Bill C-47

Budget Implementation Act, 2023, No. 1

An Act to implement certain provisions of the budget tabled in Parliament on March 28, 2023

Part 1 implements certain measures in respect of the Income Tax Act and the Income Tax Regulations by
(a) enabling the Canada Revenue Agency (CRA) to use electronic certification of tax and information returns and requiring taxpayers to file electronically in certain circumstances;
(b) doubling the maximum deduction for tradespeople’s tools from $500 to $1,000;
(c) providing that any gain on the disposition of a right to acquire Canadian housing property within a one-year period of its acquisition is treated as business income;
(d) excluding from a taxpayer’s income certain benefits for Canadian Forces members, veterans and their spouses or common-law partners;
(e) exempting from taxation any income earned by the Band Class Settlement Trust in accordance with section 24.05 of the Settlement Agreement entered into on January 18, 2023 relating to the attendance of day scholars at residential schools;
(f) providing an additional payment of the Goods and Services Tax/Harmonized Sales Tax (GST/HST) credit equal to double the amount of the regular January 2023 payment;
(g) providing for automatic, quarterly advance payments of the Canada Workers Benefit;
(h) allowing divorced and separated spouses to open joint Registered Educational Savings Plans and increasing educational assistance amounts under those plans;
(i) extending, by ‚three years, the ability of a qualifying family member to be the plan holder of an individual’s Registered Disability Savings Plan and expanding the definition of “qualifying family member” to include a sister or a brother of the individual;
(j) allowing defined contribution registered pension plans to correct contribution errors and requiring that the contributions or refunds are reported to the CRA for the purpose of correcting the RRSP deduction limit;
(k) modifying reporting requirements in respect of reportable transactions, introducing reporting requirements for notifiable transactions and providing reporting requirements with respect to uncertain tax treatments, as well as extending the reassessment periods applicable to those transactions and creating or modifying penalties for non-compliance with those requirements;
(l) allowing the CRA to share taxpayer information for the purposes of the Canadian Dental Care Plan;
(m) expanding the definition of “dividend rental arrangement” to include “specified hedging transactions” carried out in whole or in part by registered securities dealers;
(n) implementing the Model Reporting Rules for Digital Platforms developed by the Organisation for Economic Co-operation and Development;
(o) requiring annual reporting by financial institutions of the fair market value of registered retirement savings plans and registered retirement income funds;
(p) expanding the permissible borrowing by defined benefit pension plans; and
(q) implementing a number of technical amendments to correct mistakes or inconsistencies and to better align the law with its intended policy objectives.
It also makes related and consequential amendments to the Excise Tax Act , the Tax Rebate Discounting Act , the Air Travellers Security Charge Act , the Excise Act, 2001 , Part 1 of the Greenhouse Gas Pollution Pricing Act and the Electronic Filing and Provision of Information (GST/HST) Regulations .
Part 2 implements certain measures in respect of the Excise Tax Act and a related text by
(a) clarifying that the international transportation of money benefits from Goods and Services Tax/Harmonized Sales Tax (GST/HST) relief and other special rules in the same manner as a service of internationally transporting other kinds of freight;
(b) permitting a pension entity, in specific circumstances, to claim the pension entity rebate or an input tax credit, or to make the pension entity rebate election, after the end of the two-year limitation period;
(c) specifying that cryptoasset mining is generally not considered a supply for GST/HST purposes; and
(d) ensuring that payment card clearing services are excluded from the definition “financial service” under the GST/HST legislation.
Part 3 amends the Excise Act , the Excise Act, 2001 and the Air Travellers Security Charge Act in order to implement two measures.
Division 1 of Part 3 amends the Excise Act and the Excise Act, 2001 in order to temporarily cap the inflation adjustment for excise duties on beer, spirits and wine at two per cent, for one year only, as of April 1, 2023.
Division 2 of Part 3 amends the Air Travellers Security Charge Act to increase the air travellers security charge that is applicable to air travel that includes a chargeable emplanement after April 2024 and for which any payment is made after April 2024.
Part 4 enacts and amends several Acts in order to implement various measures.
Division 1 of Part 4 amends the Bank Act to strengthen the regime for dealing with complaints against banks and authorized foreign banks by, among other things, providing for the designation of a not-for-profit body corporate to be the sole external complaints body. It also makes consequential amendments to the Financial Consumer Agency of Canada Act and related amendments to the Financial Consumer Protection Framework Regulations .
