:
Mr. Speaker, honourable members, fellow Canadians, when I rose in this House to deliver budget 2025, I presented an ambitious plan to navigate current challenges and harness Canada's many strengths to position our country for success for decades to come.
The changes we are witnessing are sudden and unprecedented. From geopolitical shifts to supply chain disruptions to rapid technological breakthroughs, including in artificial intelligence, the world is changing quickly and Canada must adapt to thrive.
That is why the called on Canadians to seize the opportunity and build at a speed and scale not seen in generations, to build Canada strong, to build sustainably and responsibly and to build a Canada for all, because we believe in Canada.
[English]
In budget 2025, we made generational investments to build communities, to empower Canadians and to protect our country. Now the journey must continue. We do this by drawing on Canada's unique strengths and capabilities. We have the most educated workforce, something we should all be proud of.
Some hon. members: Hear, hear!
Hon. François-Philippe Champagne: Yes, Mr. Speaker, we should applaud all the strong people we have in Canada.
We have a very strong industrial base that builds ships, cars and planes. We have critical minerals to power the economy of the 21st century. We are an energy superpower in renewables and in conventional and nuclear energy. We are the only G7 country with a free trade agreement with all other G7 nations, giving us preferential market access to 1.5 billion people around the world.
This is a Canada we can be proud of, a country that is strong, a country that is ambitious, a country that is confident. Above all, as the said, let us lead with the strength of our values and the value of our strengths. Canada is resilient. Canada is resourceful. Canadians are resourceful people. Together, we can chart a path forward through the fog of uncertainty, because Canada has what the world wants and increasingly needs.
We have the right plan. We are building big. We are moving fast, and the good news is that we are just getting started. I know that, in their hearts, my Conservative colleagues also feel the same. I can see that across the aisle. These are serious times, and Canadians expect us to be good stewards of our economy and manage our public finances with thoughtful fiscal discipline.
[Translation]
Over the past six months, we have supported Canadians with concrete measures to make everyday life more affordable while strengthening our economy. We have built the second-fastest growing economy in the G7 while reducing our projected deficit for 2025-26 by more than $11 billion.
[English]
This is the essence of being strong fiscal managers, to make sure that we make the right decisions to ensure benefits not only today but for future generations. Our economy is resilient, driven by GDP growth, rising incomes and obviously more jobs.
Let me be clear: This is good news for Canadians. It reflects a stronger, more productive economy. We have made this happen through pragmatic and targeted investments to make Canada the most competitive jurisdiction in the G7 for investment, including through the productivity superdeduction and through our trade diversification strategy. We have ensured that as revenues have grown by two-thirds, two-thirds of this increase over the past year has been directed toward affordability measures that make a real difference in the lives of Canadians. This is the true essence of being Canadian.
Guided by our commitment to spend less so we can invest more, and building on the comprehensive expenditure review, our government continues to reduce spending, improve efficiency and deliver better value for Canadians. As a result, projected deficits are lower over the fiscal horizon. We also remain firmly on track to balance day-to-day operating spending with revenues by 2028-29 and to keep the deficit-to-GDP ratio on a steady downward path.
This country is growing at an unprecedented speed. Just to put that in perspective, Canada has the second-fastest growing economy in the G7. We are growing almost twice as much as Germany, almost twice as much as Japan and almost three times more than Italy. This is because Canadians are resourceful. This is because we have the right plan. This is because, as Canadians, there is nothing that is beyond the limit for us.
[Translation]
Canadians understand that by spending less, we can invest more. Our fiscal position is strong and allows us to build a Canada that is strong and fair.
[English]
This is a Canada that is not just for some, most of the time, but for all, all the time. Our ambitious plan to build the strongest economy in the G7 is on track. We are delivering on our plan through the work led by the Major Projects Office to supercharge 15 projects that are projected to create over 60,000 jobs and drive $126 billion in new investment. We are delivering on our plan through a defence industrial strategy that will increase our defence exports by 50% and support 125,000 high-paying careers, with an anticipated $125-billion downstream economic benefit by 2035. We are delivering on our plan through an automotive strategy that will protect a cornerstone of our economy while growing an industry that supports 500,000 jobs. We are delivering on our plan because we believe in Canada.
This is a moment for Canadians to lead, for our nation to be ambitious. We are building fast. We are building Canadian. We are building sustainably. From the copper and gold mine expansions in British Columbia to the Darlington new nuclear project in Ontario, we are powering the next generation of prosperity. In the north, we are proud to support an Inuit-owned renewable energy project in Iqaluit, breaking the Arctic's reliance on diesel and returning energy sovereignty to our people.
I can see smiles across the aisle.
There is more good news. We are also expanding this model of economic reconciliation through the indigenous loan guarantee program, supporting first nation equity in major projects like the Chatham to Lakeshore transmission line. In Newfoundland and Labrador, the Bay du Nord project advanced significantly under our new government and positions Canada to be a supplier of choice at a time when energy security is top of mind.
[Translation]
These projects and others like them across the country are creating thousands of high-paying careers for Canadians and strengthening communities from coast to coast to coast.
Advancing economic prosperity also means building a more sustainable future. That includes concrete climate policies that support growth, lower costs, and strengthen Canada's competitiveness. We are well on our way to conserve 30% of Canada's lands and waters by 2030.
[English]
I am pleased to report to this House that the dream of Canada is alive and well. Young people, increasingly, see themselves in building Canada strong, and we will be there with them.
[Translation]
Our vision is clear: a Canada strong at home and a Canada strategic abroad. Canada is seen on the global stage as moving with pragmatism and purpose. Over the past year, we have shown that Canada is a top destination for foreign direct investment. We attracted nearly $100 billion in investments, the highest level in almost two decades, and secured around 20 new economic and defence partnerships across four continents.
[English]
We are just getting started. Every member of the House will be happy to learn that in September we will host the first-ever Canada investment summit in Toronto to unlock even more opportunities, building on our trade diversification strategy that we outlined in 2025.
