TORONTO - Ontario's New Democrats are suggesting the Liberal government is being hypocritical by condemning Ottawa for cutting health-care transfers when the province itself wants to rein in health spending.

Finance Minister Dwight Duncan lashed out at the federal government on Monday for saying annual increases in health funding will be tied to the rate of inflation starting 2018.

But NDP Leader Andrea Horwath notes Duncan wants to cut Ontario's annual increase in health spending to just three per cent.

She says federal-provincial talks have fallen into "blame and buck-passing," while no one is talking about how a new accord could address the challenges facing the health-care system.

Horwath calls Ottawa's decision to unilaterally dictate a formula for future health transfers "arbitrary and unfair," and says it's a broken promise that could hurt health services people rely on.

The province wants to cap increases in health spending to three per cent and education to one per cent to help cut a $16-billion deficit, but Duncan warns that could mean deep cuts in other ministries