The recently issued federal Budget promises an excessive amount of new spending, with very little to show for Pontiac, QC.
Liberals have confirmed that they are borrowing $30 billion dollars in this year alone, with the majority of funds not to be spent right away on roads, highways or public transportation. Rather, we are being given long-term structural deficits through massive hikes in program spending that will not grow the economy.
Borrowed money has to be paid back. Tax credits are already being scrapped, with more increases to come as debt interest payments pile up. Over 5 years, the Liberal deficit total will hit $100 billion, and there is no timeline whatsoever in the Budget document for us to be back in a surplus position. Essentially, we are facing an indefinite deficit, after Finance Canada showed a budgetary surplus of $4.3 billion from April 2015 to January 2016.
Concerning Pontiac families, the Liberals are ending the Children`s Fitness Tax Credit (hockey is now more expensive); the Children`s Art Tax Credit (artistic/music classes are now more expensive) and also eliminated are tax credits for post-secondary education & textbooks. Income splitting for parents is also gone.
Pontiac small businesses were forgotten as well, as the Liberals are keeping the small businesses tax rate at 10.5% instead of lowering it to the scheduled 9% – a scheduled policy that had near unanimous support from all political parties. The Liberals are also ending the small business hiring credit. These items entail that the largest group of employers in the region are going to have less money to generate growth here, and that is a travesty for jobs.
Few, if any, pre-budget consultations were done by the local Liberal MP for Budget 2016, and that is clearly reflected with what we ended up with. Disappointingly, Pontiac is paying far too much for what we’re getting, and we’ll be paying for it for a long time.