Canada is seen as a trusted partner to deliver the energy and the food security the world needs, both now and for decades to come. In a volatile environment, investors choose Canada for a reason: We offer unparalleled stability, predictability and opportunity. We will continue by making Canada strong. People want to invest in this country, and we will be there with them.
That said, we know that affordability is the single most pressing issue for many Canadians.
Some hon. members: Oh, oh!
Hon. François-Philippe Champagne: Mr. Speaker, I think they might want to listen.
We are relentlessly focused on what we can control: delivering targeted support where it matters most while our economic plan takes hold, a boost today and a bridge to tomorrow to ease the cost of living for Canadians.
[Translation]
On June 5, more than 12 million Canadians will receive additional support through the new Canada groceries and essentials benefit. Millions more are already benefiting from our middle-class tax cut and automatic federal benefits, ensuring they receive the support they need. The suspended federal fuel excise tax on gas and diesel across Canada aims to reduce Canadians' bills by up to 10¢ per litre on regular gasoline and four cents per litre on diesel. That relief is already being felt by consumers.
Four hundred thousand children have access to healthy meals, while their parents are saving $800 a year on groceries, because we worked with the to make the national school food program permanent. First-time home buyers are saving up to $50,000 since we eliminated the goods and services tax on homes priced at $1 million or under, and over nine million Canadians can now access affordable dental care through the Canadian dental care plan.
[English]
From the beginning, we have placed people and affordability at the centre of our economic plan because we know that these pressures are real and demand immediate action, because we believe in a Canada for all indeed. This brings me to the spring economic update that Canada's new government is tabling today.
[Translation]
Our objective is clear: to build a stronger, more independent, more resilient economy. That work begins by investing in our future and by giving Canadians the opportunity to take part in building it.
[English]
Through our flagship Canada Strong fund, we are creating Canada's first national sovereign wealth fund, something Canadians should all be proud of under the current government. This is a historic moment. Generations will look back at the , the government and the current Parliament and say that we were there for them. We are building long-term wealth and growth.
Some hon members: Oh, oh!
Hon. François-Philippe Champagne: Mr. Speaker, I know that my colleagues across the aisle are excited, because I can hear them shouting.
A sovereign fund, and I will make this real for people watching at home, is essentially a national savings and investment account designed to grow wealth for future generations. It is about taking action today for future generations. The fund will invest in key strategic Canadian projects and companies. It will create jobs. It will support innovation. It will make Canada more competitive. Canadians themselves will be able to take part directly by investing in the fund, sharing in our growth and contributing to the country we are building together, because we are all in for Canada.
[Translation]
Investing in our future also means investing in the people who are building it. That is why this update is focused on helping workers and young people gain the skills, experience and support they need to succeed, as well as ensuring they take advantage of opportunities available to them.
[English]
We are creating new opportunities for young Canadians to give back to their country, by launching team Canada strong as part of a nationwide effort to recruit, train and hire 80,000 to 100,000 new skilled trades workers. This is a step change in how we approach that. We are going to have the people to build this country together across our nation. This means real pathways into skilled trades, with paid training and hands-on experience. It means more opportunities for employers to hire and train young workers. It means a $5,000 bonus when a person completes their Red Seal certification. Most importantly, it means being part of building a stronger Canada. It is going to inspire a new generation of young people in our country.
At the same time, we are making education more affordable by extending the increase to Canada student grants and the interest-free Canada student loans, which will benefit thousands of students across our nation. My colleagues and I, as well as the , have been across this nation and have listened to young people. They asked us to give them a hand now to make sure they can study and be part of this, and we have answered. We are glad to do our part for our young people.
We are doing much more, because growth depends on giving people the tools to succeed. That is at the core of a Canada for all.
[Translation]
It is thanks to this new generation of builders that we will be able to build enough homes here in Canada. This brings me to one of the most pressing challenges facing Canadians today: housing. Housing is a key pillar of affordability and we have made significant and tangible progress to build more affordable housing across the country.
[English]
Since their peak, home prices are down 20%, and rents are down 9% nationally. For many families, this is starting to translate into real relief, but all members of the House would agree that more work needs to be done. This update continues the work of Build Canada Homes, with a plan to increase supply, lower costs and help more Canadians find a safe and affordable home. We are cutting red tape to build homes faster, supporting innovation in construction, unlocking over $7 billion in low-cost financing, boosting housing supply and protecting construction jobs across the country in partnership with provinces and territories.
We are helping the people most in need by extending support for people experiencing homelessness across our nation and by ensuring that survivors of gender-based violence have access to a safe place, because we believe in a Canada for all.
Let me speak about defence.
[Translation]
Security starts at home but it also extends beyond it. We embarked on an important mission to rebuild, rearm and reinvest in the Canadian Armed Forces. In the last year, we have invested over $63 billion into our defence and security. This marks a historic shift in support for our military, one that is already delivering real results.
In March, NATO confirmed that Canada has achieved its 2% defence expenditure target, half a decade ahead of the original schedule.
[English]
If there was one part I thought the opposition would applaud, it was this one. There is only so much one can ask.
[Translation]
We will continue to strengthen our defence capabilities, equip our forces with modern, Canadian-made equipment, and invest in our workers and our defence industry. Because national security begins with those who serve, we announced the largest pay increase for the Canadian Armed Forces in a generation, with recruitment now at a 30-year high.
[English]
That is because we are all in for Canada.
Let me talk about stronger and safer communities. Strong communities are also safe communities and communities that bring people together. That is why this update will invest in the things that make communities stronger, safer and more connected across our great country.
We are moving forward with a financial crimes agency and a national anti-fraud strategy to help protect Canadians, our seniors in particular, and to strengthen trust in our financial system. We are also taking steps to make communities safer, with strong tools to address crime and better protect public access.
We have listened to communities across the country. We have listened to people, and we understand that they need safety in their place of worship. We are there for them.
[Translation]
We are investing in the vitality of our communities, and in the programs and people that support them. That includes the most significant investment in our sport system in 20 years.
[English]
I would have thought that clapping for sports was Canadian, in a way.
[Translation]
I got a bit carried away, but I am going to say it again because I think it is worth saying. It is the most significant investment in our sport system in 20 years.
