Transfer payments in Canada |
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Current arrangements |
Repealed arrangements |
The Canada Assistance Plan (CAP) (French: Régime d'assistance publique du Canada) was a financing program created in 1966 by the Pearson government. The CAP consisted of a cost-sharing arrangement between the federal government and provinces, territories and municipalities whereby the federal government would partially fund eligible social programs.[1][2]
The 1995 Canadian federal budget announced that both the Canada Assistance Plan and the Established Programs Financing would be combined into a new block-fund fiscal arrangement called the Canada Health and Social Transfer starting in 1996-97 fiscal year.[1] Payments with respect to fiscal years ending on March 31, 1996 or before could be made until March 31, 2000. The Canada Assistance Plan therefore officially remained under existence until March 31, 2000.[3]