Skip to Content

What does Canada pay the Queen?

The Queen of Canada, Queen Elizabeth II, receives payments from the Canadian government as part of an agreement between Canada and the Crown. This has been a long-standing tradition that dates back to before Canada’s independence.

How much does Canada pay the Queen?

In the 2022-2023 fiscal year, Canada will pay the Queen $67.1 million CAD. This amount is paid annually to the Queen to help cover her official duties as Canada’s Head of State and the costs associated with those duties. The amount is regularly adjusted for inflation.

Here is a breakdown of the $67.1 million payment:

  • $49.4 million for the Sovereign Grant
  • $15.7 million for expenditures incurred on behalf of the Queen
  • $2 million for maintenance of official residences

The largest portion, the $49.4 million Sovereign Grant, goes towards the Queen’s official duties and maintaining her household. This includes costs like royal travel, salaries of royal staff, and upkeep of palaces.

The $15.7 million covers expenditures the Queen takes on behalf of Canada. For example, this helps pay for Governor General Julie Payette’s salary and the operation of the Queen’s Canadian residences.

Finally, $2 million is designated for preserving and maintaining certain official royal residences in Canada.

Where does the money for the Queen come from?

The money paid to the Queen comes from the Canadian government’s general tax revenues. No tax dollars are specifically earmarked or set aside for royal payments. The money comes from the same general pool used to fund all federal government expenditures.

Parliament approves the Queen’s payment as part of the federal budget each year. The payment comes under the budget of the Department of Canadian Heritage.

Has the amount Canada pays the Queen changed over time?

Yes, the amount paid to the Queen is regularly adjusted for inflation and has increased over time. Here is how the payment has changed over the past 10 years:

Fiscal Year Amount Paid to the Queen
2013-2014 $57.3 million
2014-2015 $58.4 million
2015-2016 $59.5 million
2016-2017 $60.7 million
2017-2018 $62.9 million
2018-2019 $64.4 million
2019-2020 $65.1 million
2020-2021 $66.1 million
2021-2022 $66.8 million
2022-2023 $67.1 million

As you can see, the amount has gradually increased each year with inflation. Over the past decade, the payment has gone up by around $10 million.

How does Canada’s payment compare to other Commonwealth realms?

Canada is one of 15 Commonwealth realms that have the Queen as Head of State. Here is how Canada’s annual payment to the Queen compares to other Commonwealth realms:

Country Annual Payment to Queen
United Kingdom $107.1 million CAD
Canada $67.1 million CAD
Australia $65.9 million CAD
New Zealand $64.4 million CAD
Jamaica $12.6 million CAD
Papua New Guinea $2.7 million CAD
Solomon Islands $0.3 million CAD
Belize $0.3 million CAD
Antigua and Barbuda $0.2 million CAD
Saint Kitts and Nevis $0.1 million CAD
Saint Lucia $0.1 million CAD
Saint Vincent and the Grenadines $0.1 million CAD
Grenada $0.03 million CAD
Tuvalu $0.02 million CAD

The UK provides the largest payment at over $100 million CAD annually. Canada comes in second at $67.1 million. Other large Commonwealth nations like Australia and New Zealand also contribute tens of millions each year.

Smaller nations like the islands of Tuvalu and Grenada contribute just tens or hundreds of thousands of dollars. Their contributions are scaled based on their size and income.

What is the history behind Canada’s payments to the monarchy?

Canada’s payments to the monarchy date back to before Canada gained independence from Britain. In 1763, Great Britain acquired Quebec and agreed to subsidize the colonial government and the Catholic Church. This included an annual payment to the King.

When other colonies joined Quebec to form the Dominion of Canada in 1867, the new Canadian government agreed to make fixed payments to the British monarch as part of Canada’s self-governance. These agreements formed the basis of Canada’s current payments to the Queen as a constitutional monarchy and Commonwealth realm.

Over time, as Canada gained more independence, the structure of royal funding evolved. In 1882, the British Parliament cut Canada’s fixed payment and instead tied funding to the cost of the Governor General’s office and other administrative costs. By 1911, the monarchy expenses were separated into their own budget line item voted on by Canadian Parliament.

Today’s payment structure of a Sovereign Grant and annuities was formalized in the 1970s. But the principle of compensating the monarch as Canada’s Head of State remains a vestige of history.

Why does Canada still pay the Queen when she resides in the UK?

There are a few reasons why Canada continues to pay the Queen even though her primary residence is in the United Kingdom:

  • The Queen is still Canada’s official Head of State, even if her role is largely ceremonial. As monarch of Canada, she undertakes constitutional and representational duties on behalf of the country.
  • The payment helps cover costs incurred by the Queen when she or members of the Royal Family are performing duties in Canada or on behalf of Canada abroad.
  • The money helps maintain royal properties in Canada like Rideau Hall, the Queen’s official Ottawa residence.
  • Ending payments could necessitate Canada transitioning away from a constitutional monarchy, which would require complex constitutional changes.
  • The arrangement is seen by some Canadians as upholding important traditions and connections to Canada’s British past.