[English]
I gave them a second chance to clap.
[Translation]
It will expand access for youth and better support high-performance athletes with additional funding of $755 million. Canadians understand the power of sport—how it pushes us to do better and brings us together in our communities. We saw this last year during the Olympic and Paralympic Winter Games, and we see it every day on our rinks, in our sports centres, and in our school yards. A Canada for all must also be a Canada where sport is accessible for everyone.
[English]
Our strategy from the playground to the podium will make a real difference. It will unite our country and inspire a generation of young Canadians in a very true Canadian way. This is Canada at its best, and we are going to support our young people and young athletes.
Along our coast, the same spirit of hard work and community lives in our small craft harbours. Maybe we can get a smile for small craft harbours. I am looking. Small craft harbours are more than infrastructure. They are a foundation for coastal communities, supporting more than five million Canadians, sustaining indigenous traditions and powering thousands of jobs in the fish and seafood industry. This is why we are investing almost a billion dollars to repair and strengthen these vital harbours.
Regardless of which side of the aisle someone sits on, they know that when we in the House invest, we invest in the people who depend on these investments. These are not isolated measures. We made these investments with a purpose. Let me make it real for my colleagues, the members of the House. In budget 2025, we made generational investments in infrastructure to build stronger communities, delivering tangible benefits across the country.
Now team Canada strong will empower a new generation of workers from those same communities, to help build the local infrastructure the government is investing in. Whether that means homes, sports facilities or transit systems, these projects will be built by workers in our communities, for our communities, because when communities are strong, safe and connected, Canadians thrive together because we are all in for Canada.
There is so much more to talk about, but I know that Canadians understand that we are building Canadian strong.
[Translation]
In conclusion, this spring economic update reflects the progress we have made and the important work that remains: building a strong Canada while ensuring that progress and economic growth are felt by Canadians across the country.
[English]
It is about stepping up for our businesses, farmers, entrepreneurs, workers and fishers, Canadians from all walks of life. It is about making sure the projects that build our nation move forward and that people have the support they need to get ahead, especially those affected by unjust tariffs. We are all thinking about them, and we can tell them that we have their backs. Every single member here has their backs. We are thinking about them.
[Translation]
It is about building Canada strong for all.
[English]
When we build Canada strong together, there is no limit to what we can achieve. As Canadian astronaut Jeremy Hansen showed us on his recent journey to the moon, the sky is no longer the limit for us.
Let us seize the moment, be ambitious and build Canada strong together.
:
Mr. Speaker, first of all, I would like to congratulate the hon. minister on his presentation and thank him for proposing to simplify the disability tax credit. As a father, I appreciate that. We are ready to work with him to simplify the system and help more people. I have already filled out these forms and can attest to how complicated they are, so this is a worthwhile proposal.
Despite that, we now know that the Liberal has doubled the deficit left by Justin Trudeau, increasing it from $31 billion to $65 billion. No one thought it was possible to borrow and spend more than Justin Trudeau, but the current Liberal Prime Minister has done just that. This deficit-driven budget will lead to higher costs, higher taxes, and more debt on the national credit card. The Prime Minister is just another Liberal.
Today, the Liberal Prime Minister patted himself on the back for the Liberal's 11th credit card budget. On top of that, he told Canadians that the cost of living is the best it has been in 10 years. However, let us put aside these illusions and look at the reality faced by ordinary Canadians. We have the worst food inflation in the G7. The situation is quite dire for seniors in Quebec. According to the newspaper Le Journal de Montréal, one-third of seniors have an income of less than $25,000 a year. Many have to choose between rent, good groceries and medication. One retiree told Le Journal de Montréal that she would have been homeless if she had not found a solution at the last minute, given that the cost of rent is skyrocketing. Many seniors live on less than $1,900 a month. They are saying that they have to skip meals every day. We hear the same stories all across Canada.
The Liberals' credit card budget means higher inflation, higher prices today and higher taxes in the future, all while a small circle of well-connected Liberal elites continue to enrich themselves through subsidies, corporate welfare and tax havens, which the Prime Minister himself is also using.
Here are the facts from the Liberal economic update. It brings higher costs, more debt and more taxes being racked up on the national credit card. The Prime Minister is just another Liberal.
The Prime Minister broke his promise to reduce the debt-to-GDP ratio, which is set to rise in each of the next four years. The Prime Minister broke his promise to cut spending. In fact, spending is going up 5% this year, which is more than under Justin Trudeau and more than economic growth and inflation combined. Today, he announced $37 billion in new spending. That is the net number, not including the small savings measures he promised.
Since taking office, the Prime Minister has created 13 new agencies. That means more bureaucracy. Outside of the COVID-19 pandemic, this is the biggest deficit in Canadian history, and government spending now accounts for the largest share of our economy since 1996. Interest on our national debt now stands at $59 billion. That is more than we spend on health care and more than we collect in GST. That means that when a Canadian pays GST, every penny goes to bankers and nothing goes to nurses and doctors. Every Canadian family will have to pay $3,400 in interest on the national debt this year. There is nothing left for services.
An increasing share of spending is going to Liberal cronies. We see this with the new sovereign wealth fund, which has no wealth to put in it. It is the new gimmick with no wealth in it. That will go on the credit card too, and the money will go to cronies and people well connected to the government. It is a big financial risk.
We see more waste benefiting the global elite. More specifically, we see $3 billion in funding for international climate finance. This is the same money scheme that this Liberal used to enrich himself at Brookfield and through his now bankrupt Net-Zero Banking Alliance. We see that there is $2.3 billion to subsidize electric cars manufactured abroad, which will jeopardize Canadian jobs. Another $11 million is earmarked for a major gathering of the financial elites to discuss how to spend taxpayers' money. The economic update also predicts slower economic growth and rising inflation.
All of this Liberal Prime Minister's policies are driving up the cost of living and driving down workers' wages while a small Liberal elite keeps getting richer. A year down the road, our economy is declining and the cost of living is rising. I say that simply so that we can face reality and put a plan in place to reverse the trend.
