Doug Peters

[Goods And Services Tax, September 25th, 1996]

Mr. Speaker, the member has taken a considerable interest in this subject.

I am pleased to report that the changes issued last April have been altered and that memberships in certain non-profit organizations are no longer subject to the GST.

[Income Taxes, September 23rd, 1996]

Mr. Speaker, that is an important question. There are a number of claims that the government has increased revenues by dint of tax increases alone. That is entirely false.

We have seen revenues grow, as most governments have. The vast majority of those increases have come from economic growth alone. In fact, the government has not raised personal income tax rates in any of the last three budgets, and that is the fact.

[Goods And Services Tax, September 23rd, 1996]

Mr. Speaker, the question of the tax base is an important one. The member of the Reform Party should be aware of what her party has said.

The Reform Party has said that it would include a policy that would tax food and drugs, which would make the GST more effective. That is the policy of the Reform Party.

Now the hon. member has complaints about the tax on books. Where would the money come to replace those funds? That is the question I have for the Reform Party.

[Job Creation, September 23rd, 1996]

Mr. Speaker, the question of jobs is an interesting one. We have already had some 669,000 new jobs since this government took office. We have already dropped unemployment insurance premiums from over $3 at the time we were elected to the present level which is substantially below that.

We already have those job creation schemes. There have been some 766,000 new jobs in the private sector alone since we were elected, some 80,000 jobs last month. Job creation is this government's job and we are doing it.

[Job Creation, September 23rd, 1996]

Mr. Speaker, as the hon. member knows, the unemployment insurance premiums are set in the fall in conjunction with the Minister of Finance and the Minister for Human Resources Development. That will be announced when the decision has been made.

[Prisons And Reformatories Act, September 17th, 1996]

moved that Bill C-53, an act to amend the Prisons and Reformatories Act, be read the second time and referred to a committee.

[Financial Institutions, June 19th, 1996]

Madam Speaker, I am pleased to table a consultation paper on federal financial institutions legislation which presents a series of proposals to safeguard the interests of consumers, to make improvements to the legislative and regulatory environment in which the federal financial institutions operate, and to start the process of fundamental thinking about the framework the sector will require as it moves through times of rapid change into the next century.

Canadians can be proud of having one of the strongest financial systems in the world, a system that is efficient, effective and stable. It offers a good balance between competition and the stability of financial institutions. We want to continue to make sure this is true.

The federal government monitors developments in the financial sector and looks for ways to improve the system. In 1992 many of the restrictions preventing financial institutions from fully competing with each other were removed. The general consensus appears to be that these changes produced positive results.

When the 1992 legislation was passed it was agreed that the legislative framework should be revisited in five years. After extensive consultation and analysis, the government has concluded that the framework established in 1992 should be kept largely intact. There is room, however, for a number of important adjustments to be made.

We want to do the following. We want to strengthen consumer protection. We want to ease the regulatory burden on financial institutions and keep the legislation current with evolving trends. We also want to ensure that we raise our eyes to a broader vision of the future.

We recognize that the financial sector operates in a rapidly changing environment in Canada and abroad. Fundamental questions have been raised by the stakeholders in consultations. These questions, mainly involving the structure of the industry and the role played by financial institutions, must be addressed to ensure that we continue to have a strong and secure financial sector that supports economic growth and job creation.

The issues raised are complex and they must be addressed in a broad context. A task force on the future of the Canadian financial services sector will be established to provide advice to government on public policy issues related to the development of an appropriate framework.

I will ask the task force to consider a number of factors in its deliberations. First, what changes to the framework are necessary to ensure that the financial sector contributes to economic growth and job creation? Second, how can this sector meet the emerging needs of Canadian business and consumers? Third, how to promote competitiveness and efficiency in the sector. Fourth, how to foster innovation. Finally, all of this is done while maintaining the safety and soundness of the Canadian financial system. We will provide further details of the task force mandate and composition in the fall.

Ultimately, the question I want addressed is what should be done to make sure that Canada continues to have one of the best financial systems in the world. The study will shape the next round of amendments to the legislation which the government proposes take place no later than five years after the passage of the 1997 legislation. The government will be counting on this group for

dispassionate advice based on the best interests of the Canadian economy.

This marks an appropriate point to discuss in some detail a set of important proposals in the paper, the proposals to further safeguard the interests of consumers. This is a matter of significance to the government.

We recognize the efforts made by the financial institutions to address privacy concerns over the past few years and plan to build on their successes. We propose to introduce regulations governing the use of consumer information by federal financial institutions.

The government will work with the banks, trust and loan companies to simplify and improve methods of providing information about their fees. Financial institutions will also be required to provide more detailed information about the cost of credit.

We will work with consumer and community groups and with the financial institutions to develop and put in place a strategy to improve the access of low income Canadians to financial services.

The government will also work with stakeholders to determine whether there is a need for new measures protecting consumers from abusive tied selling.

In addition to these significant consumer protection initiatives, the paper contains important initiatives to streamline and clarify regulatory requirements, and to minimize delays when regulatory approvals are required.

The paper also recognizes the importance we attach to reviewing the regulatory structure supporting the payment system. A safe and sound payments system is a vital part of the operations of a modern, sophisticated economy.

The Department of Finance will establish an advisory committee to study payment systems issues. The committee will provide important input to the broader work of the task force on the development of a suitable framework for the financial sector in the 21st century. With regard to the legislative proposals contained in this paper, the government will begin a consultation process. Both the House Standing Committee on Finance and the Senate committee on banking, trade and commerce will hold hearings. I look forward to their input.

I urge hon. members to read this paper and to become familiar with the proposals. I will be pleased to receive comments before we move to legislation in the fall.

[Review Of Financial Sector Legislation, June 19th, 1996]

Madam Speaker, pursuant to Standing Order 32(2), I have the honour to table a document entitled the "1997 Review of Financial Sector Legislation; Proposals for Change".

[Taxation, June 18th, 1996]

Mr. Speaker, the Reform Party has demonstrated its ability not only to come last but to misunderstand government policy.

The taxes raised under the new and old system of the GST are identical. They are exactly the same.

How these dealers can lose money when they are paying exactly the same tax is beyond me. I will be glad to explain it to the hon. member when he has time.

[Taxation, June 18th, 1996]

We put an input tax credit on it and the net is exactly the same. The new system and the old system have exactly the same GST.