Canada’s New Budget Faces Backlash Amid $78B Deficit Concerns

UPDATE: Canada’s federal budget, unveiled by Prime Minister Mark Carney, is facing intense criticism and mixed reactions across northeastern Ontario. With a staggering proposed $78 billion deficit and $141 billion in new spending, opposition voices are rallying against the government’s financial approach.

JUST ANNOUNCED: Parry Sound-Muskoka MP Scott Aitchison has echoed Conservative Leader Pierre Poilievre, stating that the Conservatives will not support the budget in its current form due to a lack of substantial measures on housing. “There was nothing new on housing in this budget,” Aitchison told CBC News. “They’ve announced a couple of things, but there’s nothing tangible for building.”

The Liberal government touts a commitment to “generational investments” in housing, planning to allocate $25 billion over the next five years. However, critics like Aitchison argue this falls short of what is necessary to address the growing housing crisis.

In a significant blow to Indigenous communities, the budget proposes $2.3 billion in cuts to Indigenous Services Canada and Crown-Indigenous Relations. Linda Debassige, Grand Chief of the Anishinabek Nation, condemned these cuts, stating, “You don’t cut some of the most marginalized people in this country.” Debassige highlighted the absence of funding for Indigenous police services, questioning the government’s commitment to reconciliation.

Meanwhile, in North Bay, optimism brews over increased defense spending, which totals $81.8 billion over five years, with $72 billion designated as new funding. Mayor Peter Chirico expressed hope for local investment, given the city’s significance as home to a Canadian Forces base.

However, not all responses are positive. Cathy Orlando, founder of Citizens’ Climate Lobby Canada, expressed disappointment in the absence of capital funding for an east-west national electricity grid, a project stalled for over two decades. “It doesn’t exactly meet the moment,” Orlando lamented, while acknowledging that the budget did not eliminate the industrial carbon price or methane regulations.

As the budget continues to stir debate, many are left questioning the direction of Canada’s economic and environmental policies under Prime Minister Carney. Critics emphasize that the government must address pressing issues like housing, Indigenous services, and climate change to meet the needs of all Canadians.

WHAT’S NEXT: As the backlash grows, all eyes will be on the upcoming parliamentary sessions where the budget will be debated. Stakeholders across Ontario and beyond are watching closely to see if the government will respond to the mounting pressure for revisions.

This developing story highlights the urgent need for effective solutions to critical national issues as Canada navigates its economic future.