Quarterly Financial Report for the period ending June 30, 2026
Statement outlining results, risks and significant changes in operations, personnel and program
Publication information
Quarterly financial report for the quarter ended
© His Majesty the King in Right of Canada, as represented by the Royal Canadian Mounted Police, 2026
- ISSN 3111-0118
- Catalogue number PS62-5E-PDF
List of acronyms and abbreviations
- DNA
- deoxyribonucleic acid
- IM
- information management
- IT
- information technology
- RCMP
- Royal Canadian Mounted Police
- SPA
- special purpose allotment
- VNR
- vote netted revenues
List of tables
- Table 1: Cumulative variance in authorities in 2025–26 in comparison to 2024–25
- Table 2: Year to date expenditure at quarter end
- Table 3: Year to date expenditures by standard object at quarter end
- Table 4: Statement of Authorities (unaudited)
- Table 5: Departmental budgetary expenditures by standard object (unaudited)
1. Introduction
This quarterly financial report (QFR) has been prepared by management as required by section 65.1 of the Financial Administration Act and in the form and manner prescribed by the Treasury Board. The report should be read in conjunction with the Main Estimates for 2026-27. The quarterly report has not been subject to an external audit or review.
1.1 Mandate
The Minister of Public Safety is the minister responsible for the Royal Canadian Mounted Police (RCMP). The responsibilities of the RCMP are set out in section 18 of the Royal Canadian Mounted Police Act. The RCMP's mandate is multi-faceted, it includes preventing and investigating crime; maintaining peace and order; enforcing laws; contributing to national security; ensuring safety of state officials, visiting dignitaries and foreign missions; and providing vital operational support services to other police and law enforcement agencies within Canada and abroad.
Further information on the mandate, roles, responsibilities and programs of the RCMP can be found in the Main Estimates (Part II of Estimates) and the Departmental Plan and Departmental Results Report (Part III of Estimates).
1.2 Basis of presentation
This quarterly report has been prepared by management using the expenditure basis of accounting. The accompanying Statement of Authorities includes the RCMP’s spending authorities granted by Parliament and those used by the department consistent with the Main Estimates. This quarterly report has been prepared using a special purpose financial reporting framework designed to meet financial information needs with respect to the use of spending authorities.
The authority of Parliament is required before money can be spent by the Government. Approvals are given in the form of annually approved limits through appropriation acts, or through legislation in the form of statutory spending authority for specific purposes.
The RCMP uses the full accrual method of accounting to prepare and present its annual departmental financial statements that are part of the departmental results reporting process. However, the spending authorities voted by Parliament remain on a cash expenditure basis.
The RCMP is funded through annual appropriations and is, therefore, impacted by any changes in funding approved through Parliament. In addition, it receives a significant portion of funding through vote netted revenue (VNR) from the provision of policing services to provinces, territories, municipalities and first nations communities, as well as from cost sharing agreements with provinces and territories for the provision of DNA analysis by the RCMP. RCMP also receives VNR authorities for the administration of RCMP’s Pension Plan.
The RCMP’s authorities are allocated in several discrete envelopes with varying sources of funds. A number of Special Purpose Allotments (SPAs) have been created over the years to manage the various programs and/or initiatives.
2. Highlights of the fiscal quarter and fiscal year-to-date results
The following section provides financial results and explanations for the quarter ending June 30, 2026, as compared to the quarter ending June 30, 2025. The following graph illustrates the net budgetary authorities and year-to-date expenditures, which equal the expenditures for the quarter ending June 30, 2026, along with comparative figures for the same quarter last fiscal year. It reflects the department’s combined Vote 1 - Operating, Vote 5 - Capital, Vote 10 - Grants and Contributions, Vote 15 –Payments in respect of disability and health benefits for members of the Royal Canadian Mounted Police, as well as statutory elements.
Significant changes to authorities
For the period ending June 30, 2026, the RCMP has $6,379.7 million in total authorities. This amount includes 2026-27 Main Estimates of $6,286.7 million, Supplementary Estimates A of $82.1 million, technical adjustments of $1.2 million, and proceeds from the disposal of Crown assets of $9.6 million.
As illustrated in the table below, total authorities as at June 30, 2026, increased by $301.6 million compared to the first quarter of fiscal 2025-26.