The Conservative plan has four pillars. The first is affordable and abundant energy with no gas tax or carbon tax. The second is very low inflation and very low taxes thanks to cuts to the public service, consultants, corporate welfare, foreign aid and other kinds of waste. The third is free market competition. The fourth is national self-reliance because we can free up our natural resources to meet our own needs here at home. That is how we can and must make Canada more affordable at home, stronger at home and greater at home.
[English]
On this day, I want to congratulate the for his speech and thank him for his commitment as a father. I thank him for his commitment to simplify the disability tax credit. Our people should be spending their time living their lives rather than filling out forms. We want to make life simpler for people who already have enough challenges.
Unfortunately, then comes the bad news. The Liberal has now doubled the deficit that Justin Trudeau left behind, from $31 billion to $65 billion. Everyone thought it would be impossible to outspend the reckless Justin Trudeau, but then the new Liberal Prime Minister came along and said, “Hold my champagne”. On this day, as he congratulates himself for putting an 11th Liberal budget on the national credit card and tells Canadians that “Affordability is the best it has been in over a decade”, let us remember that his illusions are not reality.
With Canada's food prices rising the fastest in the G7, just last week in Calgary, on April 25, thousands of families lined up for hours at the Guru Nanak’s Free Kitchen, many with suitcases, so they could take away 80,000 pounds of free potatoes and groceries because they cannot afford to feed themselves. In Moose Jaw, the food bank has to limit visits to once a month instead of two. I do not know what people are doing for the rest of the year. There has been a 150% increase in the demand at that local food bank under the Liberal government. Nationwide, food banks are recording nearly 2.2 million visits per month. That is double from seven years ago. Working parents are skipping meals so their children can eat. Seniors are choosing between groceries and medication. Young families are staring down mortgage increases as inflationary government spending drives up their mortgage costs.
All of this is leading to real misery in people's lives, the real human costs we saw with the index of the World Happiness Report, which saw Canada fall from the fifth happiest in the world to the 25th during the span of the Liberal government. Among Canadians under the age of 25, we now rank 71st, behind the U.S., the U.K., Australia, even Kazakhstan, Vietnam and Moldova. Who would have thought that Kazakhstani, Vietnamese and Moldovan youth would be happier than Canadians in their youth, in the springtime of their lives?
That is the tragedy of Liberal credit card budgeting, which imposed higher costs on people's lives. Here is how it works. They put the nation's bill on the national credit card, and they force Canadians to put their bills on their personal credit cards. Meanwhile, a small group of Liberal elites and corporate insiders get fantastically rich off government handouts, bailouts and carve-outs. Today's Liberal fiscal update brings more costs, more debt and more bills on the national credit card. The is just another Liberal.
Here are the facts. He doubled the deficit from $31 billion to $65 billion. The broke his promise that he would reduce the debt-to-GDP ratio over the fiscal horizon. Today, he reported that the debt-to-GDP ratio will go up, not only over the fiscal horizon, but in every single year that this government serves. He broke his promise to spend less, with spending, year over year, going up 4.9%, which is far more than the combined inflation and economic growth, and about twice inflation plus population growth. He has added $37 billion of brand new spending measures in this economic update alone, on top of tens of billions of dollars already announced in the last year.
Since taking office a year ago, the Liberal has created 13 new government agencies. Outside of COVID, last year's was the largest deficit in Canadian history, and this year's spending is the highest, as a share of GDP, since 1996. Interest on the national debt will hit $59 billion this year, more than we transfer for health care and more than we collect in GST. That means every penny we pay in GST goes to bankers and bondholders, not to doctors and nurses. Every Canadian will spend $3,400 on interest payments.
An increasing share of spending goes to Liberal elites and corporate insiders, so not everyone is hurting. The 's so-called sovereign wealth fund, which has no wealth to put in it, is relying 100% on the national credit card. Today, we learned that the government is going to spend millions of dollars to set up a transition office that will eventually set up a permanent office to borrow on the national credit card to place bets on Liberal-chosen corporations.
Then there is $3 billion for international climate finance, the same money scheme the used to enrich himself at Brookfield and through his now bankrupt net-zero alliance. I see someone over there from Brookfield was applauding. It was the former environment minister. He might feel like he is out of business sitting in the corner, but no worries, the Prime Minister's net-zero alliance is also bankrupt, so he is not alone.
The has been wrong about everything, by the way. He tells us every day how smart he is. He was wrong to say we needed a bigger and broader carbon tax, wrong to oppose the pipeline to the Pacific, wrong to say there would be deflation after COVID, wrong to say that printing money would not cause prices to go up and wrong to say we should keep 50% of our oil in the ground. How can we ever expect him to get anything right when he has been so wrong for so long?
There is $11 million to hold a summit. One meeting with a bunch of global financial elites will cost $11 million. In case anyone is worried that this is something new, Justin Trudeau held the same meeting with the same people at a Shangri-La hotel 10 years ago to set up the Infrastructure Bank, and how did that work out?
Under the current , Canada now has the highest household debt in the G7, the most unaffordable housing in the G7, the lowest investment per worker in the G7, the second-worst productivity and the second-highest unemployment in the G7. Half a trillion dollars of net investment has fled to the United States. Twice as much capital has left than has returned. Twice as many Canadians are starting businesses abroad than they are at home. In fact, more Canadian firms opened in the U.S. than opened in Canada last year. Last week's Liberal convention had a solution for all these people and this money leaving. They said they want an exit tax: a gigantic wall of taxes to prevent people from fleeing the costly policies of the Prime Minister. Any country that punishes its citizens for fleeing has lost hope.
The Canadian Federation of Independent Business reports that after one year of this Liberal , more businesses closed than opened; that we face an entrepreneurial drought; that high costs, red tape and uncertainty are crushing the next generation; that closures have outpaced start-ups for six straight quarters; and that over half of small businesses told a survey they would not recommend someone start a business in Canada today. The CFIB concludes that Canada's economic foundations are cracking. We cannot regulate and tax ambition out of our economy and expect to build a strong country.
