Tax breaks, more spending: What Trudeau's opponents want to see in the 2022 budget

The 2022 federal budget will be tabled a week from today. As Prime Minister Justin Trudeau’s cabinet and Finance Department officials finalize the massive spending document, opposition MPs are calling for the Liberals to commit to presenting a fiscal plan that both reins-in spending, and spends more.

It’ll be on Deputy Prime Minister and Finance Minister Chrystia Freeland to weigh the current economic pressures from inflation, calls for no tax increase, including what they promised they would in the last election, a growing expectation that Canada will be increasing its defense budget, and their deal with the New Democrats that will see billions allocated for social programs including dental care.

In concluding their 2022 pre-budget hearings, MPs made more than 200 recommendations for what the budget should include or consider, based on their consultations with stakeholders, economists, and industry groups.

Ahead of the budget’s tabling, here’s some of what MPs from across the aisle are saying about what they think the spending plan should, and shouldn’t include.

THE CONSERVATIVES

In an opposition day motion debated on Thursday, the federal Conservatives accused the Liberals of “excessive government spending” prompting record inflation, and also of refusing “to provide relief to Canadians.”

As a result, they are asking all MPs to support them in calling for the government to “present a federal budget rooted in fiscal responsibility, with no new taxes, a path to balance, and a meaningful fiscal anchor.”

“The minister of finance is going to be tabling in this House, a budget, which is intended to chart the pathway forward for this country when it comes to our finances, how we spend taxpayers money. And given the fact that the last six years of Liberal government have been such an unmitigated financial disaster, we’d like to make some suggestions,” said Conservative MP and finance critic Ed Fast when introducing the motion.

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Among the Conservatives’ suggestions: Seeing the government reduce the goods and services tax (GST) on gasoline and diesel, present a plan to tackle inflation and affordability crisis, and generally “give Canadians a break.”

While the Official Opposition thinks government spending needs to be reined in, Conservative MPs have been calling for the Liberals to increase defence spending by tens of billions to hit the NATO target of 2 per cent of GDP.

THE BLOC QUEBECOIS

Bloc Quebecois Leader Yves-Francoixjmtzyws Blanchet held a press conference on Parliament Hill on Thursday spelling out what his caucus wants to see in next week’s budget, based on consultations with Quebec organizations in a range of sectors.

The Bloc Quebecois have five “unconditional” demands in the budget in order for them to be willing to vote for it.

They are: Increasing the federal health transfers to the provinces; increasing old age security payments by $110; pursuing measures to deal with the rising cost of living; engaging the financial sector in developing a green industrial strategy; and taking a series of measures to live up to commitments to Indigenous people, including access to clean drinking water by the end of the year.

In a statement, Blanchet said his focus will be what it always is: Whether what’s being proposed is good for Quebec. If it’s not, they’ll try to improve it until it is.

THE NEW DEMOCRATS

The NDP may be the party going into the budget with the longest list of expectations, based on their agreed-to list of progressive policies the Liberals have promised to advance in exchange for their votes.

Among what New Democrats will be looking for from Freeland next Thursday: The first phase of a national dental care program; potentially more money to further develop a national pharmacare program; and more funding to address pandemic-related strains on the health-care system.

The NDP also have agreed with the Liberals to take action aimed at alleviating housing cost, including a $500 one-time top-up to the Canada Housing Benefit; and implementing changes to the tax system meant to target financial institutions who profited during the pandemic.

And, in contrast with the Conservatives, NDP Leader Jagmeet Singh has said his caucus doesn’t want to see Canadian defence spending increased as much as would be required to hit the NATO target, a goal he’s called “arbitrary.”

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