Chart 1: Highlights of the first quarter and the fiscal year-to-date ($ millions)
Text version
| Authorities | 2025–26 | 2024–25 |
|---|---|---|
| Net budgetary authorities | 6,379.7 | 6,078.0 |
| Year to date expeditures | 1,283.0 | 1,347.5 |
| Third quarter expenditures to date | 1,283.0 | 1,347.5 |
| Based on the end of the first quarter (June) | Total authorities | Year over year variance | ||
|---|---|---|---|---|
| 2026-27 | 2025-26 | Authorities | Percentage | |
| Gross operating expenditures | 6,387,015 | 6,179,869 | 207,147 | 3% |
| Less: Vote netted revenues | 2,443,538 | 2,364,427 | 79,110 | 3% |
| Vote 1 - Net operating expenditures | 3,943,478 | 3,815,441 | 128,036 | 3% |
| Vote 5 - Capital expenditures | 451,387 | 452,366 | (979) | (0%) |
| Vote 10 - Grants and contributions | 26,932 | 26,177 | 755 | 3% |
| Vote 15 - Health and disability | 1,160,271 | 1,060,656 | 99,614 | 11% |
| Total voted authorities | 5,582,068 | 5,354,640 | 227,427 | 4% |
| Pensions and other employee benefits - Members of the Force | 649,956 | 597,401 | 52,555 | 9% |
| Contributions to employee benefit plans (public service employees) | 133,027 | 119,377 | 13,650 | 56% |
| Pensions under the Royal Canadian Mounted Police Pension Continuation Act | 5,000 | 5,000 | - | 0% |
| Proceeds from the disposal of crown assets under the Surplus Crown Assets Act | 9,611 | 1,627 | 7,984 | 92% |
| Total statutory authorities | 797,594 | 723,404 | 74,190 | 10% |
| Total budgetary authorities | 6,379,662 | 6,078,045 | 301,617 | 5% |
Table 1 footnotes
- Table 1 footnote 1
-
Totals may not add due to rounding.
Explanation of changes in voted and statutory authorities
Vote 1 - Gross operating expenditures
The organization’s gross Vote 1 increased by $207.1 million compared to the first quarter of 2025-26, mainly due to:
- an increase of $201.3 million in funding to support additional capacity for the Federal mandate
- an increase of $171.4 million to address growth in the Contract Policing program and enable the continuance of effective program delivery
- an increase of $70.0 million to support the FIFA World Cup 26TM
- an increase of $22.2 million to enhance the integrity of Canada’s borders
- an increase of $21.5 million related to Compensation adjustments for Public Service Employees and members
These increases were partially offset by:
- a decrease of $174.5 million in funding related to Canada’s 2025 G7 Presidency
- a decrease of $31.0 million in funding for International Police Peacekeeping and Peace Operations
- a decrease of $25.7 million in funding to support the comprehensive expenditure review
- a decrease of $16.3 million in funding for the assault-style firearms compensation program
- a decrease of $14.0 million for the sunsetting initiative Funding to Deliver Service Excellence to Veterans
- a decrease of $12.9 million in sunsetting funding to combat foreign interference
- a net decrease of $4.9 million in other previously approved and new initiatives
Vote netted revenues
The organization’s VNR authority increased by $79.1 million compared to the first quarter of 2025-26 primarily to address growth in the Contract Policing program.
Vote 5 - Gross capital
The organization’s Vote 5 decreased by $1.0 million, compared to the first quarter of 2025-26, is mainly due to:
- a decrease of $28.5 million through a funding reprofile, to modernize RCMP’s IM/IT infrastructure
- a decrease of $18.1 million in funding related to Canada’s 2025 G7 Presidency
- a net decrease of $0.1 million for other previously approved and new initiatives
These increases were partially offset by:
- an increase of $35.7 million in funding to support additional capacity for the Federal Mandate
- an increase of $10.0 million to address growth in the Contract Policing program
Vote 10 - Grants and contributions
The organization’s Vote 10 increased by $0.8 million, compared to the first quarter of 2025-26 for the Survivor Income Plan ($0.5 million) and funding for police colleges in Canada for hate crime training ($0.3 million).