Nothing has changed. Everything costs more. There is no real tax reform other than the rebranding of the carbon tax to be called the clean fuel standard. The promised to cut red tape, and yet not one anti-development law has been removed. As I said, 13 new agencies have been created. He said we would build at speeds not seen in generations, yet after we gave him unprecedented legal powers to approve big national projects, that new office, which those laws created, has not approved a single one.
Then there is the pipeline to the Pacific that he promised. It has no permit, no route, no investor, no start date, no end date, no starting point and no end point. The only company that we know could actually build the pipeline, Enbridge, says that Liberal laws and taxes will prevent us from generating enough oil to put in it. Finally, the wants Alberta to spend $20 billion on a money-losing carbon capture project that has never been proven anywhere as a condition for building the actual pipeline.
What about the 's famous Davos speech on middle power alliances? It has produced a lot of MOUs, but zero new free trade agreements around the world. Announcements are not results. Lofty speeches do not pay mortgages, fill tanks or stock the shelves.
At the root, this still holds the same Liberal ideology of top-down government control that concentrates power and money among insiders like him, a philosophy that doubled our debt, killed growth and priced families out of the basics. He has been wrong on all of those issues all along. After one year of this Prime Minister, our economy is weaker, more expensive and less hopeful. I share these harsh facts because we must replace the illusion with reality if we are going to fix what the Liberals broke.
It has been said that optimism without realism is delusion, and realism without optimism is surrender. We will neither delude ourselves about the harsh reality nor surrender to Liberal failure. Today, Conservatives speak of a different, more hopeful, better Canada, a Canada that is the most affordable and autonomous anywhere on earth.
Everything in Canada should be dirt cheap, because we have the most dirt in which to build homes, dig resources and grow food. We hold the most resources per person of any country in the history of the world. A home with a yard, heat in the winter and fuel in the tank should be easily affordable. With vast farmland, the cost of food should not even be a concern.
We should be able to afford everything we want in this wonderful, splendid country with all of the abundant bounty that we have been given. That is our birthright, and it is our potential. Our mission for an affordable, autonomous, strong country is realistic. We possess the third most uranium, the most hydro potential and the cheapest natural gas to produce affordable, abundant electricity. We have the most oil reserves anywhere in the G7 and the shortest shipping distances from the Americas to both Asia and Europe. We have the most land per person of any G7 country, by far, on which to build homes. We rank third globally in farmland per person. We should have the most affordable food.
Conservatives choose a big, open, free market economy where everyone can fulfill their potential, where our money is sound, where our money buys more and where the people are thoroughly in charge of their own lives. Our plan rests on four principles: one, affordable, abundant energy; two, low inflation and taxes by cutting the cost of government; three, free market competition; and four, national self-reliance.
Energy touches every aspect of our lives. Conservatives, therefore, propose to scrap all taxes for all of the year on gas and to get rid of all carbon taxes forever. Workers and farmers would pay less. Truckers would deliver our goods more affordably.
We also need strong money. Strong money rewards work and savings. Like Switzerland, we will balance budgets in the medium term by slashing spending on consultants, bureaucrats, corporate welfare, foreign aid and handouts to false refugees. We will cancel the $90-billion wasteful Alto rail project and enforce a strict dollar-for-dollar rule. Every new dollar of spending will be matched with a dollar of savings to pay for it.
We will unlock and unblock the free enterprise system. We will end corporate welfare, cut taxes, end taxes on homebuilding, energy and reinvestment, and lower taxes on work by simplifying and lowering the rates in our Income Tax Act. We will unblock homebuilding and resource extraction by eliminating delays. We will do all of this because we believe in an economy that serves the hard-working people of this country.
The choice is clear: We can have an economy of lobbyists and handouts, or we can have hard work and competition. Between political aristocracy and economic meritocracy, I choose meritocracy.
The final principle, of course, is autonomy. Our Canadian sovereignty act will bring home paycheques and production through free enterprise and not subsidies. We will repeal the anti-development law, Bill , lift the northern B.C. oil shipping ban, scrap the industrial carbon tax, cut regulatory burdens by 25% in two years and bring in a two-for-one rule. Every new regulation must eliminate two old ones
We will move to the world's fastest permitting, and we will bring in binding pre-permits so we can get projects moving quickly and our economy rolling. We will unblock a dozen LNG plants, create a strategic energy and mineral reserve for crises and for leverage, and we will use that leverage to fight for tariff-free trade with the United States. That means building up our leverage to end the needless tariffs on our steel, aluminum, autos and lumber. Pushing a new auto pact will also allow us to work with our American friends to increase production on both sides of the border.
We will seek to relaunch the Keystone pipeline to move hundreds of thousands of additional barrels of oil south of the border, and we will not seek a permanent rupture with our closest customer in favour of a strategic partnership for a new world order with the dictatorship in Beijing.
Canada sells 20 times more to the United States than it does to China, and that is not going to fundamentally change, no matter how many illusions and falsehoods the promises. The same Prime Minister knows this. That is why he has 91% of his investments in the United States and not in Canada. Unfortunately, under his leadership, his investments are among those that have fled.
In short, we need to remove the obstacles, the tariffs, the taxes, the red tape and the bureaucracy. Other government obstacles need to be removed. In essence, we need the government to get out of the way. It is not about what the government must do; it is about what it must stop doing. As Saint-Exupéry, the famous French author, said, “Perfection is achieved not when there is nothing left to add but when there is nothing left to remove.”
By removing Liberal burdens, Liberal taxes and Liberal red tape, we will liberate the Canadian people to fulfill their potential. By lifting 11 years of Liberal burdens, we can free Canadian energy, genius and ambition. There is a Canada in the heart of every immigrant and pioneer, and in every indigenous person whose lineage dates back to time immemorial. It is this: With freedom we can achieve anything. Our promise is not a memory. It is our destiny.
Imagine a young tradesperson able to afford the homes that he builds; a mother filling her grocery cart worry-free, making decisions about her children's nutrition and not worried about emptying her bank account; families breathing freely; entrepreneurs launching ideas the same day they invent them; and our resources coming out of the ground and enriching all our people, not foreign coffers. No limits exist on the potential of the Canadian people when they are free to pursue it. We must be realistic and optimistic, because a realist counts the odds, while an optimist changes them. Let us do both.
