Thank you very much.
My thanks to the witnesses for being here today.
My first question goes to Ms. Reid.
As you probably know, the government has announced that it is going to unilaterally reduce the rate of growth in health transfers, dropping it from 6% to 3% in three years. In terms of the previous level of health funding transferred to the provinces and territories, that represents a reduction of about $31 billion. The government is now telling us that it is because the provinces and territories have reduced their costs by the same amount.
I have two questions for you. First, I would like to know if the provinces and territories have reduced their costs through efficiencies or because they are beginning to cut into bone—meaning reducing essential services by changing the services that provincial health care insurance programs cover. There may be other reasons too.
Then, I would like to know what you think about the fact that the government has made those changes to the transfers unilaterally.