• By: OLM Staff

Bureaucracy Boom: Bloated Costs Soar 80% as Services Decline

The cost of Canada’s federal bureaucracy has ballooned by 80 percent over the past decade, according to newly released Public Accounts disclosures. The numbers reveal a staggering increase in government spending, sparking calls for urgent action from taxpayer advocates.

The Public Accounts show that the federal bureaucracy cost taxpayers $71.4 billion in 2024-25, up $6 billion in just one year—a jump of more than nine per cent. In 2015-16, the bureaucracy cost $39.6 billion, meaning taxpayers are now footing a bill nearly double what it was ten years ago.

The growth hasn’t just been financial. The government has added 99,000 new bureaucrats since 2015-16, yet Canadians aren’t convinced they’re seeing better results. A recent Leger poll found that half of Canadians believe federal services have worsened since 2016, despite the massive expansion of the public service.

Franco Terrazzano, Federal Director of the Canadian Taxpayers Federation (CTF), says the numbers highlight a system spiralling out of control.

“The Public Accounts show the cost of the federal bureaucracy is out of control,” Terrazzano said. “Tinkering around the edges won’t cut it; Carney needs to take urgent action to shrink the bloated federal bureaucracy.”

Prime Minister Mark Carney now faces mounting pressure to rein in costs. Critics argue that the government is not only spending more on in-house staff but also pouring billions into outside help.

Last year, Ottawa spent $23.1 billion on consultants, contractors, and outsourcing, an 11 percent increase from the previous year. Spending on “professional and special services” has more than doubled since 2015-16, raising questions about efficiency and accountability.

Terrazzano says taxpayers are being hit twice—once for the growing bureaucracy and again for the rising reliance on external services.

“Taxpayers should not be paying way more for in-house government bureaucrats and way more for outside help,” he said. “Mere promises to find minor savings in the federal bureaucracy won’t fix Canada’s finances. Taxpayers need Carney to take urgent action and significantly cut the number of bureaucrats now.”

The Numbers at a Glance (Public Accounts)

The numbers paint a clear picture: Canada’s bureaucracy is growing faster than ever, while public confidence in government services is shrinking.

As Ottawa grapples with fiscal challenges, the debate over the size and cost of the federal workforce is likely to intensify. For taxpayers, the question remains—how much bigger can the bureaucracy get before meaningful reform takes place?