Liberals will table a budget this fall, Prime Minister Mark Carney says

Prime Minister Mark Carney announced on Sunday in Rome that the Liberal government will be presenting a budget in the fall. Carney emphasized the importance of taking the time to create a comprehensive and effective budget rather than rushing the process. He stated that it is crucial to get things right and that the government will be working towards that goal.

The decision to delay the budget until the fall has faced criticism from opponents, especially after Finance Minister François-Philippe Champagne revealed that a fall economic statement, similar to a mini-budget, would be presented instead of a full budget in the spring. Carney defended this choice by highlighting the challenges of rushing a budget within a short timeframe, especially with a new cabinet and finance minister in place.

With the House of Commons scheduled to reconvene on May 26 and rise on June 20, the government would have limited time to pass a budget before MPs return in mid-September. In the meantime, Carney outlined the government’s focus on addressing interprovincial trade barriers and implementing a middle-class tax cut.

Creating a federal budget typically involves extensive consultations and planning, a process that takes months to complete. Despite some groundwork being laid before Carney assumed office, it has been almost 400 days since the last budget was presented, a considerable delay. The previous fiscal update in December revealed worse-than-expected financial conditions but was overshadowed by the sudden resignation of Finance Minister Chrystia Freeland.

In response to questions about housing prices, Carney echoed the sentiments of Housing Minister Gregor Robertson, emphasizing the need for increased housing supply to stabilize the market. The government aims to make homes more affordable by reducing the GST on new homes, encouraging municipalities to lower development charges, and enhancing the efficiency of the homebuilding industry. Carney believes that these measures will lead to cost savings for buyers over the next five years, although they may not significantly impact overall housing prices immediately.

Overall, the government’s decision to delay the budget until the fall reflects a commitment to thorough planning and effective policymaking. By focusing on key priorities such as housing affordability and economic stability, the Liberal government aims to deliver a budget that addresses the needs of Canadians and fosters long-term growth and prosperity.