The 2016 Federal Liberal Budget
March 29, 2016
As the former government, Conservatives left the Liberals with a $3 billion surplus. We focused on keeping taxes low and supporting policies that helped create more than a million jobs.
The Federal Liberal Budget was to keep an election promise of a $10 billion deficit. It did not. Instead, the March 22nd Budget is leaving families on the hook for $29.4 billion. As we all know, borrowed money has to be paid back. To do this, the Liberals will have to raise taxes to reduce the massive debt burden they are building leaving our children and grandchildren with the burden of an increased debt load. As we are not in a recession, there is no need for massive deficit spending.
National Defence will have billions of dollars in planned equipment spending pushed off past the next federal election. The tax credits for post-secondary education and textbooks, the Children’s Fitness Tax Credit, and the Children’s Arts Tax Credit have been eliminated. Income splitting for families is gone as well.
Low income families will benefit from an increase in the child tax credit. That is, only some families will benefit from these changes while others will be completely left out. Furthermore, the budget aims to increase EI benefits and reduce wait times for people facing unemployment even though this is not accompanied by any plan whatsoever to create jobs. I believe Canadians would choose to have a job over EI benefits.
The only mention of agriculture is support for research over the next six years. Another campaign promise broken by the Liberals was to reduce the small business tax rate from 11% to 9%. They are also ending the hiring credit.
There is no provision in the Budget to provide any support to the oil and gas sector and raising taxes on businesses will not help Canadians who have been recently laid off. In fact, Canada’s unemployment rate has increased for three consecutive months, despite the Liberal Government spending billions of dollars during the same time period.
Conservatives support investments in clean technology development and innovation in Canada’s natural resources sector, but these initiatives must deliver concrete and measurable results for businesses and the environment. Investing in innovation for the sake of investing in innovation is not good enough. These investments should be market driven, enhance Canada’s global economic competitiveness, bring our resources to market in the most efficient and environmentally responsible ways, and lead to the growth of high-paying jobs for Canadians.
This Liberal Budget will not stimulate the economy or create jobs. I will stand up for families, farmers, and small businesses!