A major national tobacco settlement is expected to bring about $185 million to the territory, says Northwest Territories health minister.
The Chief Justice of the Superior Court of Ontario has ordered tobacco companies to pay 32.5 billion dollars to provinces and territories, making it the largest settlement in Canadian history.
The NWT’s portion will see an initial payout of 44 million with the rest to be paid out over 18 years. This ruling stems from the detriment smoking has had on Canadians and the health system.
Lesa Semmler is the minister of health and social services.
“This litigation addressed the alleged deceptive practices of tobacco companies from the 1950s to the 1980s. These practices led to significant health care costs, and our goal was to recover those costs. The legal process began more than two decades ago, and the mediation that led to this resolution has taken five years,” reads a press release.
“We look forward to utilizing funds to support preventative care and enhance the efficiency of our health care system.”
Smoking rates in the Northwest Territories have dropped from 46% in 2002 to 28% in 2023.