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I thank my colleague, Mr. Speaker.
Basically, the keeps saying that the world has changed. In his view, the world is always changing, so the situation is serious. Here is what has changed recently.
A little over two weeks ago, the U.S. president signed a new executive order changing the way tariffs are calculated on goods exported by Quebec and Canada. Previously, about 85% of our exports were protected under CUSMA. Today, a large number of goods are subject to 25% tariffs, even though they are covered by that agreement.
As a result, nearly 50% of exports from Quebec and Ontario are now subject to tariffs, according to a recent study by the University of Calgary. Business closures have already begun. We saw a critical situation from day one at BRP. There is the case of Meubles South Shore, and there are others. It is starting to look like a house of cards. We asked the government whether measures would be taken. Our job, as an opposition party, is to ask questions.
Two weeks ago in question period, we asked the what he planned to do about this new way of calculating tariffs, which means that we are no longer protected under CUSMA. Two weeks ago, the Prime Minister had absolutely no idea what we were talking about in question period. He was honest and upfront about it. He told us that he would get back to us with an answer. We gave him a week.
Last week, in question period, we asked the Prime Minister what he was going to do since businesses had started to close. My Liberal, Conservative and Bloc Québécois colleagues whose ridings are home to an industrial base are getting messages from businesses that have been struggling over the past two or three weeks and that are concerned. Many of them are SMEs that have exhausted their line of credit. The Prime Minister's response was to wait for the economic update because it would provide solutions. I have not slept for a week. I have never experienced such suspense in my life. I thought that he was going to sort this problem out.
I read the economic update, and then I read it again. I told myself that the Prime Minister could not have forgotten our businesses, but he has forgotten them. Even though they are covered by CUSMA, they are currently facing 25% tariffs. In light of this, we are calling for a very short-term wage subsidy.
The Prime Minister and the Minister of Finance have announced measures related to workforce training. While it is true that this measure could be beneficial in other provinces, workforce training was fully devolved to the Quebec government several decades ago. The workforce training strategy is managed in Quebec City. Vocational training is managed in Quebec City. Sector-specific internships for the job market are administered there.
To quickly train workers in fields that are in high demand today, we need to send money to Quebec. Ottawa, however, is averse to sending money to Quebec, since it likes to meddle in Quebec's areas of jurisdiction. I see the , who knows I like her. Her department really likes to do that. At the Standing Committee on Finance, we are conducting a study on spending authority, and the other side does not even know what they are talking about. It is disconcerting. So there are no measures for businesses.
The reality is that the United States is going to remain our biggest trading partner for a long time. This is especially true for the SMEs that are affected by these new tariffs. Large companies, particularly those in the aluminum sector, have the industrial capacity to redirect their exports to other markets, sometimes quite quickly, even if that is not ideal. However, SMEs, like the ones back home on Curé‑Labelle Boulevard in Mirabel and elsewhere, do not have the capacity to do that. Their entire bureaucratic and technical infrastructure is designed to export their products to the United States, and they do not have the resources to protect themselves.
These companies are not oil companies. My colleague spoke earlier about subsidies for oil companies. They are not big banks. They cannot afford to hire lobbyists to convince the government to give them tax credits. They have been forgotten.
The government is bragging about a strong economic record in this update. We are being told that exports to the United States have fallen by 10%, which is significant, given that this partner accounts for 80% of our exports. Canada is a small, very open economy. We are being told, quite rightly, that exports to countries other than the United States have increased by nearly 30% or 40%.
That is good news, especially considering that the has not signed a new trade agreement with a single one of those countries. The government is looking for new export opportunities. The Prime Minister has travelled, he has burned fuel, he has played king all over the world. One might therefore think he has signed agreements. However, we have not increased our export opportunities in a single country because the Prime Minister has not signed any trade agreements. What has increased are oil and gas exports to Europe and Asia.
Does anyone know what good came from this strong economic record? Aluminum exports to Europe increased. Our aluminum producers sent their aluminum to Europe because the Prime Minister was unable to solve the problem with the United States. That is what he is covering up.
The government says that the deficit is lower than expected. That is the other good news from the . It is true. The deficit was $11.5 billion less than anticipated for last year. Let me remind the House that the big banks have lowered their economic growth forecasts for next year and for the year after that. That is last year's deficit. It is true that there was more growth. We acknowledge that. There was also more inflation. Across-the-board price increases generate revenue for the government. However, tax credits for batteries and tax credits for investments in clean energy account for two-thirds of the amount mentioned by the Minister of Finance. These tax credits went unclaimed because of insufficient investments, yet the Minister of Finance portrays himself as Mr. Investment.
The natural disaster fund accounts for the rest. Maybe the Minister of Finance did not do enough rain dancing, but it seems that there were not enough floods and forest fires this year to use up the $7.5 billion that was allocated.
This means we need to focus on the real issues. There is not really anything new in this document. I can show the document, since it has been tabled, so I will take the opportunity to do so. There is not much that is new, just some promising measures that have already been announced. The government deserves some credit when it develops strategies and takes the initiative, so we commend it for doing so.
There is the national defence strategy, the national auto strategy and the national infrastructure strategy. There is the national critical minerals strategy, to which we got phosphate added as part of Bill . The government had overlooked this, but it had the good sense to accept our budget amendment. There is also a national strategy for nature. What is missing? There is still no national aerospace strategy.
The industry as a whole has been calling for such a strategy for two or three decades. People who truly know what is happening, those who manufacture airplanes, helicopters and parts, those who are in my riding within walking distance of my office, on the south shore and in Dorval, are calling for a national strategy. Why? The answer is so that they can develop the products that the Department of Defence and the government need, because it is a long-cycle industry. We need a strategy so that, when the time comes to order products, we can do so.
