Fall Economic Update: Budget Still Hasn’t Balanced Itself

November 22, 2018

Under a charade of bells and whistles, Prime Minister Justin Trudeau and Finance Minister Bill Morneau unveiled the Fall 2018 Economic Update. The Trudeau Government was eager for self-praise as they tried to cover up their ongoing failure to live up to their promise of a balanced budget. Refusing to hear the alarms of their own reckless spending, the Liberal Government presented an Economic Update that raises the deficit even higher.

Justin Trudeau promised to run a deficit of $10 billion/year with the budget balanced by 2019. Earlier this year, the Liberal Government revealed that Canadians would be left shouldering an $18.1 billion deficit. But, with the stroke of a pen over $1 billion dollars was added to that deficit. Now, the Liberal Government applauds as they announce a $19.6 billion budget shortfall for 2019. Yet, Morneau claims there is “fiscal room to follow through on commitments to Canadians” an eerie reminder that when it comes to finance, your trust doesn’t make Trudeau’s bottom line. More promises broken.

For weeks, Canada’s Conservatives have demanded that the Liberal Government provide a clear timeline for balancing the budget. Ignoring the calls of Canadians and the Opposition, Trudeau’s Economic Update keeps us all in the dark. In place of kept promises, a balanced budget, or tax relief for overburdened Canadians, the Liberal Economic Update is, according to former parliamentary budget officer Kevin Page, “deficit-financing the corporate sector.”

As Morneau stood to defend this pattern of repeat failure, he repeatedly used words like “follow through” and “commitment to competitiveness” – hollow words to consumer and business confidence that understands Canada’s dreary predicament. Despite how unpredictable global trade factors are impacting Canadians, the Liberals touted their punishing carbon tax. 2019 is almost here, it is time for the Liberal Government to end these untamed expenses piling up in the shadow of this unbalanced budget.

To be sure, the Liberal Government set some worthy goals in their attempts to restore competitiveness. For example, the idea of an export diversification strategy to raise international exports by 50%, and the reduction of some interprovincial trade barriers seem like important first steps. But, given they come with no real plan to accomplish them, and coupled with their broken promise of a balanced budget, does anyone believe them?

Many of you have written to me to express your concern over the Liberal’s spending and deficit. You understand that Trudeau’s debt today will leave you and future generations paying tomorrow. The budget will not balance itself. It is essential that we continue to pressure the Liberal Government on their spending, and demand they call this Economic Update what it really is: buying Canadians a deeper and deeper hole.