Deficit Lower Than Expected As Province Prepares To Unveil Its Budget
Posted March 25, 2010 6:58 am.
This article is more than 5 years old.
The provincial budget will be unveiled Thursday and Ontario’s Finance Minister claims the record deficit the government has racked up is lower than once thought.
Dwight Duncan said the staggering amount of red ink now totals $21.3 billion – 14 per cent lower than his fall projection of $25 billion. The finance minister said improved government revenues, including corporate and sales taxes, are responsible for the lower figure.
The opposition parties weren’t impressed by the decreased deficit. Progressive Conservative Leader Tim Hudak said the fact the Liberals have changed their deficit projections five times in the last year is a sign of incompetence. The NDP suggested the government inflated the debt projection last fall to make themselves look good before the budget.
Despite the massive deficit, Duncan signaled this week there will be no new taxes. There won’t be any new tax cuts either.
Premier Dalton McGuinty is expected to provide new funding for northern residents and money to create 20,000 new college and university spaces this fall.
McGuinty also said he’ll be dedicating just over $60 million to save 7,600 subsidized daycare spots across the province after federal funding runs out next month.
