Audit warns military procurement faces ‘persistent’ hurdles

Prime Minister Mark Carney speaks with Canadian soldiers as he visits the site of NATO Exercise Cold Response in Bardufoss, Norway on Friday, March 13, 2026. THE CANADIAN PRESS/Adrian Wyld

OTTAWA — An internal federal government audit delivered late last year warned the work of buying and upgrading military technology was still being plagued by bureaucratic hurdles.

The report was released as the federal government forged ahead with reforms meant to speed up purchases of military equipment.

The review began in the waning days of former prime minister Justin Trudeau’s government and was delivered in late 2025.

The audit said it found “persistent challenges” in the procurement system, even though it is “evolving rapidly” under Prime Minster Mark Carney’s government.

“Despite significant progress, the evaluation identified persistent challenges, such as disconnected databases, heavy oversight and excessive project documentation requirements,” the audit said.

The audit warned that even uncomplicated purchases tended to take on average a decade to complete. More complex projects to add new capabilities took anywhere from one to three decades to close out, it said.

Asked for comment about the audit, Conservative defence critic James Bezan said it’s “outrageous that our women and men in uniform need to wait between nine and 27 years to get the equipment they need to defend Canada.”

• READ MORE: Algoma Steel signs partnership to produce ballistic steel for armoured vehicles
• READ MORE: Kitchener company secures multi-million dollar military contract

The audit said it examined 84 projects it could easily track — which is not necessarily a representative sample due to the complexity of the government’s paper trails.

A spokesperson for MP Stephen Fuhr, Carney’s point person for reforming defence procurement, did not respond to a request for comment by deadline.

Carney’s government has been moving to accelerate defence purchases to meet steep annual spending commitments to the NATO alliance, and to advance large priority purchases down the field.

Defence Minister David McGuinty said at an event on Wednesday the government is moving major purchases along as fast as it can, and is slashing years off the process of buying a multi-billion dollar fleet of submarines for the Navy.

The government has settled on that submarine project as a showcase for how intends to speed some procurements along.

The Liberal government’s structural reforms are also far from complete. It’s expected to table legislation this spring to beef up the new defence investment agency, which is meant to streamline procurement decisions and speed up purchasing.

That office is currently embedded within an existing department but is expected to legally become a stand-alone, independent office.

Bezan dismissed it as an “unnecessary” layer of new bureaucracy that won’t address core problems.

• READ MORE: ‘We control our destiny’: Canada officially hits NATO defence spending target
• READ MORE: Canadian military silent on Chinese intercepts during latest patrol flights

The audit said it examined 84 projects it could easily track — which is not necessarily a representative sample due to the complexity of the government’s paper trails.

A spokesperson for MP Stephen Fuhr, Carney’s point person for reforming defence procurement, did not respond to a request for comment by deadline.

Carney’s government has been moving to accelerate defence purchases to meet steep annual spending commitments to the NATO alliance, and to advance large priority purchases down the field.

Defence Minister David McGuinty said at an event on Wednesday the government is moving major purchases along as fast as it can, and is slashing years off the process of buying a multi-billion dollar fleet of submarines for the Navy.

The government has settled on that submarine project as a showcase for how intends to speed some procurements along.

The Liberal government’s structural reforms are also far from complete. It’s expected to table legislation this spring to beef up the new defence investment agency, which is meant to streamline procurement decisions and speed up purchasing.

That office is currently embedded within an existing department but is expected to legally become a stand-alone, independent office.

Bezan dismissed it as an “unnecessary” layer of new bureaucracy that won’t address core problems.

This report by The Canadian Press was first published April 16, 2026.

The Canadian Press