The Ford government tabled the most expensive budget in Ontario’s history on Tuesday, with a $214.5-billion spending package that runs a deeper-than-expected deficit this year amid economic uncertainty ahead.The annual financial blueprint includes a few new programs, laying out Ontairo’s potentially tough economic future. The plan sees economic growth grind to a near-stop in the province and deficits continue until the eve of the next election.The handful of new announcements in the plan include a new medical school in Vaughan to train family doctors, half a billion dollars to connect people with primary care and four new helicopters for Ontario police forces.Ontario Finance Minister Peter Bethlenfalvy said the deficits projected would be “temporary,” promising the results of his government’s spending would not be.“In the face of global economic uncertainty and high interest rates that continue to put pressure on Ontario families, our government is taking a responsible approach by investing to rebuild Ontario’s economy without raising taxes,” Bethlenfalvy said.
“As we invest in key public services and infrastructure, including new roads, highways and the largest public transit expansion in North America, we refuse to offload the costs onto hardworking Ontario families or municipalities at a time when they’re counting on us to keep costs down.”Marit Stiles, Ontario NDP Leader, said in a statement that the budget was an “uninspired statement” from a government she said is “out of touch and out of ideas.”
“If you’re looking for change, Ford’s budget is not for you,” said Stiles.Ontario Liberal Leader Bonnie Crombie called the budget “uninspired” and “unambitious,” saying it did “little for families struggling” in the province.Ontario Green Party Leader Mike Schreiner said the budget fails to invest in climate change and affordable housing.Deficit and the economyThe 2024 budget projects a whopping $9.8-billion deficit this year, despite the government promising it would post a surplus of $200 million in its last budget, released just a year ago.The deficit picture remains overwhelmingly in the red for the next several years, until the 2026-27 financial year.The estimates have plummeted since last year, with even a faster growth scenario — the province’s rosiest projection — resulting in a $6.1-billion deficit in 2024 and the worst-case scenario leading to a $13.3-billion redline.The finance minister says the deficit projection takes into account nearly all private sector forecasts, which show “slower growth in 2024,” something the province blames on high inflation, high interest rates and rapid population growth.
