Election spending inflation factor 2021

Summary#

The Office of the Chief Electoral Officer published the inflation adjustment factor that applies under the Canada Elections Act for the one-year period starting April 1, 2021. The factor is 163.1 ÷ 108.6, or 1.502, and it is used to increase various spending limits and subsidy amounts for the coming year.

What it does#

• Announces the inflation adjustment factor under the Canada Elections Act for the year beginning April 1, 2021: 163.1 ÷ 108.6 = 1.502.
• Uses that factor to raise the monetary ceilings and payment calculations that the Act requires to be adjusted for inflation.
• Specifically affects calculations for:
  • limits on election expenses for candidates;
  • limits on partisan advertising expenses and election expenses for registered parties;
  • limits on partisan activity expenses, partisan advertising expenses, election advertising expenses and election survey expenses for third parties;
  • audit subsidy payments for registered associations, nomination contestants, candidates and leadership contestants.

Who's affected#

• People running for office (candidates) and their campaign teams.
• Political organizations, including registered parties and registered associations.
• Outside groups that spend on political advertising or surveys (third parties).
• People who ran nomination contests or leadership contests and who claim audit subsidies (nomination contestants, leadership contestants).
• The announcement is from Stéphane Perrault, the Chief Electoral Officer, but it mainly affects those listed above.

Why it matters#

• The factor means the official spending limits and subsidy amounts are about 50% higher than the earlier baseline (factor 1.502).
• Higher limits change how much money campaigns and parties can legally spend and how much audit help they can receive.
• That affects campaign planning, fundraising targets, and compliance with election finance rules for the year starting April 1, 2021.