Giving press conferences like the and other Liberal members are doing is not enough. Right now, they are giving press conferences. Unions come to us after meeting with Liberal members. They bring up the issue with the Liberals, who then tell them that it would be unfair to the aerospace industry in Winnipeg and Manitoba if there were a Quebec-based strategy. That is what Liberal members have told our unions in Quebec. That would be useful.
I listened carefully to the . It is not always easy, but I listened to him. He said that he wants the Bloc Québécois to side with the government for once, that it would be good if the Bloc Québécois were on the government's side. He said that Bloc MPs are very partisan, that they are very difficult and very narrow-minded. It takes two to play that game. It takes two to come up with proposals that will shape our industry. Why should we be cozying up to the Liberals when they turn a deaf ear to our proposals?
I will explain why there is no aerospace strategy. We know what is happening in Ontario's auto sector. A lot of the manufacturing workforce is experiencing major structural problems. We also know the government would prefer to move a segment of the industry, possibly to Ontario. I do not know if that is true, but I do know that people are worried about it and that there is no strategy.
That is what is lacking in the economic update. Ottawa bureaucracy is out of touch with on-the-ground realities. There are plenty of examples like that. The says we need to get on board. Every time there is a budget or an economic update, we make demands. Those demands are costed. They are self-funded, five-year proposals. We make those demands even though we know we will never govern. I can assure everyone that I always renew my driver's licence. I know I will never have a car service. I will keep driving my own car. That is fine. I sit down. The entire Bloc Québécois caucus sits down, and sometimes we come up with what everyone acknowledges are the best campaign platform budgets. That is what happened last time.
The first thing we are asking for is that subsidies to oil and gas companies be eliminated. That is step one. That amounts to $10 billion a year. Imagine how many school food programs could be funded with that money instead of propping up oil companies, which have no problem surviving these days. We never received a response to our request, which is entirely reasonable, rational and in the public interest. Another thing we are asking for is that the digital services tax be reinstated. That is worth $7.5 billion over five years. I see some folks over there nodding or frowning. The Liberals said they did it for the good of Canada. I will quote the government, which said recently that it would not pay an entry fee to negotiate with the Trump administration. The Liberals said that. They said they are proud and they are building Canada strong.
We know that they are building Canada strong. We are a little tired of hearing it. In fact, we do not know when this Canada strong is going to get here. They keep telling us that they are not up for paying any entry fees and will not make any concessions ahead of the negotiations. However, the first thing that the did when he came to power was to make concessions and bow down before the Trump administration. The government wants to build Canada strong. It wants to take a stand and show that it does not pay entry fees to negotiate. In that case, it needs to reverse course on its bad decision and reinstate the digital services tax. If Liberal members want to be proud Canadians, they should behave like it. It seems they do not, however. Meanwhile, our media is losing its fight for survival.
Let us talk about the media. There is a crisis in the media sector. It is not me saying this, it is the Minister of Finance, on page 107 of his economic update. It is a good page. I really liked it. The minister says: “Broadcast journalism in particular is a key part of our community fabric.” Let me stress the word “key”. I like the Minister of Finance. He is a revolutionary. He told us about “the government's intention to seek the views of Canadians and stakeholders on extending the Canadian Journalism Labour Tax Credit”. Now that is a revolution. If the had been around during the French Revolution, he would have set up a booth across from the Bastille and conducted a survey on the price of brioche, and France would now be under King Louis XLIX. That is what it means to do nothing for Quebec. If members want concrete examples, that is exactly what we have.
We are calling for some kind of emergency wage subsidy for businesses. We have been meeting with business leaders who are telling us they need to keep their employees on the payroll. Some companies are productive and can export if there is a free trade deal. The keeps saying that he will sign an agreement eventually. For these people, the solution is not to send them back to school. The solution is to lower production costs for these businesses through wage subsidies and to cushion the productivity hit caused by the tariffs until the situation improves, so that our regions do not shut down. The Liberals are refusing. I wondered why, because it is a good proposal. We are reaching out to the .
I thought that the government might be waiting for Cúram to be ready, so it could distribute the wage subsidies through Cúram. Apparently, it has money for Cúram, but not for wage subsidies.
Let us talk about employment insurance, which is designed to help people get through a crisis. We are currently in a crisis. The minister tells us that the world has changed and that we are in a crisis. The unemployment rate has held up a little better than expected. We were expecting worse. We need an EI system that covers more than half of all workers. A little over half of Canadian workers are covered by EI. No one here in the House would be able to renew their mortgage if they told their lender that they have fire insurance that has a 50:50 chance of covering them. That does not happen, yet we are willing to subject workers to that.
We asked for temporary measures, and they were put in place. Those temporary measures were so necessary that they were renewed. There are pilot projects in the regions that have been going on for so many years now that they have become almost permanent. If anyone wants proof of why EI reform is needed, there it is.
I want to talk about the $814 million that was stolen from Quebec. I would think this is of interest to the minister. I have read the book; it occupies a place of pride on my bookshelf. It is called Values. Before entering politics, the Prime Minister used to travel around, talking about his values. He spoke about the fact that values are more important than the market. He spoke about the fact that having a market economy and capitalism without values leaves us, as a society, without a compass. Then, he entered politics and bought votes. What happened to values?
The Prime Minister decided to refund a carbon tax. We know how it worked. To ensure it was socially acceptable, it was refunded before people had even paid it. He decided to send refunds to seven provinces for money that had never been paid, all in order to buy votes.
Quebeckers paid for that. As the Parliamentary Budget Officer said, and as officials from the Department of Finance told us in committee, Quebec is owed $814 million. Where is that $814 million? It is everywhere except in Quebec at the moment. It seems to me that would be a good step to take.
Let us talk about health transfers. There is no increase in health transfers. The minister is happy because he was prepared to run an $80-billion deficit. However, we are calling for increases in health transfers. We see the need in our hospitals. We know that system costs are rising by 6% or 7% per year as the population ages. We know that no government ever introduced or implemented as many programs based on the federal spending power as the Trudeau government. That was the Trudeau government's choice. Meanwhile, people are languishing in hospital hallways and unable to get surgery. Is federal funding the only problem? It may not be the only problem, but it is definitely a substantial factor, and it is part of the solution. We also know there will be cuts starting in the next fiscal year. There is no mention of that.
