(February 2026)

The laws that Canada’s federal Parliament, and six provincial legislatures (Alberta, B.C., Manitoba, New Brunswick, Nova Scotia and Ontario) have enacted requiring registration and disclosure and limiting spending by third-party interest groups (and individual voters) all allow for undemocratic, unethical and undue influence by wealthy interests.  Quebec stands apart as it limits third-party spending during elections to $500, which is also undemocratic because it stifles citizen groups that are supported by thousands or tens of thousands of voters from participating in a meaningful way during election campaign periods.

The three provinces (Newfoundland and Labrador, Prince Edward Island, Saskatchewan) and all three territories (Nunavut, Northwest Territories and Yukon Territory) that have not enacted any third-party rules allow the most undemocratic, unethical and undue influence in elections and between-election political processes because they allow for unlimited spending with the funding coming from unknown donors.  This complete lack of rules also makes it easy for foreign governments and businesses and wealthy foreigners to interfere in elections and political processes by funneling money to front groups in these provinces and territories.

But Canada’s federal law and the laws in the six provinces that limit third-party spending also have 10 huge loopholes that allow for secret, undemocratic, unethical and undue influence by wealthy interests in elections and between-election political and policy-making processes:

1.  There are no registration or disclosure requirements, or spending limits, for third parties trying to influence nomination contests or political party leadership contests. These contests determine which politicians get elected to represent voters, and who gets to lead, and largely control, political parties. If a leadership contest happens between elections, the new leader becomes the Prime Minister or Premier of a province.  Voters have a right to know who is backing nomination and party leadership contestants.  In contrast, in the U.S. third parties (known as Political Action Committees (PACs)) are required to register and disclose their donors and spending during nomination and party leadership contests (which in the U.S. are called “primaries”).  Third-party spending and activities during nomination party leadership contests across Canada should be regulated.

2.  The same spending limit applies for every type of third party, whether the third party is an individual, a citizen group, a private corporation or a publicly traded business. Allowing one wealthy voter, or a few business executives (who represent no one but themselves), to spend as much as a citizen group that has thousands up to hundreds of thousands of supporters allows that one voter or few executives to have undemocratic, undue influence.  There are examples in each election of single voters, or businesses, spending tens or hundreds of thousands of dollars trying to influence the election.  Spending limits across Canada should be very low for individual voters and businesses, and for citizen groups the limit should be set based on the actual number of voters the group represents.

3.  The spending limits for candidates, parties and third parties have all been set arbitrarily and were all set before email, websites and social media became the main ways to inform voters. The limits across Canada should all be re-set after an in-depth study that determines what it actually costs to inform voters and run a campaign.

4.  Third-party registration requirements and spending limits only apply during short (4 to 6 week) election campaign periods, other than at the federal level and in B.C. where they also cover the two months before the election campaign period begins, and in Manitoba for 90 days before the campaign, and Alberta for 4 months before the campaign (but the time periods only apply if the election is held on the fixed election date). Outside of these short time periods, third parties can spend unlimited amounts of money on advertising and other activities aimed at influencing elections and other political processes without disclosing who runs the third party or the source of their funding.  In contrast, in the U.S. third parties (known as Political Action Committees (PACs)) are required to register and disclose their donors and spending every 3 months through the entire election year, and in the U.S. lobby groups at the federal level and in most states (especially in 19 states) are also required to disclose regularly how much they spend on their lobbying between elections.  To have fair, democratic and ethical political processes, third-party spending across Canada should be disclosed and limited for all policy-making processes, and during all pre-election and election campaign periods.

5.  There are no third-party registration or disclosure requirements, or spending limits, for municipal elections in most provinces and territories. Registration and disclosure rules only exist in Alberta, B.C. and Ontario, and spending limits only exist in B.C. and Ontario, even though many municipalities in other provinces are larger than small provincial governments in terms of their government budget and the number of voters their decisions affect.

6.  Third parties are allowed to spend their “own funds” during election campaigns which hides the donors who gave them those funds. This loophole is in the federal law and the laws in all six provinces that regulate third-party spending.  As long as the third party has raised the money it spends during an election before the election year begins, they do not have to disclose the source of the money.  This denies voters key information that they need to determine who is backing candidates and parties.  This loophole also makes it easy for foreign governments and businesses and wealthy foreigners to interfere in elections by funneling money to front groups.  This “own funds” loophole should be closed across Canada.

7.  Third parties are allowed to get donations (or loans) from other organizations without disclosing the original sources of the money. This loophole is in the federal law and the laws in all six provinces that regulate third-party spending.  So organizations can donate or loan money to third parties and the actual source of the funds remains hidden.  This denies voters key information that they need to determine who is backing candidates and parties.  This loophole also makes it easy for foreign governments and businesses and wealthy foreigners to interfere in elections by funneling money to front groups.  This donation-funneling loophole should be closed across Canada.

8.  Third parties are not required to disclose all of their donors and spending before voters vote. Third parties are only required to register at the federal level and in some provinces after they spend $500, and only after they spend $2,500 in Manitoba. Third parties at the federal level and in 3 provinces are only required to disclose some of their donors and spending during a pre-election or election campaign period after they spend $10,000.  Social media ads can reach hundreds of thousands of voters for less than those amounts, so disclosure thresholds should be decreased.  In addition, at the federal level and in all six provinces that regulate third-party spending, third parties are not required to disclose all their donors and spending before voters vote, which denies voters key information about who is backing which candidates and parties.  The disclosure only happens months after voting day.  All third-party donors and spending should be disclosed before voting day across Canada.

9.  The spending limits for third parties are unfairly low compared to the limits for election candidates and parties. Political parties have much higher spending limits than third parties, and parties also receive free broadcast time on TV and radio. This is unfair given some third parties have many more voters who support them than candidates or parties have.  As the Supreme Court of Canada ruled in March 2025, it is undemocratic to have significantly lower spending limits for third parties compared to candidates and parties.  Yes third parties should have lower spending limits than candidates and parties given that multiple third parties could target one candidate or party.  But third-party limits should not be disproportionately lower as that stifles citizen groups from participating in a meaningful way during election campaign periods.

10.  The costs of some third-party activities are not covered by spending limits. Only at the federal level and in Alberta are activities other than paid advertising covered under the limits. And federally and in all six provinces, the limits do not cover the costs of communicating directly with party officials to affect a party’s election platform; communicating with candidates to affect their campaign promises; and the costs of producing a social media post that may go viral.  In addition, other than in Nova Scotia, if a third party can secure volunteer labour to produce advertising, it is not required to include the cost of that labour when calculating how much it has spent.  All third-party costs should be covered by spending limits.