Division 2 of Part 4 amends the Pension Benefits Standards Act, 1985 to, among other things, provide for variable life benefits under a defined contribution provision of a pension plan and amends the Pooled Registered Pension Plans Act to, among other things, provide for variable life payments under pooled registered pension plans. It also makes a consequential amendment to the Canadian Human Rights Act .
Division 3 of Part 4 contains measures that are related to money laundering and to digital assets and other measures.
Subdivision A of Division 3 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to, among other things,
(a) require persons or entities referred to in section 5 of that Act to report to the Financial Transactions and Reports Analysis Centre of Canada information that is related to a disclosure made under the Special Economic Measures Act or the Justice for Victims of Corrupt Foreign Officials Act (Sergei Magnitsky Law) ;
(b) strengthen the registration framework for persons or entities referred in paragraphs 5(h) and (h.1) of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act , which are often referred to as money services businesses;
(c) create two new offences relating to persons or entities who engage in activities for which they are not registered under that Act and the structuring of financial transactions undertaken to avoid reporting obligations under that Act, as well as a new offence relating to reprisals by employers against employees who fulfill obligations under that Act;
(d) facilitate the sharing, between the Minister of Finance, the Office of the Superintendent of Financial Institutions and the Financial Transactions and Reports Analysis Centre of Canada, of information that relates to their respective mandates; and
(e) authorize the Minister of Finance to issue directives to persons and entities referred in section 5 of that Act in respect of risks relating to the financing of threats to the security of Canada.
Subdivision A also amends the Budget Implementation Act, 2021, No. 1 in relation to the Proceeds of Crime (Money Laundering) and Terrorist Financing Act .
Subdivision B of Division 3 amends the Criminal Code to provide for a new warrant authorizing a peace officer or other person named in the warrant to search for and seize digital assets, including virtual currency, as well as to expand the list of offences on the basis of which an examination of information obtained by the Minister of National Revenue under various tax statutes may be authorized. The subdivision also makes related amendments to other Acts.
Division 4 of Part 4 amends the Customs Tariff to extend the expiry date of the General Preferential Tariff and Least Developed Country Tariff to December 31, 2034 and to create a new General Preferential Tariff Plus tariff treatment that will expire on the same date. The Division also aligns direct shipment requirements for tariff treatments under that Act with those that apply to free trade agreements.
Division 5 of Part 4 amends the Customs Tariff to remove Belarus and Russia from the List of Countries entitled to Most-Favoured-Nation tariff treatment.
Division 6 of Part 4 allows the Bank of Canada to apply, despite sections 27 and 27.1 of the Bank of Canada Act , any of its ascertained surplus to its retained earnings until its retained earnings are equal to zero or the ascertained surplus applied to its retained earnings is equal to the losses it incurred from the purchase of securities as part of the Government of Canada Bond Purchase Program.
Division 7 of Part 4 enacts the Canada Innovation Corporation Act . That Act continues the Canada Innovation Corporation, which was established under another Act, as a parent Crown corporation, sets out the Corporation’s purpose to maximize business investment in research and development across all sectors of the economy and in all regions of Canada to promote innovation-driven economic growth and includes transitional provisions. The Division also makes consequential and related amendments to other Acts.
Division 8 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act to authorize additional payments to the provinces and territories.
Division 9 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act to renew the authority to make Equalization and Territorial Formula Financing payments for another five-year period beginning on April 1, 2024 and makes a technical change to improve the accuracy of the programs. It also makes a technical change to the calculation of fiscal stabilization payments. Finally, it provides for the publication of the details of all amounts authorized to be paid under that Act.
Division 10 of Part 4 amends the Special Economic Measures Act , the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and the Justice for Victims of Corrupt Foreign Officials Act (Sergei Magnitsky Law) to strengthen Canada’s ability to take economic measures against certain persons.
Division 11 of Part 4 amends the Privileges and Immunities (North Atlantic Treaty Organisation) Act to, among other things, enable the Paris Protocol to be implemented in Canada.
Division 12 of Part 4 amends the Service Fees Act to, among other things, clarify the definition “fee”, exempt certain fees from the application of that Act, make certain exceptions in that Act applicable only with the approval of the President of the Treasury Board, make certain changes to the annual adjustment provisions and provide authority for the President of the Treasury Board to amend the regulations made under section 22 of that Act by taking into account the factors established by regulations.
