Michael Higgins: How bad are things when the Liberals refuse to have a budget?

National Post

17-05-2025

When the federal government spends your money — and it is most definitely your money — one of the ways it is held accountable is by presenting an annual budget.
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The budget, among other things, details how the government spent your money, how much more of your money it will need in the future, the profligate and useful ways in which your money was spent, and — especially in the Liberals' case — how much debt the government needs to rack up to pay for its excessive spending.
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One of the government's primary roles — perhaps its most important — is to be stewards of the public purse.
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Not to have a budget for two years is not only an abdication of that role, it is a slap in the face of all Canadians. Give us your money, says the Liberal government, but accountability? Why, there is no need for that.
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The last budget in April 2024 promised 'fairness for every generation,' to build more homes, to make life more affordable and to grow the economy.
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Then it got blown up in December when Finance Minister Chrystia Freeland resigned, charging Prime Minister Justin Trudeau with ' political gimmicks ' and implying the Liberals were failing to keep their fiscal powder dry in the face of incoming U.S. tariffs.
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The whole episode highlighted just how important it is for us all to keep an eye on the nation's finances.
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Shortly thereafter, Parliament was dissolved, then prorogued, and then there was an election. The supposed democracy of Canada hasn't had a sitting Parliament for five months.
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And now our newly minted finance minister, François-Philippe Champagne, says we don't need a budget this year. Instead, we will get a fall economic statement which isn't the same thing at all. Often called a mini budget, it is less detailed and more an update on where things stand. Champagne told CTV's Vassy Kapelos, 'My objective is to provide (Canadians) with the best possible picture of the finances of Canada. It is to be prudent.'
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Champagne said that after the summer parliamentary break and in the fall, there would be a fiscal update 'which is going to be substantive and, like I said, there is going to be no surprises.'
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Our finance minister speaks in contradictions: on the one hand he wants to give Canadians the best possible picture, and on the other hand, he will only provide a mere update in the fall.
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It is also a wonder that the word prudent didn't turn to ashes in his mouth considering the Liberals abysmal ten-year economic record in power. A new report by the Fraser Institute reveals total government spending has soared. In 2014, it was 38.4 per cent of the national economy, last year it was 44.7 per cent. Our debt burden now means we are the seventh highest out of 40 advanced economies.
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'Simply put, over the last decade, Canada has experienced substantial growth in both the size of government and the overall debt burden that has outpaced virtually every other advanced country. This has translated to a deterioration in the state of Canada's finances relative to comparable countries, and likely means lower economic growth and reduced living standards for Canadians,' says the report.