Vote 15 - Payments in respect of disability and health benefits for members of the Royal Canadian Mounted Police
The organization’s Vote 15 increased by $99.6 million, compared to the first quarter of 2025-26, due to:
- an increase of $79.8 million in disability payments for Members Injured on Duty
- an increase of $24.1 million for Member Occupational and Supplemental Health Benefits
- these increases were partially offset by a decrease of $4.3 million related to the comprehensive expenditure review
Statutory authorities
The organization’s statutory authority increased by $74.2 million compared to the first quarter of 2025-26, mainly due to:
- an increase of $32.6 million in Public Service Employees and Members of the RCMP Employee Benefits Plan, related to new and previously approved initiatives
- an increase of $28.8 million as a result of updates to Employee Benefit rates
- an increase of $4.8 million related to Compensation adjustments for Public Service Employees and members of the RCMP Employee Benefits Plan
- an increase of $8.0 million related to the Proceeds from the Disposal of Crown Assets under the Surplus Crown Assets Act
Explanation of significant variances from previous year expenditures
As illustrated in table 2 below, the total year-to-date net expenditures for the period ending June 30, 2026, have decreased by approximately $64 million (or 5%) compared to the previous year. This is in comparison to RCMP’s gross budgetary expenditures, which decreased by $1.4 million (or 0.1%) compared to the same period as observed in table 3.
| Year to date expenditures as at June 30, 2026 | 2026-27 | 2025-26 | Variance | Percentage |
|---|---|---|---|---|
| Vote 1 - Net Operating expenditures | 783,856 | 876,917 | (93,061) | (11%) |
| Vote 5 - Capital expenditures | 49,380 | 71,738 | (22,358) | (31%) |
| Vote 10 - Grants and contributions | 859 | 863 | (4) | (0%) |
| Vote 15 - Health and disability | 274,050 | 244,160 | 29,890 | 12% |
| Budgetary statutory expenditures | 174,853 | 153,782 | 21,071 | 14% |
| Total expenditures | 1,282,998 | 1,347,460 | (64,462) | (5%) |
Table 2 footnotes
- Table 2 footnote 1
-
Totals may not add due to rounding.
The decrease in net budgetary expenditure ($64 million) is mainly a result of increased revenue collections ($63 million) for the first quarter, attributable to both the timing of collections and increased costs to Contract Policing partners as compared to the previous year. The increases in both health and disability and statutory expenditures were largely offset by one-time operating and capital expenditures associated with Canada’s G7 presidency which were incurred in the first quarter of 2025-26. Other contributing factors to the decrease in net budgetary expenditures include the timing of expenditures and phases related to various projects, and the decrease in acquisition of vehicles in comparison to the previous year.
| Standard objects | 2026-27 | 2025-26 | Variance | Percentage |
|---|---|---|---|---|
| Personnel | 1,433,252 | 1,392,072 | 41,180 | 3% |
| Transportation and communications | 79,081 | 81,708 | (2,627) | (3%) |
| Information | 704 | 1,074 | (370) | (34%) |
| Professional and special services | 136,657 | 147,481 | (10,824) | (7%) |
| Rentals | 48,403 | 47,652 | 751 | 2% |
| Purchased repair and maintenance | 21,104 | 17,905 | 3,199 | 18% |
| Utilities, materials and supplies | 49,572 | 37,827 | 11,745 | 31% |
| Acquisition of land, buildings and works | 11,377 | 10,604 | 773 | 7% |
| Acquisition of machinery and equipment | 52,598 | 94,167 | (41,569) | (44%) |
| Transfer payments | 1,149 | 1,371 | (222) | (16%) |
| Public debt charges | 107 | 118 | (11) | (9%) |
| Other subsidies and payments | 32,094 | 35,604 | (3,510) | (10%) |
| Total gross budgetary expenditures | 1,866,098 | 1,867,581 | (1,483) | 0% |
| Less: Revenues and other reductions | 583,100 | 520,121 | 62,979 | 12% |
| Total net budgetary expenditures | 1,282,998 | 1,347,460 | (64,462) | (5%) |
Table 3 footnotes
- Table 3 footnote 1
-
Totals may not add due to rounding.
- Table 3 footnote 2
-
There is not a direct correlation between total expenditure and revenue trends as expenditures reflect total RCMP, whereas revenues are related primarily to contract policing activities.
Expenditure analysis by standard object
Personnel
The increase in expenditure of $41.2 million (or 3%) is mainly attributed to a year-over-year increase in disability payments for Members Injured on Duty and employee benefits plan expenditures.