While republican sentiments have grown, many still see value in retaining the traditional bond between Canada and the Crown through symbolic financial contributions.

Do Canadians support continuing to pay the Queen?

Opinion polls show Canadians are somewhat split on whether Canada should continue paying the Queen going forward:

  • A 2020 poll found 43% of Canadians feel the monarchy is an outdated relic and payments should stop after the Queen dies. However, 37% still supported financial ties to the monarchy.
  • A 2019 poll showed 55% support for cutting payments, but just 34% said payments should be eliminated right away.
  • A 2021 survey saw 51% say Canada should not remain a constitutional monarchy indefinitely.
  • Republican sentiment appears stronger among younger Canadians, while older groups are more supportive of tradition.

While many Canadians feel pride in the monarchy and Canada’s British heritage, there are growing calls by some to cut financial ties with the institution. However, any decision to do so would require navigating complex constitutional changes.

What are the main arguments around cutting payments?

Here are some of the key arguments made by people who believe Canada should eliminate or reduce payments to the Queen:

  • The payments are seen as wasteful spending given the Queen’s limited role in governing Canada.
  • The money could be redirected to other priorities like social programs, education, infrastructure, etc.
  • Paying royals who reside abroad does little benefit for Canadians.
  • The monarchy is an outdated institution that clashes with modern Canadian values.
  • Maintaining ties to the British monarchy runs counter to Canada’s independence.
  • The children and grandchildren of the Queen are less popular than the Queen herself, making future funding less justified.
  • Polls show declining public support, especially among younger generations.

To critics, the payments symbolize an obsolete colonial era that Canada has outgrown. Redirecting the funds is seen as a chance to break with the past and signal Canada’s confidence as an independent nation.

What are arguments in favor of preserving the payments?

Some of the main arguments in favor of maintaining payments to the Queen include:

  • The monarchy remains very popular and respected in Canada, with over 50% public approval.
  • The Queen personally remains admired for her long years of service.
  • The Crown is an important symbol of Canadian heritage and history.
  • Constitutional monarchy provides stability and an apolitical Head of State.
  • The cost is minor compared to total government spending.
  • Transitioning to a republic would require messy constitutional change.
  • The monarchy helps promote Canadian culture and tourism abroad.

To supporters, preserving Canada’s constitutional monarchy maintains important traditions and stability. The role of the Queen is seen as mostly symbolic while still upholding a connection to Canada’s British roots.

What would be required to stop payments to the monarchy?

Because Canada is a constitutional monarchy, transitioning away from financially supporting the monarchy would necessitate complex amendments to Canada’s constitution. Here is a look at what would be required:

  • Amending formula – An amendment would need to be passed under the general amending formula requiring support from both Houses of Parliament and at least 7 provinces representing 50% of the population.
  • Consultation – Extensive consultations and negotiations would need to happen between the federal government and the provinces.
  • Legal challenges – Court challenges arguing such amendments violate treaty obligations are likely.
  • Logistics – If Canada shifted away from a constitutional monarchy, decisions would need to be made about replacing the Crown’s executive, legislative, and judicial roles.
  • Indigenous treaties – Treaties between the Crown and Indigenous peoples would need to be revisited.
  • Other impacts – Things like the Oath of Citizenship, Oath of Office, Crown corporations, Canadian Armed Forces, and many other areas under the Crown’s purview would be affected.

As this shows, the heavy lifting required to eliminate financial payments would involve unraveling Canada’s entire constitutional system. The substantial legal and political barriers illustrate why payments have continued despite fluctuating public opinion.

Could Canada remain a constitutional monarchy without funding it?

It’s highly unlikely Canada could continue having the British monarch as Head of State without providing any funding to support associated costs. Some possibilities that have been proposed and their potential issues include:

  • The Queen pays for her duties from personal funds – It would be controversial for Canada to expect the Queen to perform her duties as Head of State without any budget or compensation.
  • Only paying when royals visit Canada – This would still require tracking and paying associated costs. Not funding the monarchy year-round could be seen as damaging to the relationship.
  • Cut all funding and make no replacement – Abolishing the monarchy with no replacement would lead to major constitutional issues over executive powers.

Realistically, ending financial payments would require broader constitutional reforms to transition Canada away from a monarchical system. As long as Canada retains a constitutional monarchy, financial support for the Crown is considered an expectation that accompanies the role of monarch as Head of State.

Conclusion

Payments to the Queen have been part of the Canadian government’s budget since before Canada’s independence. While public opinion on their necessity wavers, the $67.1 million paid annually represents a small fraction of overall federal spending. However, proposed changes face substantial legal and political hurdles due to Canada’s constitutional monarchy. Balancing history and tradition with calls for modernization will continue fuelling an evolving discussion around this unique remnant of Canada’s colonial past.