National Defence
What National Defence spent in fiscal year 2025-26: its net expenditure by standard object, from the Public Accounts of Canada, Volume II.
Reports through National Defence; the overview shows it in that ministry.
What National Defence does
The Department of National Defence (DND) and the Canadian Armed Forces (CAF) are responsible for ensuring Canada's security and defence through military operations, infrastructure management, and personnel support. Established in 1923 under the National Defence Act, DND oversees the defence budget, military procurement, and readiness planning, while the CAF executes domestic and international operations. The department sets strategic defence policy and works with international allies, including NATO and NORAD, and administers military health services, housing programs, and recruitment to support its personnel.
Federal defence spending shifts over time with geopolitical tensions, defence modernization needs, and emerging threats such as cyber warfare, and events such as Russia's invasion of Ukraine and Arctic sovereignty disputes can influence military spending.
Spending, 2025-26
Net spending, 2025-26
$47.8B
spent by National Defence, less revenues it kept
Share, 2025-26
10.0%
of the net spending of every federal organization
How did National Defence spend its budget in 2025-26?
By standard object. Revenues it kept are negative and netted against its spending. Transfer payments are broken into their largest named programs.
Spending by standard object, 2025-26
Personnel
Acquisition of machinery and equipment
Professional and special services
Transfer payments
Repair and maintenance
Utilities, materials and supplies
Acquisition of land, buildings and works
Rentals
Transportation and communications
Other subsidies and payments
Information
Public debt charges
Internal revenues
External revenues
$15.1B
$13.5B
$8.3B
$3.12B
$2.73B
$1.52B
$1.39B
$963M
$963M
$563M
$37.3M
$1.2M
-$14.8M
-$420M
Total: $47.8B.
Workforce, 2025-26
Personnel spending
$15.1B
salaries, wages and benefits (the personnel standard object)
A full-time equivalent is a measure of employment, not a headcount: two half-time employees are one FTE. Personnel spending includes benefits and pension contributions, so per FTE it is not an average salary.
Transfer payment programs, 2025-26
The grants, contributions and other transfers National Defence paid, program by program: $3.12B in all, against $3.12B for the transfer payments object above (the Public Accounts publish the two tables separately).
| Contributions in Support of the Military Training and Cooperation ProgramPayments | Contribution | $2,443,871,512 |
| North Atlantic Treaty Organization Contribution Program: NATO Military Budget (NATO Programs)Payments | Contribution | $242,426,395 |
| North Atlantic Treaty Organization Contribution Program: NATO Security Investment Program (NATO Programs)Payments | Contribution | $175,966,236 |
| Contributions for the Canadian Defence Industry Resilience ProgramPayments | Contribution | $79,400,000 |
| Grant in support of the Innovation for Defence Excellence and Security ProgramPayments | Grant | $46,799,999 |
| Contributions in support of the Capital Assistance ProgramPayments | Contribution | $38,101,993 |
| North Atlantic Treaty Organization Contribution Program: NATO Other Activities (NATO Programs)Payments | Contribution | $23,972,023 |
| Contributions in support of the Innovation for Defence Excellence and Security ProgramPayments | Contribution | $22,750,561 |
| Contributions in Support of the Canadian Coast Guard Integrated ProgramPayments | Contribution | $18,385,179 |
| Contributions for Funding of Temporary Water Treatment Units for the City of Saguenay ProgramPayments | Contribution | $5,878,601 |
| Grants to establish the program for Canadian Innovators and Accelerators of the North Atlantic Treaty Organization Defence Innovation Accelerator for the North Atlantic programPayments | Grant | $5,225,281 |
| Contribution to the Civil Air Search and Rescue AssociationPayments | Contribution | $4,000,000 |
| Contributions in support of the Remediation of the North Bay Jack Garland Airport SitePayments | Contribution | $3,278,349 |
| Mobilizing Insights in Defence and Security Grant programPayments | Grant | $2,874,917 |
| Mobilizing Insights in Defence and Security Contribution ProgramPayments | Contribution | $2,250,000 |
| 26 programs | $3,121,686,787 | |
Contracts of $10,000 and under
Contracts this small are not published one by one: Treasury Board publishes each organization's totals, by calendar year, for contracts of $10,000 and under (their original value and their amendments) and for acquisition card purchases. They are the value of contracts entered into, not what was paid in a fiscal year, so they are not part of the net expenditure above, and the years are calendar years.
| Calendar year | Goods | Services | Construction | Acquisition cards | Total |
|---|---|---|---|---|---|
| 2025 | $182,738,592 | $46,120,268 | $36,225,107 | $146,087,224 | $411,171,190 |
| 2024 | $91,493,993 | $67,223,666 | $10,075,883 | $129,209,091 | $298,002,633 |
| 2023 | $95,882,105 | $67,438,204 | $10,174,236 | $128,345,241 | $301,839,786 |
| 2022 | $85,609,067 | $61,717,171 | $10,324,676 | $223,452,745 | $381,103,659 |
| 2021 | $82,403,481 | $55,738,986 | $10,327,243 | $223,548,287 | $372,017,998 |
| 2020 | $111,470,378 | $52,693,653 | $9,007,956 | $132,086,957 | $305,258,944 |
| 2019 | $93,388,547 | $65,443,577 | $10,258,230 | $153,756,325 | $322,846,680 |
| 2018 | $85,343,229 | $69,174,522 | $11,392,034 | $217,488,621 | $383,398,405 |
| 2017 | $60,812,614 | $57,802,168 | $4,820,732 | $181,297,114 | $304,732,629 |
National Defence’s share of federal net spending
Other organizations in National Defence
Sources
- Public Accounts of Canada 2026, Volume II: Ministerial expenditures by standard object (Table 3)
- Public Accounts of Canada, Volume II: Transfer payments (multi-year open data)
- Proactive Publication - Contracts: Aggregated Total - Contracts $10K and under
Department figures are net expenditure (Public Accounts, Volume II), which doesn’t add up to the accrual expenses of the overview’s headline. See the methodology.