Information
The decrease in expenditures of $0.4 million (or 34%) is mainly attributed to the timing of printing services for firearms communications, advertising and publication services compared to the previous fiscal year.
Purchased repair and maintenance
The increase in expenditures of $3.2 million (or 18%) is mainly due to the cost of vehicle repairs and maintenance being higher than the previous period last year.
Utilities, materials and supplies
The increase of $11.0 million or (31%) is due to increases in gas, fuel and oil prices, as well as uniform expenditures.
Acquisition of land, buildings and works
The $9 million (20%) increase is primarily attributable to higher expenditures for buildings and leasehold improvements.
Acquisition of machinery and equipment
The decrease in expenditures of $41.6 million (or 44%) is mainly attributed to the decrease in vehicle purchases, radios and security systems primarily related to Canada’s 2025 G7 Presidency expenditures, which occurred in the first quarter of 2025-26.
Transfer payments
The decrease of $0.2 million or (16%) is mainly due to the declining population receiving a pension under the RCMP Pension Continuation Act.
Revenues and other reductions
The $63.0 million (12%) increase in vote-netted revenues compared to the prior year is primarily attributable to the timing of revenue collections.
3. Risks and uncertainties
The RCMP recently completed the 2026-29 Corporate Risk Profile which identifies five risks to help guide decisions:
- Workforce sustainability
- Reputational challenges, suboptimal processes, and workplace pressures hinder recruitment. This increases the risk of inadequate staffing levels, reduced service delivery, and erosion of the RCMP’s reputation and public trust.
- Financial sustainability
- A shift in Government priorities has resulted in increased funding and enhanced delivery expectations. However, the need to continue identifying internal and external efficiencies, combined with competing priorities and potential implementation delays, poses a risk to the RCMP’s ability to manage, direct, and prioritize spending effectively. Failure to deliver on distinct funding and performance outcomes may erode government and public confidence, potentially impacting future budget allocations.
- Cyber and technology resilience
- Aging, unsupported, and fragmented IT systems and applications, combined with funding and governance gaps, constrain modernization efforts. These vulnerabilities increase the risk of inadequate policing technologies, system disruptions, cybersecurity breaches, and loss of sensitive and criminal case data.
- Evolving nature of crime and national security complexity
- If limitations in technology infrastructure, policy frameworks, and organizational capacity are not addressed, the RCMP risks falling behind in responding to rapidly evolving cyber-enabled crimes and complex national security threats. This could erode investigative quality, widen capability gaps, increase operational advantage for criminal and hostile actors, and erode public trust in our ability to uphold operational resilience.
- Operational readiness and safety
- There is a risk that operational readiness may not remain viable if the RCMP does not modernize its culture, equipment, and operational supports in line with evolving demands. This would increase the likelihood of harm to officers and the public, reducing operational excellence and effectiveness, widening capability gaps, and undermining public safety and trust in the organization.
4. Significant changes in relation to operations, personnel and programs
- Lisa Moreland, formerly Regional Commander, Northwest, was appointed Deputy Commissioner of Federal Policing.
