Not if they don't get some capital investment from the federal gvernment, in addition to their modest operating subsidy.
A significant amount of money was promised a few years ago by then Prime Minister Chretien and Transport Minister Collenette. But when Paul Martin assumed the position of PM, he cancelled that - reportedly due to the animosity between he and Chretien. A VIA manager I met on a train told me that once all the "huffing and puffing" was over, there would be a lesser, but still considerable, investment from the feds. However, requests for funding from the new government have had no results. VIA in its annual report (available on their Website) has cautioned the government that without significant investment the railway cannot maintain service at the present level for much longer.
There is some relatively minor interior refurbishment taking place with the 10 HEP-2 VIA 1 cars. I travelled to London yesterday in car 4005, which looks very attractive with the LRC-type interior.