Expanded Canada Pension Plan could decrease investment in Canada by up to $114 billion over next decade

VANCOUVER—By forcing Canadian workers to contribute more to the Canada Pension Plan (CPP), Ottawa and the provinces will inadvertently shrink the pool of money available for investments in Canada—potentially up to $114 billion by 2030, finds a new study released today by the Fraser Institute, an independent, non-partisan Canadian public policy think-tank. “A shrinking pool of domestic investment means there will potentially be less money available in Canada to finance start-up businesses, the maintenance and expansion of existing operations, and investments in new machines and technology—all of which are critical for improving the economy and the living standards of workers,” said Charles Lammam, director of fiscal studies at the Fraser Institute and co-author of Expansion of the Canada Pension Plan and the Unintended Effect on Domestic Investment.