Conservative budget rejected

The Conservative government’s budget was rejected immediately after its proposal on Tuesday. Minutes after finance minister Jim Flaherty tabled his budget all the opposition leaders voiced their disapproval. Liberal leader, Michael Ignatieff criticized the budget for not including the needs of ordinary Canadians. 

According to Flaherty, the budget is meant as a transitory phase from the stimulus plan to an economic recovery.  Calling it “low-tax plans for jobs and growth”, the Finance Minister assured the budget is meant to secure Canada’s economic recovery. Flaherty described Canada as full of ‘untargeted social programs’ and ‘excessive costs’ and ‘higher taxation’. He emphasized the need for a  targeted budget.

As demanded by the NDP the budget includes more money for low-income seniors and a return of the ecoEnergy Home Retrofit. More money for caregivers looking after disabled family members is a nod to the Liberals Quebec’s demand of $2.2 billion to compensate for the HST is not listed. 

However, at one per cent increase of new spending this is the lowest increase in years. The spending matches the growth in revenues and some cost savings. It leaves the projected deficit unchanged.

Scott Clark, a former deputy finance minister called it a purely political budget. His comment goes along with the general sentiment that the budget’s rejection sets the stage for a possible spring election.