It also amends section 25.1 of the Canadian Food Inspection Agency Act to provide for the application of sections 16 to 18 of the Service Fees Act to low-materiality fees, within the meaning of the Service Fees Act , that are fixed under section 24 or 25 of the Canadian Food Inspection Agency Act .
Division 13 of Part 4 amends the Canada Pension Plan to allow the Minister of National Revenue to make available information to the Minister of Employment and Social Development that is necessary for the purpose of policy analysis, research or evaluation related to the administration of that Act.
Division 14 of Part 4 amends the Department of Employment and Social Development Act to grant the Minister of Employment and Social Development the authority to collect and use Social Insurance Numbers for the purposes of administering or enforcing any Act, program or activity in respect of which the administration or enforcement is the responsibility of the Minister.
Division 15 of Part 4 amends the Canada Labour Code in respect of leave related to the death or disappearance of a child to, among other things, increase the maximum length of that leave from 104 weeks to 156 weeks and to repeal paragraph 206.5(4)(b) of that Act.
Division 16 of Part 4 amends the Immigration and Refugee Protection Act to provide that a claim for refugee protection made by a person inside Canada must be made in person and, with regard to a claim made by the person other than at a port of entry, that the Minister of Citizenship and Immigration may specify the documents and information to be provided and the form and manner in which they are to be provided.
Division 17 of Part 4 amends the Immigration and Refugee Protection Act to clarify that the Minister of Citizenship and Immigration may give instructions in respect of an application to sponsor a person who applies for a visa as a Convention refugee, within the meaning of that Act, or as a person in similar circumstances.
Division 18 of Part 4 amends the College of Immigration and Citizenship Consultants Act to, among other things,
(a) provide that the College of Immigration and Citizenship Consultants may seek an order authorizing it to administer the property of any licensee of the College who is not able to perform their activities as an immigration and citizenship consultant;
(b) extend immunity against proceedings for damages to directors, employees and agents and mandataries of the College, among others;
(c) authorize the College to enter into information-sharing agreements or arrangements with any entity, including federal or provincial government institutions; and
(d) expand the areas in respect of which the Governor in Council may authorize the College to make by-laws.
The Division also makes related amendments to the Citizenship Act and the Immigration and Refugee Protection Act to clarify that any person who is the subject of a notice of violation issued under either of those Acts has the right to request a review of the notice or the administrative monetary penalty set out in the notice.
Division 19 of Part 4 amends the Citizenship Act to, among other things,
(a) grant the Minister responsible for the administration and enforcement of that Act the power to collect biometric information from persons who make an application under that Act — and to use, verify, retain and disclose that information — in accordance with the regulations;
(b) authorize that Minister to administer and enforce that Act using electronic means, including by using an automated system; and
(c) grant that Minister the power to make regulations requiring persons who make an application or who provide documents, information or evidence under that Act to do so using electronic means.
Division 20 of Part 4 amends the Yukon Act to authorize the Minister of Northern Affairs to take any measures on certain public real property that the Minister considers necessary to prevent, counteract, mitigate or remedy any adverse effect on persons, property or the environment.
Subdivision A of Division 21 of Part 4 amends the Marine Liability Act to, among other things,
(a) increase the maximum liability for certain claims involving a ship of less than 300 gross tonnage;
(b) establish the maximum liability for claims involving air cushion vehicles;
(c) remove all references to the Hamburg Rules;
(d) extend the application of the International Convention on Civil Liability for Bunker Oil Pollution Damage, 2001 to non-seagoing vessels;
(e) provide for public notice requirements relating to the constitution of limitation funds under that Act;
(f) clarify that the owner of a ship is liable for economic loss related to fishing, hunting, trapping or harvesting suffered by an Indigenous group, community or people or suffered by a member of such a group, community or people; and
(g) expand the compensation regime of the Ship-source Oil Pollution Fund to include certain future losses.
