this current government.

 

[Brad Sallows]

obscene profits

What part of profits are obscene? The part paid out in wage/benefit gains? Dividends? Reinvestment to increase productive output? Paying down debt that paid for past investment? Setting money aside for future contingencies?

 

[OldSolduer]

What part of profits are obscene? The part paid out in wage/benefit gains? Dividends? Reinvestment to increase productive output? Paying down debt that paid for past investment? Setting money aside for future contingencies?

When XXX Corporation announces that they X billions in profits yet their employees are treated like dog crap. That is obscene.

I have no issue with making money - but some of this needs to be looked at,

 

[Brad Sallows]

Deja vu. (I've written what follows, before.) Unless someone can point to some ill use of "profits", there's no criticism such as "too much was paid into (say) dividends (in many cases, retirement savings) and not enough into increased compensation".

 

[dapaterson]

The government has also put in a strategic program review. Looking for $1B in 24/25, $2B in 25/26, and $3B recurring after that. (Budget chapter 9).

Not all from DND, (obviously), but it's good news that there is an intent to reduce spending.

 

[Brad Sallows]

Yes, now if only they can get the order of magnitude correct.

 

[Humphrey Bogart]

The money is going to get largely eaten up by Inflation and cost increases.

It isn't going to even put a dent in the gaping holes.

 

[Good2Golf]

The money is going to get largely eaten up by Inflation and cost increases.

It isn't going to even put a dent in the gaping holes.

Yup, inflation may even be more than this meager plus-up…

 

[Humphrey Bogart]

Yup, inflation may even be more than this meager plus-up…

That's why it's pointless even talking about this. From what I can see, there is no need to even rewrite SSE because this new funding we are receiving is simply status quo.

 

[SupersonicMax]

That's why it's pointless even talking about this. From what I can see, there is no need to even rewrite SSE because this new funding we are receiving is simply status quo.

Global Affairs first needs to articulates a national WoG strategy and decide where our areas of interest lie and how we’ll defend those interests. Only then can a military strategy can be devised. Anything else is really just guess work.

 

[Jarnhamar]

this new funding we are receiving

Reminds me of my RSM "promising" me a certain posting. Next conversation; "I've never met you before".

 

[MilEME09]

Global Affairs first needs to articulates a national WoG strategy and decide where our areas of interest lie and how we’ll defend those interests. Only then can a military strategy can be devised. Anything else is really just guess work.

Basically we blind and try to Swiss army knife the policy and be vague so it doesn't seem wrong

 

[WLSC]

That's why it's pointless even talking about this. From what I can see, there is no need to even rewrite SSE because this new funding we are receiving is simply status quo.

And as @KevinB said, the SSE is written in such a way that it can be expanded for what we need.