There is also the issue of the guaranteed income supplement. The Liberals talk about affordability, but there is nothing in there to address affordability. The Liberals increased the grocery cheque, which is great. We welcomed that. They based it on the GST rebate, which takes into account the family structure, the family benefits that people receive, and so on.
However, as far as the government is concerned, there are still good seniors and bad seniors. The legal retirement age in Canada is 65. If that has changed, no one has told me. As far as the government is concerned, there are good retirees and bad retirees. There are people aged 75 and older whose pension increased by 10%, and there are people aged 65 to 74, who are told to go away and wait another 10 years before becoming eligible for their old age security benefits. This is discrimination between two classes of seniors. The Liberals say they want to help people with the cost of living. Seniors aged 65 to 74 are the missing group, but there is nothing about them. The tells us that we are just too partisan and that we should support the government, which wants to take care of seniors.
There is also the increase in the Canada public transit fund. There are problems with public transit, and infrastructure investment is needed. This will promote green and sustainable growth. Half the funds went to Ontario. First, the Liberals cut the fund, reducing it from $30 billion to $25 billion over 10 years. Then they gave half the funds to Ontario. Furthermore, since this falls under Quebec's jurisdiction, there is yet another standoff and everything is taking forever. Rather than being paid out for public transit projects, the money that Quebec is owed is being held up here. Perhaps the Liberals will put it into their sovereign wealth fund. I do not know what they are going to do with that money, but it is taking forever.
Let us talk about loan guarantees for the forestry sector. We have a forestry sector that pays countervailing duties in advance. Often, years later, forestry companies will win in court. They will get reimbursed for those countervailing duties, but in the meantime, they are unable to get credit because they cannot use the money they paid the Americans, those same Americans that the calls our friends in his public communications. Forestry companies cannot go and get that money. We need help for the forestry industry. Where is the help for the forestry industry? The minister seems to think that the world has changed, but nothing has changed for the forestry sector. That is what is happening.
Quebec also wants to be reimbursed for the money that it spent on asylum seekers. I am talking about the $733 million that the Quebec National Assembly is unanimously calling for. Is that partisan or do the 125 people who sit in the blue room in Quebec mean nothing? It is the red room these days, but it will be blue again eventually.
The Liberals are telling us that productivity and innovation are important, but they are closing agricultural research centres in Quebec, in the 's own riding. I do not know what he wants to transform in the agricultural industry, but things are not going well. What is more, the salaries of these researchers amount to about $28 million over five years. For an organization the size of the federal government, that is peanuts. There is nothing in this budget to address that.
I do not know who is being partisan about any of that. I do not know what we are supposed to expect from an economic update like the one today. We need to help people, we need to be working on the ground, we need to be listening and we need to propose measures. The government's answer to all that is a sovereign wealth fund. Yesterday, the Liberals announced that they are going to create a sovereign wealth fund. They went to HEC Montréal for the announcement and put on a show. The audience was clapping like penguins. We asked questions. They would not give us any details, because they said we would get the details today when the economic update was tabled. We opened the economic update document and went to the section on the sovereign wealth fund. We could not contain our excitement. However, what we read was that we are going to get more news in a few months' time. There were no details, apart from one new detail about the sovereign wealth fund: The projects that it will fund are the ones that have been approved by the Major Projects Office, which the Prime Minister already basically controls. They are saying that the fund will be independent, but only just independent enough to say yes to the Prime Minister.
Eariler, we asked officials if there would be an independent investment committee. They answered that they did not know, that the board would no doubt be independent, but that the rest remained to be seen. They have no idea how much it will cost to finance this fund. They do not know what type of bond they will fund it with. They do not know what the governance rules will be. They do not even know how much private investment will be mobilized. They are putting in $25 billion, and we want to know how much private investment that will pull in. They do not know, because they only thought of it yesterday. We are supposed to not be partisan and to just clap for this, but these are valid questions. By all accounts, this fund will not be independent from the Prime Minister's Office, because he is the one selecting the major projects. They wind up on his desk, and he is the one who signs off on them. We are being told that the capital of the people who put money into the sovereign wealth fund will be guaranteed and that they will not be taking on any risk, but the projects we are talking about are so risky that nobody is willing to invest in them unless the government gets involved. Who will end up paying for these projects?
Sovereign wealth funds exist all over the world, and there are all kinds of them. Norway has one. It invests in foreign currencies, something Canada should have done long ago to avoid Dutch disease. The Netherlands' oil exports are killing its manufacturing sector. In Canada, we have never really had one, apart from a similar example in Alberta. Some sovereign wealth funds are used to influence geopolitics, like in China, where the Chinese are buying up infrastructure. Some sovereign wealth funds are used to trade on the foreign exchange market. Quebec's generations fund was a type of sovereign wealth fund. In every case, there was always a clear reason for establishing the fund.
The has set up a fund to make an announcement. At some point, we will need to know why he is establishing this sovereign wealth fund. I am curious, and we have questions. We are an opposition party, and our job is to ask questions. The minister's job is to answer them. Eventually, he will have to answer this.
If anybody is wondering whether we are happy with this economic update, the answer is no, because it does not update anything. We knew it would not be a big document because we had had discussions with the department. We were not expecting a budget, but we were expecting something, at least. If the minister just wanted to upset everyone by announcing the deficit number, we could have waited for the official numbers in October. We will get them in our inbox.
We cannot be faced with such huge changes in tariffs and in the geopolitical landscape of global trade and then be told that the only solution is to encroach on Quebec's jurisdictions. The Liberals have a majority, as everyone knows. We want to contribute, and we always have. We want to make proposals. However, when someone make a suggestion, someone else has to listen. Someone needs to take action. Someone on the other side of the House needs to be sensitive enough to recognize that every member on this side of the House was elected by folks who deserve to be represented and whose views deserve to be heard. I think the government needs to work on its ability to listen, and I think that may well be the most pressing challenge facing this new majority government.