The government plans to run annual budget deficits of $20 billion or more for the next five years.
federal government spending
According to projections, the federal debt will increase by nearly 20 per cent over the next four years.
According to the budget, the government will spend $95 billion more in 2024-25 than it planned only three years ago.
In 2024/25, federal program spending will reach a projected $483.6 billion—up $16.1 billion from the previous budget’s estimates.
Since 2014/15, annual federal program spending has increased by $193.6 billion—or 75.5 per cent.
These deficits have fuelled an $867.2 billion increase in gross federal debt from 2014/15 to 2022/23.
Since 2015, per-person GDP in Canada has grown by only 1.9 per cent.
Canada’s population is expanding by more than one million per year while housing starts are stuck below 250,000.
The government is on track to run nine consecutive budgets deficits, with all but one exceeding $10 billion.