Budget 2023
/documents/201771/201792/Canadian+Federal+Budget+2023+%28002%29.pdf/18a91fe8-42ed-4146-872a-b502e8cfb672
As this is budget week, we have replaced a chart with our Budget Commentary.
As David Rosenberg Tweeted this morning:
“Canada’s budget gets a big fat F- The tax bite expands. Spending out of control-an added $42bn in the next 5 yrs. brings the cumulative burst since 2021 to $345bn! FY24 deficit to balloon to $40bn from last fall’s estimate of $30.6bn and debt /GDP ratio up to 43.5% from 42.4%”
Key highlights include:
- $198.3 billion in promised spending over the next 10 years to build on the public health system, in significant part via transfers to provinces.
- Additional targeted spending in clean energy projects and infrastructure. Measures include tax credits worth up to 50% of the value of spending, totaling about $20.9 billion over the next five years.
- Other green initiatives include targeted investments through the Canadian Infrastructure Bank and additional support for carbon capture and storage initiatives. Canada’s carbon tax will again rise on April 1 by $15 per tonne of carbon, as part of a scheduled annual process extending through 2030.
- To offset some of these planned expenditures, the budget introduced plans to reduce spending on consulting, travel and other services, as well as reduced budgets at government departments and Crown corporations and cuts to unallocated funding programs that could lead to savings of $21.8 billion over the next five years.
