Question Period Note: Spending on professional and special services

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About

Reference number:
PSPC-2025-QP-00031
Date received:
Nov 19, 2025
Organization:
Public Services and Procurement Canada
Name of Minister:
Lightbound, Joël (Hon.)
Title of Minister:
Minister of Government Transformation, Public Works and Procurement

Issue/Question:

Public Services and Procurement Canada is working to strengthen contract management for professional and special services.

Suggested Response:

  • The government of Canada is committed to spending less on professional services. Public Services and Procurement Canada is monitoring its professional and special services spending and is looking to reduce spending in management consulting and business services. It expects to report decreases in these areas for fiscal year 2025-2026
    • As the department moves into groundbreaking on major infrastructure projects, the use of specialized resources (i.e., construction and engineering and architectural services) can be expected to rise
    • We continue to take proactive measures to reduce expenditures on management consulting and similar professional consultants

Background:

Parliamentary inquiries, audits of the Office of the Auditor General and reviews of the Office of the Procurement Ombud on federal government spending on professional services contracts have generated negative media attention and have raised concerns about taxpayer dollars that are spent on professional services.

In addition to the policy direction issued by the Treasury Board of Canada Secretariat in October 2023 in The Manager’s Guide: Key Considerations when Procuring Professional Services, PSPC has taken action to strengthen existing controls and has implemented measures to ensure proper oversight of public funds, clear accountability and documented decision-making.

Over the past decade, government expenditures on professional and special services have remained consistent relative to both total government expenditures and to the total payroll for public servants.

Additional Information:

  • Budget 2025 commits to reducing spending on professional and special services as part of its objective to meet up to 15% in savings over 3 years
    • In fiscal year 2024-2025, Public Services and Procurement Canada spent $3.04 billion on professional and special services (including construction, engineering and architectural, management, and other services)
    • The fiscal year 2025-2026 Main Estimates project Public Services and Procurement Canada spending of $3.63 billion, representing a planned increase of 19%
    • This is largely due to major infrastructure projects as well as work related to pay operations and the transition to the new human resources and pay solution