Justice Services, Economic Burden and Social Costs in Canada

Executive summary

Justice problems are disputes, harmful events or other difficulties in everyday life with a legal or justice dimension, whether or not people recognise that dimension or seek legal advice or assistance. They can affect health, income and safety and impose costs on employers and public services, even when the justice system never learns of them. Knowing where these burdens fall can help the Canadian government and justice institutions decide where prevention, information, professional assistance and resolution services are most needed.

This report estimates the incidence and costs of 12 types of justice problem in Canada, examines how people seek help and resolve them, and considers differences among population groups. It draws on the 2025 National Justice Survey, the 2021 Canadian Legal Problems Survey, crime victimisation surveys, administrative data and published cost studies. The cost estimate expresses combined evidence, so it should be read as an estimated economic burden, not a single-year census of all justice problems.

Justice problems are common, and exposure differs across the population

In the 2025 National Justice Survey, 39% of adults reported at least one serious problem that was difficult to resolve during the previous three years. Problems include disputes concerning employment, debt, housing and family relationships, alongside medical treatment and discrimination. Victimisation surveys capture experiences of property crime, violent crime and domestic violence that complement legal needs survey data. Exposure is unequal and the pattern varies by problem and group.

Justice pathways can be improved to match people’s needs

The report examines four elements of a justice pathway: legal capability, professional assistance, use of dispute resolution, and the resolution of the problem. These are separate measures, not a sequence that everyone follows. Of the respondents with serious problems, 56% met the report’s measure of legal capability, defined as recognising a problem’s legal dimension and knowing where to seek help. Professional assistance was more common, yet its availability and suitability differ across problem areas. Fewer than one in six serious civil problems reached a court or another dispute resolution body. For property and violent crime, about one-quarter of incidents were reported to police. The data shows that people may resolve problems without a formal process; equally, using a process does not guarantee that the underlying problem is resolved.

Costs extend beyond justice services and fall unevenly

The 12 areas generated an estimated CAD 57.5 billion in social costs, equivalent to about 2.4% of Canada’s 2021 gross domestic product. The estimate includes the effects of underlying problems, such as lost productivity, health impacts, pain and suffering, and the public resources used to respond. Fees and fines paid by individuals are treated as transfers in the social cost calculation. Individuals and households bear most of the estimated costs; employers and public services also bear costs.

Better information can help align services and resources with outcomes

Across several measures, Indigenous peoples, visible minorities and people with lower incomes or less education experienced less favourable justice pathways, although differences varied by problem. The report also finds that legal capability, use of dispute resolution and reported resolution are associated with fewer adverse financial or health consequences for people with serious civil problems. Nevertheless, it is not possible to establish the savings that any particular intervention would achieve, as the nature and severity of a problem can also shape the help people seek. More consistent, disaggregated evidence would help governments and service providers identify mismatches between needs and services, assess results and direct resources to areas of substantial harm.

Key policy recommendations

The report identifies four policy priorities:

• Prioritise prevention and early intervention in the highest-cost problem areas, particularly domestic and sexual violence, other violent crime, preventable medical harm, and workplace injuries and diseases.

• Develop problem-specific justice pathways that strengthen legal capability, professional assistance, referral systems and affordable dispute resolution, particularly for medical treatment, discrimination and other frequently unresolved problems.

• Reduce inequalities in exposure and outcomes through policies and services co-designed with affected communities, including Indigenous-led, culturally appropriate, survivor-centred, trauma-informed and community-based approaches.

• Strengthen justice data, monitoring and periodic social-cost analysis to support evidence-based investment, assess policy results and direct resources towards interventions that deliver the greatest social benefits.