It’s 2026. Parliament is returning and must confront a global geopolitical environment unlike any we have known in the postwar period. The Carney and Trump speeches at Davos define the moment and the risks, respectively. These are perilous times.
At any time, but especially now, Canadians need a federal government operating at its very best. Yet for at least a decade, this has not been the case. In a recent book (Lynch & Mitchell, A New Blueprint for Government: Reshaping Power, the PMO and the Public Service), we argue that government underperformance has been a significant contributor to Canada’s struggles, and that underperformance is due to pervasive and persistent imbalances in how government has been working.
Balance is the key to our Westminster system of government operating well. Yet the federal government has been suffering from profound imbalances in core aspects of its operations for some time. These imbalances include:
- extreme centralization of power and authority in the Prime Minister’s Office,
- marginalization of ministers and of Cabinet as a decision-making forum,
- dominance by political staff of the non-partisan public service,
- scant Parliamentary oversight of government policy and operations,
- little attention to the delivery of government services,
- growing fiscal imbalances, without a plan to restore fiscal health,
- and policies excessively geared to short-term spending and redistribution rather than growth.
We make the case that correcting these imbalances is a key part of dealing with the challenges Canada faces today. As we enter 2026, it’s worth asking to what extent the Carney government is tackling them. And, is how the PM is governing today part of a transition to a more traditional Westminster model of government, or does it represent his preferred approach to governing?
Positive steps
Rebalancing by the Carney government is most evident on the policy side. One can point to:
- The Alberta Accord, an important step in signalling the importance of the energy sector to strengthening Canadian growth and diversifying trade, as well as politically recasting the relationship between the province and the federal government.
- The realpolitik underlying the PM’s recent trip to China, including important steps on targeted trade actions (canola and EV tariffs), and Carney using the visit to set the new context for Canada’s foreign policy: “We take the world as it is, not as we wish it to be.”
- A more targeted policy agenda, focused on improving productivity, strengthening growth, rediscovering our natural resources, diversifying trade, and rebuilding resilience in an era of radical uncertainty.
- A careful dance—so far—with the U.S. president and disruptor-in-chief, neither achieving any breakthroughs nor triggering any major breakdowns in the Canada-U.S. relationship despite the daily threats and taunts from the White House. Carney’s hard-hitting speech at Davos—arguing that the world has been ruptured by imperialistic hegemons, and mid-sized countries have to band together if they are to have any chance to push back—may turn out to be a game-changer.
- A still-too-large but two-tiered Cabinet, with a clear set of collective objectives, and a willingness to involve at least several ministers in priority issues.
As Parliament reconvenes in 2026, there is a need to review Prime Minister Carney’s governing record, highlighting both positive policy shifts and persistent structural imbalances. While Carney has shown progress in areas like energy policy, trade relations with China, and a more targeted agenda, significant challenges remain. Extreme centralization of power in the PMO, marginalization of Cabinet, and scant parliamentary oversight continue to hinder effective governance. Addressing these deep-seated imbalances is presented as crucial for Canada to navigate a complex global landscape and achieve sustained, effective governance.
Is Carney's government truly rebalancing power, or is the PMO still dominant?
How might the Carney government's focus on growth and productivity impact Canada's fiscal health?
What are the biggest geopolitical risks Canada faces, and is the government prepared?
Comments (4)
Messrs Lynch and Mitchell highlight the decades long problem of Canadian prime ministers bypassing the House of Commons and Cabinet Ministers while consolidating power in the Prime Minister’s Office and associated coterie of political appointees. I don’t see how this will ever reverse itself and I fear we’ll end up with a single supreme leader and 342 other MPs who are nothing but proxies for their party’s leader. MPs willingly play along with centralizing power in the PMO (or party leader) and the media seem clueless about how Westminster Parliamentary systems are supposed to operate. How often do we see “Canadians voted for [insert name of PM]” when they should know that the only Canadians who vote for the PM are the voters in the PM’s riding. Even Hub contributors routinely write this way.
Until the media does a better job of accurately reporting on how Parliament is meant to operate, and until MPs push back to start to reclaim their proper role, Canada will be left with a hollow Parliament and an executive that operates with impunity and no Parliamentary oversight. It would also help if Canadian voters educated themselves more fully on how Westminster Parliamentary systems operate and how it’s silly (and dangerous) to encourage a consolidation of power in the role of the PM.