Alberta UCP plans two-tier private healthcare despite Canada Health Act breach warning

Alberta's United Conservative Party government is set to launch a two-tier private healthcare model this September, allowing wealthy patients to pay out of pocket or use private insurance to skip surgical waitlists — while everyone else stays in line. Health Minister Adriana LaGrange confirmed the "dual-practice" model will begin in September 2026, according to DiscoverAirdrie.com, despite a formal legal opinion concluding the scheme violates the Canada Health Act.
The plan, built on Bill 11 passed in November 2025, is described by lawyer Emma Phillips of Goldblatt Partners LLP as "the most extensive privatization of payment for medically necessary services in Canada since 1984." Over 500,000 Albertans are currently waiting for treatment, according to The Hub, and average wait times hit 38 weeks for scheduled procedures in 2024 — the figures Premier Danielle Smith uses to justify the overhaul.
Bill 11, the Health Statutes Amendment Act, 2025 (No. 2), received Royal Assent on December 18, 2025. It allows physicians to work in both the public and private systems at the same time — what the government calls "dual practice." Critics say this creates a dangerous conflict of interest. Raj Uppal, CUPE Alberta President, warns that doctors will now be able to tell patients they can "skip the wait time by paying out of pocket," according to CUPE Alberta.
The government has built in some safeguards, LaGrange says. But she has not set a minimum number of hours doctors must spend in the public system. Uppal says the regulations are "totally inadequate" to stop the public system from being "starved" of physician time. Private surgeries will also be allowed inside public hospitals, which critics say hands public infrastructure over to private profit.
On May 5, 2026, Goldblatt Partners LLP released a formal legal opinion stating Bill 11 breaches the Canada Health Act in three key ways. It violates Section 12, which guarantees reasonable access without financial barriers. It also breaks Sections 18 and 19, which ban extra-billing and user fees, according to Financial Post.
The federal government now faces a choice: enforce the Canada Health Act by cutting health transfer payments to Alberta, or allow the breach to stand. No federal response has been announced. If Ottawa withholds funds, it would trigger a major political showdown between the two governments this fall.
At least 25 registered lobbyists representing private insurance companies — including Manulife, Sun Life, and Canada Life — were active in Alberta during the development of Bill 11, according to The Breach. These companies stand to gain a brand-new market selling insurance for surgeries that Canadians previously received for free through the public system.
Chris Gallaway, Executive Director of Friends of Medicare, says the government is "dismantling [the system] bit by bit to make it easier for private health care companies to profit," according to The Stettler Independent. The Canadian Medical Association has also expressed "deep concern," warning the plan will "take resources away from the public system" and push public waitlists even higher.
Come September 2026, Albertans with money or private insurance will be able to book orthopedic, gynecological, and general surgeries without waiting. Those without will stay on a public waitlist that already stretches 38 weeks on average. One in ten emergency room patients left without being seen in 2024, according to The Hub.
Premier Smith argues the model will "expand surgical capacity" and that "doing more of the same will not reduce Alberta's surgical wait times." But the Parkland Institute warns that once doctors can earn more money in private clinics, they will have a financial incentive to spend less time treating public patients — making the waitlist problem worse, not better, according to Calgary Sun.
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