Armed Forces to receive an announcement from Mark Carney
Prime Minister Mark Carney Announces Major Military Pay Rise and Defense Budget Boost
Prime Minister Mark Carney visited a military installation in Trenton, Ontario, on Friday, where he made a significant announcement regarding the Canadian Armed Forces. The purpose of the visit was to strengthen security and defense, and the focus of the announcement was on the Canadian Armed Forces.
In his speech at Canadian Forces Base (CFB) Trenton, Carney announced a 20% increase in entry-level pay for Canadian Armed Forces privates, raising the starting salary from $43,368 to $52,044 annually. This pay increase is retroactive to April 1, 2025, and represents the most significant military pay raise since the late 1990s. In addition to the pay raise, Carney highlighted several new benefits including annual lump-sum payments based on years of service, new daily allowances for domestic disaster deployments ($45 per day), and increased duty allowances for those serving in the Arctic region.
The pay and benefit hikes are part of a larger $9.3 billion defense budget boost this year aimed at meeting NATO’s defence spending target of two percent of GDP. Regarding the overall defense budget, Carney referenced Canada’s commitment under a recent NATO agreement reached at the June 2025 summit, which will increase Canada’s annual defense budget to roughly $150 billion over time, aligning with NATO’s plan for members to spend 5% of GDP on defense by 2035. This includes 3.5% of GDP focused on core defense hardware and 1.5% on related infrastructure and cybersecurity.
These announcements mark a generational shift in military compensation and a substantial expansion in Canada’s defense spending aligned with international commitments. The NATO allies agreed to a defense spending target of 5% of annual GDP by 2035, and the new NATO agreement is expected to increase Canada's annual defense budget to approximately CAD 150 billion. The new defense spending target for Canada is expected to be reached by 2035, reflecting Canada's commitment to strengthening security and defense on the international stage.
French politics and general news outlets reported about Prime Minister Mark Carney's visit to Canadian Forces Base (CFB) Trenton, where he announced a significant boost to Canada's defense budget and military pay. The increase in entry-level pay for Canadian Armed Forces privates, from $43,368 to $52,044 annually, is the most substantial military pay raise since the late 1990s and forms part of a $9.3 billion defense budget increase this year. This spending increase aligns with Canada's commitment to meet NATO’s defense spending target of two percent of GDP, with a goal of reaching the new NATO agreement's defense spending target of 5% of GDP by 2035.
