Federal Finance Minister Chrystia Freeland says she will ask Canada’s chief actuary to provide an estimate of what Alberta would be owed if it proceeds with its plan to withdraw from the Canada Pension Plan.
The actuary provides advisory services to the federal government, operating as an independent unit within the Office of the Superintendent of Financial Institutions.
Freeland’s announcement today followed a virtual meeting she held with provincial and territorial finance ministers. Questions have been raised about Alberta’s actual share of the plan if the province leaves it to start its own plan. A report commissioned by the Alberta government says the province is entitled to more than half of CPP’s assets.
Nova Scotia Finance Minister Allan MacMaster said in an interview that the review by the actuary will provide helpful information on the pluses and minuses of leaving the plan.
The Alberta government says its workers have contributed an oversized share to the national fund and would be in line for big savings and payouts if it were to leave the CPP.
Alberta Premier Danielle Smith had planned to hold a possible referendum on leaving the CPP in 2025, but now says she won’t hold it until governments or the courts deliver a hard number on how much Alberta will get if it leaves the CPP.
The federal government, and other provinces have raised concerns about Alberta’s proposed move, and federal Conservative Leader Pierre Poilievre has urged Alberta to stick with the CPP.
Freeland today highlighted the gravity of the situation. “Since the CPP was founded almost 60 years ago, no province has ever left. This action is unprecedented. It would be very complicated, and it would come at a time of great uncertainty and complexity” she told a news conference in Ottawa.
Freeland said this is the beginning of a national conversation, and she looks forward to meeting with her provincial and territorial counterparts in-person next month.
