The average Ontarian is now poorer than the average Canadian.
In the absence of additional action, Ontario budget deficits will continue to at least 2020-21.
There is very little to feel reassured about when it comes to Ontario finance minister Charles Sousa’s latest budget.
The Wynne government estimates it will add $11.5 billion in net debt in 2015/16.
If interest rates rise faster than expected, Ontario’s annual debt interest payments could increase by up to $857 million in 2017/18.
Discussing equalization and other federal transfer payments in summer is about as much fun as a root canal in any season. Nevertheless, Ontario Finance Minister Charles Sousa complained recently that the federal government underfunds Ontario.
Ontario Finance Minister Charles Sousa called his updated financial plan a new direction but in truth it had a nostalgic feel. With his government facing considerable fiscal challenges including an $11.7 billion deficit and growing debt, Ontarians desperately needed a new direction. What they actually got was more of the same: increased spending and a government reluctant to deal with core problems.