Approved by senior officials
- Approved by Commissioner Mike Duheme and CFO Samantha Hazen, CPA, CA on August 19, 2026 in Ottawa, Canada
Annex A: Statement of Authorities (unaudited)
| Fiscal year 2026-2027 | Fiscal year 2025-2026 | |||||
|---|---|---|---|---|---|---|
| Total available for use for the year ending March 31, 2027 table 4 footnote 1 | Used during the quarter ended June 30, 2026 | Year to date used at quarter-end | Total available for use for the year ending March 31, 2026 table 4 footnote 1 | Used during the quarter ended June 30, 2025 | Year-to-date used at quarter-end | |
| Gross Operating expenditures | 6,387,015 | 1,366,959 | 1,366,959 | 6,179,869 | 1,397,041 | 1,397,041 |
| Less: Vote Netted Revenues | 2,443,538 | 583,103 | 583,103 | 2,364,427 | 520,124 | 520,124 |
| Vote 1 - Net Operating expenditures | 3,943,478 | 783,856 | 783,856 | 3,815,441 | 876,917 | 876,917 |
| Vote 5 - Capital expenditures | 451,387 | 49,380 | 49,380 | 452,366 | 71,738 | 71,738 |
| Vote 10 - Grants and contributions | 26,932 | 859 | 859 | 26,177 | 863 | 863 |
| Vote 15 - Payments in respect of disability and health benefits for members of the Royal Canadian Mounted Police | 1,160,271 | 274,050 | 274,050 | 1,060,656 | 244,160 | 244,160 |
| Voted Authorities | 5,582,068 | 1,108,145 | 1,108,145 | 5,354,640 | 1,193,678 | 1,193,678 |
| Pensions and other employee benefits - Members of the Force | 649,956 | 141,756 | 141,756 | 597,401 | 123,427 | 123,427 |
| Contributions to employee benefit plans (public servants) | 133,027 | 32,803 | 32,803 | 119,377 | 29,844 | 29,844 |
| Pensions under the Royal Canadian Mounted Police Pension Continuation Act | 5,000 | 290 | 290 | 5,000 | 508 | 508 |
| Refunds of amounts credited to revenues in previous years | 0 | 4 | 4 | 0 | 3 | 3 |
| Proceeds from the disposal of crown assets under the Surplus Crown Assets Act | 9,611 | 0 | 0 | 1,627 | 0 | 0 |
| Court Awards | 0 | 0 | 0 | 0 | 0 | 0 |
| Statutory Authorities | 797,594 | 174,853 | 174,853 | 723,404 | 153,782 | 153,782 |
| Total budgetary authorities | 6,379,662 | 1,282,998 | 1,282,998 | 6,078,045 | 1,347,460 | 1,347,460 |
Table 4 footnotes
- Table 4 footnote 1
-
Includes only authorities available for use and granted by Parliament at quarter-end as well as a statutory authority for proceeds from the disposal of Crown assets.
Annex B: Budgetary expenditures by standard object (unaudited)
| Fiscal year 2026-2027 | Fiscal year 2025-2026 | |||||
|---|---|---|---|---|---|---|
| Planned expenditures for the year ending March 31, 2027 | Expended during the quarter ended June 30, 2026 | Year-to-date used at quarter-end | Planned expenditures for the year ending March 31, 2026 | Expended during the quarter ended June 30, 2025 | Year-to-date used at quarter-end | |
| Expenditures | ||||||
| Personnel | 6,127,462 | 1,433,252 | 1,433,252 | 5,884,602 | 1,392,072 | 1,392,072 |
| Transportation and communications | 315,761 | 79,081 | 79,081 | 296,869 | 81,708 | 81,708 |
| Information | 5,798 | 704 | 704 | 5,577 | 1,073 | 1,073 |
| Professional and special services | 950,072 | 136,657 | 136,657 | 860,473 | 147,481 | 147,481 |
| Rentals | 220,621 | 48,403 | 48,403 | 208,899 | 47,652 | 47,652 |
| Repair and maintenance | 150,205 | 21,104 | 21,104 | 156,982 | 17,905 | 17,905 |
| Utilities, materials and supplies | 238,328 | 49,572 | 49,572 | 229,627 | 37,826 | 37,826 |
| Acquisition of land, buildings and works | 129,138 | 11,377 | 11,377 | 143,650 | 10,604 | 10,604 |
| Acquisition of machinery and equipment | 463,634 | 52,598 | 52,598 | 437,827 | 94,167 | 94,167 |
| Transfer payments | 31,932 | 1,149 | 1,149 | 31,177 | 1,371 | 1,371 |
| Public debt charges | 2,803 | 107 | 107 | 2,374 | 118 | 118 |
| Other subsidies and payments | 168,248 | 32,094 | 32,094 | 184,415 | 35,604 | 35,604 |
| Total gross budgetary expenditures | 8,804,002 | 1,866,098 | 1,866,098 | 8,442,472 | 1,867,581 | 1,867,581 |
| Less revenues netted against expenditures | 0 | 0 | 0 | 0 | 0 | 0 |
| Vote netted revenues | 2,424,340 | 583,100 | 583,100 | 2,364,427 | 520,121 | 520,121 |
| Total revenues netted against expenditures | 2,424,340 | 583,100 | 583,100 | 2,364,427 | 520,121 | 520,121 |
| Total net budgetary expenditures | 6,379,662 | 1,282,998 | 1,282,998 | 6,078,045 | 1,347,460 | 1,347,460 |
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