By Mike Renzella
The Haldimand Press
HALDIMAND — Last week, the Ontario government tabled its 2023 budget, carrying a record-breaking $204.7 billion price tag focused largely on capital spending and business tax breaks, which critics say offers little help to Ontarians struggling with affordability in the face of rampant inflation.
The budget lays out a 10-year, $184 billion plan to greatly expand Ontario’s infrastructure through capital spending on projects including highways, schools, and hospitals. Additionally, it earmarks $81 billion for healthcare spending in 2023, with focuses on immediate staffing shortages in the sector, improved home care, and increased community programs, among other items.
The budget also claims the Province could balance its books by as early as 2024-25, reversing years of deficit spending with a projected $200 million surplus in 24-25 leading to a forecasted $4.4 billion surplus the following year. The surprise surplus is credited to greatly increased revenue projections, with the Province predicting $200 billion in revenue this year, surging to a predicted $226 billion by 2025-26.
The sunny projections, however, do little to alleviate the financial crunch being felt by everyday Ontarians. NDP leader Marit Stiles was quoted at a news conference as saying the budget “offers no relief for everyday Ontarians. Everyone in Ontario deserves a strong future. Everyone in Ontario deserves to have hope.”
Haldimand Norfolk MPP Bobbi Ann Brady concurred with the sentiment, stating, “Given the fact that more and more people call my office who can’t afford the necessities of life, my biggest concern is that this budget fails to address the everyday concerns of average Ontarians.”
She elaborated, “There’s nothing dynamic in this budget. It fails to address some of the major crises we’re witnessing in Ontario, such as the failures of our education system, and the weakness in our healthcare system like nursing, long-term care, and home care…. When it comes to the average person or family hit by inflation, there’s no relief.”
As a member of the Finance Committee, which collects feedback to consider in the budget, Brady said little exists to address the concerns she heard while touring the province with the committee earlier this year, adding, “Much of the shortfalls I just mentioned are exactly what we heard when we did pre-budget consultations across the province. I suspect those who took the time to present to the Finance Committee will be disappointed.”
While Brady believes a provincial surplus is always a good thing, she said the Province should be using that surplus to pay down debt: “There should be proper oversight to ensure the money is going where it is needed and most effective…. Paying down debt will ease affordability issues for taxpayers moving forward.”
She added that while Haldimand County has a multitude of infrastructure issues that need addressing, citing Caledonia’s Argyle Street Bridge and the County’s water infrastructure issues as examples, she isn’t sure much of the $184 billion in capital spending will make its way here.
“I suspect much of the money will go to highway projects in the urban areas. Some of it will go to transit in the GTA. My feeling is much of this will be urban centric. On the positive side, I will be there advocating for infrastructure dollars to be funnelled into Haldimand and Norfolk counties to address our critical needs.”
The budget also offers significant new tax breaks to Ontario-based businesses, with a new corporate income tax credit providing up to $2 million annually to Canadian-controlled private businesses with a permanent location in the province toward the creation of new buildings, machinery, and equipment.
In total, $8 billion is earmarked for business tax relief, across a variety of avenues, such as lowering payroll costs and lowered corporate and property taxes.
“I would never argue the benefits of tax breaks for business; when business big and small does well, we all do well,” said Brady, noting that “the tax breaks should have been extended to individuals also in the aftermath of COVID-19.”
In addition to inflation-related assistance, Brady said she wanted to see more policy aimed at addressing price gouging, seen most prevalently at the fuel pumps and grocery store by the average Ontarian.
“Overall, I felt lukewarm after reading it,” said Brady. “The past three years have been difficult, but we have government for a reason – and it’s the government’s job to look after its people and make those tough decisions.”
