The purpose of this note is to provide you with an overview of key budget planning issues and the decisions you will have to make in the upcoming days and weeks. Detailed briefings on each of the issues are provided in a separate binder. As you know very well, the economic outlook has deteriorated significantly since last April and this will present a major challenge in the preparation of the 2016 budget. A key objective in budget planning will be to re-establish the credibility, integrity and transparency of the budget process.Read More
The International Monetary Fund (IMF) has just lowered its forecast of economic growth for Canada to 1.0% for 2015 and to 1.7% for 2016. In their July 2015 update, the IMF had forecast growth of 2.0% for 2015 and 2.1% for 2016. This is a major downward adjustment and corresponds to a further reduction for global economic growth to its lowest level since 2009. It will mean that the Canadian economy will continue to operate below its economic potential, a trend that began in 2009.Read More
The attached table provides a comparison of the net costs of the platforms of the three major political parties. We have not included the April 2015 Budget/Parliamentary Budget Officer’s forecasts of the surplus over the next four years, given the uncertainties with respect to the current economic environment.
For the Liberals and New Democratics, the figures come directly from their costing of their election promises. These numbers are not expected to change between now and October 19th.Read More
Mr. Harper recently announced two new economic and fiscal commitments – one relating to the creation of new jobs and a second relating to legislation prohibiting increases in tax and premium rates over the next four years.
How important are these two commitments and how successful has the Harper Government been in living up to other fiscal commitments made since first forming government in 2006? The answers are not important and very badly.
Aim to Create 1.3 Million New JobsRead More