Ontario to set budget March 27, deep cuts expected
Posted Mar 15, 2012 11:38:52 AM.
This article is more than 5 years old.
Ontario’s public sector is bracing for job losses as the minority Liberals prepare to release their fiscal plan on March 27.
The budget will be painful, with spending cuts that could mean job losses.
Finance minister Dwight Duncan says there could be more days ahead like yesterday when the plug was pulled on slot machines affecting 500 workers.
“This is about a better future and we do have to get back to balance. I think we’re going to do so fairly and responsibly but there are difficult calls to be made. Yesterday was, personally, a very difficult day for me.”
He says the province will have to scale back on big projects.
“Significant reduction in infrastructure spending in the coming years, which will save us hundreds of millions in interest costs over time.”
However, money promised for TTC expansion is not at risk.
Deputy Conservative Leader Christine Elliott says she worries the budget will delay corporate tax cuts to get the NDP vote.
“Most economists would indicate as probably the worst thing that you can do at this time,” said Elliott.”We really need to have lower business taxes in order to attract businesses to invest in Ontario.”
The McGuinty Liberals are trying to erase the deficit in five years, protect health and education spending, while trying to keep the opposition onside to avoid triggering an election.
Economist Don Drummond recommended hundreds of cuts to programs and services, so the government could limit its overall spending increase to just 0.8 per cent a year for five years.
