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Ontario mental health groups warn federal funding expiry could put mental health care at risk

8th Oct 2026 AMHO News

(Toronto, October 8, 2026) –  Addictions and Mental Health Ontario (AMHO), Canadian Mental Health Association (CMHA) Ontario and Children’s Mental Health Ontario (CMHO) are joining the Ontario government in calling on the federal government to protect the progress made through federal health investments and ensure community mental health and addictions services have the stable and long-term funding to meet increased demand.

The organizations are calling on the federal government to renew the $1.2 billion in dedicated bilateral annual funding for home and community care and mental health and addictions services set to expire March 31, 2027. These targeted investments are critical to sustaining and expanding mental health and addictions services across Canada. Federal investments have supported a range of services delivered in communities, including mental health supports, addictions treatment, crisis services, early intervention and services for children, youth and families. These services are a critical part of Ontario’s health care system.

Each year, more than one million people in Ontario experience a mental health or addictions challenge that requires care. Increasing trust in mental health and addictions care has encouraged more people to seek support earlier. Between 2020 and 2026, use of mental health crisis intervention services rose by 22 per cent.

“The potential expiry of federal funding comes at a time when communities cannot afford to lose capacity in mental health and addictions services,” said Camille Quenneville, CEO, CMHA Ontario. “Our sector is responding to growing demand and increasingly complex challenges, including the ongoing toxic drug crisis and the intersection of mental health, substance use, homelessness and other social needs.”

Economic and geopolitical uncertainty can increase the risk of mental health and substance use issues and put additional pressure on families. Ontario saw what widespread disruption and uncertainty can have during the pandemic, when people seeking help for mental health challenges increased from 9 per cent to 24 per cent and research from CMHO and AMHO showed six in 10 Ontario parents reported behavioural changes in their children. Workers in sectors most affected by tariffs, including automotive, construction, agriculture, forestry, and mining, may experience additional strain, affecting not only their own well-being but also the mental health of their children and families.

“Investments in mental health and addictions services are investments in people, our healthcare system, and our economy,” said Jennifer Holmes Weier, CEO, AMHO. “Strong, stable health funding is an essential building block for the modern system of care Ontarians need. When people can access the right care at the right time, there is less pressure on our healthcare system, greater stability for families and workplaces, and fewer people reaching crisis.”

For children and youth, sustained investment in community mental health care has helped strengthen access to early intervention, counselling and treatment, and more intensive services for young people with complex needs. But significant gaps remain. In 2023-24, 1 in 4 hospitalizations for children and youth in Ontario were for mental health reasons. While current federal funding has made an impact, approximately 35 per cent of children and youth in Ontario aged 5 to 17 with a mental health disorder have unmet needs. With demand continuing to grow, renewed federal funding is critical to protecting the progress made, maintaining community-based mental health care and helping children and youth get the right care earlier, before their needs become more serious.

“Children and youth cannot afford to wait for mental health care,” said Emily Foster, CEO of Children’s Mental Health Ontario. “Ontario has made important progress, but community child and youth mental health services remain under significant pressure. We need to stabilize and strengthen the system, including the skilled workforce that children, youth and families rely on, while protecting the progress we have made. We join Ontario and other provinces and territories in urging the federal government to renew this critical funding before it expires.”

AMHO, CMHA Ontario and CMHO look forward to working with both levels of government to protect these investments and build a stronger, more sustainable mental health and addictions system for Ontarians.

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For more information, contact:

David Turnbull, Director of Public Affairs and Communications
Addictions and Mental Health Ontario
E: david.turnbull@amho.ca

About Addictions Mental Health Ontario

Addictions and Mental Health Ontario (AMHO) represents over 150 organizations that provide front-line substance use, addiction, and mental health support and services. AMHO members support Ontarians through their mental health, substance use health, and addiction challenges by providing community-based and hospital-based services. AMHO is known for its thoughtful, evidence-informed research projects, policy advocacy, capacity building and system transformation initiatives, knowledge exchange, education, and quality improvement programs.

About Canadian Mental Health Association, Ontario

Canadian Mental Health Association (CMHA), Ontario is a not-for-profit, charitable organization funded by the provincial government. We work to improve the lives of all Ontarians through leadership, collaboration and continual pursuit of excellence in community-based mental health and addictions services. Our vision is a society that embraces and invests in the mental health of all people. We are a trusted advisor to government, contributing to health systems development through policy formulation and recommendations that promote positive mental health.

About Children’s Mental Health Ontario

Children’s Mental Health Ontario (CMHO) is the association representing Ontario’s public providers of infant, child and youth mental health services. Our 85 member organizations operate in every region of the province, providing treatment and support to infants, children, youth and families. Services include targeted prevention, early intervention, short- and long-term counselling and therapy, addictions services, intensive services and acute care.

With the combined strength of our members, partners, youth and families, our primary goal is to promote a coordinated and high performing system of care that puts children, youth, and families first, so that young people get the mental health supports they need to thrive


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