Subdivision B of Division 21 amends the Canada Shipping Act, 2001 to, among other things,
(a) expand the application of Part 1 of that Act in relation to certain pleasure craft;
(b) expand the exemption powers of the Minister of Transport and the Minister of Fisheries and Oceans;
(c) allow the owner of a Canadian vessel to enter into an arrangement with a qualified person under which that person is the authorized representative of the vessel;
(d) give the Marine Technical Review Board jurisdiction to make decisions on applications for exemptions from interim orders;
(e) authorize the Governor in Council to incorporate by reference in certain regulations material that the Minister of Transport produces;
(f) broaden the Governor in Council’s power respecting fees, charges, costs or expenses to be paid in relation to the administration and enforcement of matters under that Act for which the Minister of Transport is responsible;
(g) increase the maximum amount of fines for certain offences;
(h) provide authority, in certain circumstances, for the Chief Registrar to refuse to issue a certificate of registry and for the Minister of Transport to refuse to issue a pleasure craft licence;
(i) authorize the Governor in Council to make regulations respecting emergency services;
(j) authorize the Minister of Transport to, among other things,
(i) direct a master or crew member to cease operations,
(ii) authorize the Deputy Minister of Transport to make interim orders in response to risks to marine safety or to the marine environment, and
(iii) direct a port authority or a person in charge of a port authority or place to authorize vessels to proceed to a place selected by the Minister; and
(k) permit designating as violations the contravention of certain provisions of Parts 5 and 10 of that Act and the regulations made under those Parts.
The Subdivision also makes a related amendment to the Oil Tanker Moratorium Act .
Subdivision C of Division 21 amends the Wrecked, Abandoned or Hazardous Vessels Act to, among other things, establish the Vessel Remediation Fund in the accounts of Canada and provide the Minister of Fisheries and Oceans with certain powers in relation to the detention of vessels.
Division 22 of Part 4 amends the Canada Transportation Act to, among other things,
(a) allow the Governor in Council to require air carriers to publish information respecting their performance on their Internet site;
(b) permit the sharing of information to ensure the proper functioning of the national transportation system or to increase its efficiency, while ensuring the confidentiality of that information;
(c) allow the Minister of Transport to require certain persons to provide certain information to the Minister if the Minister is of the opinion that there exists an unusual and significant disruption to the effective continued operation of the national transportation system;
(d) establish a new zone in Manitoba, Saskatchewan and Alberta, in which any interswitching that occurs is subject to the rate determined by the Canadian Transportation Agency, for a period of 18 months; and
(e) broaden the scope of the administrative monetary penalties scheme.
Division 23 of Part 4 amends the Canada Transportation Act to, among other things,
(a) broaden the authority of the Canadian Transportation Agency to set fees and charges to recover its costs;
(b) replace the current process for resolving air travel complaints with a more streamlined process designed to result in more timely decisions;
(c) impose a greater burden of proof on air carriers where it is presumed that compensation is payable to a complainant unless the air carrier proves the contrary;
(d) require air carriers to establish an internal process for dealing with air travel claims;
(e) modify the Agency’s regulation-making powers with respect to air carriers’ obligations towards passengers; and
(f) enhance the Agency’s enforcement powers with respect to the air transportation sector.
Division 24 of Part 4 amends the Customs Act to, among other things,
(a) allow a person arriving in Canada to present themselves to the Canada Border Services Agency by a means of telecommunication, if that manner of presenting is made available at the customs office at which they are presenting themselves; and
(b) subject to the regulations, require that the operator of a commercial aircraft arriving in Canada ensure that baggage on board the aircraft is transported without delay to the nearest international baggage area.
The Division also makes a related amendment to the Quarantine Act .
Division 25 of Part 4 amends the National Research Council Act to, among other things, provide that the National Research Council of Canada may procure goods and services, including goods and services relating to construction and to research-related digital and information technology. It also establishes a new Procurement Oversight Board.
Division 26 of Part 4 amends the Patent Act to, among other things,
(a) authorize the Commissioner of Patents to grant an additional term for a patent if certain conditions are met;
(b) authorize the Governor in Council to make regulations respecting the number of days that is to be subtracted in determining the duration of an additional term; and
(c) authorize the Commissioner of Patents and the Federal Court to shorten the duration of an additional term if the duration as previously determined is longer than is authorized.
Division 27 of Part 4 amends the Food and Drugs Act to extend measures regarding therapeutic products to natural health products in order to, among other things,
(a) strengthen the safety oversight of natural health products throughout their life cycle; and
(b) promote greater confidence in the oversight of natural health products by increasing transparency.
Division 28 of Part 4 amends the Food and Drugs Act to, among other things, prohibit
(a) the sale of a cosmetic unless its safety can be established without relying on data derived from a test conducted on an animal that could cause pain, suffering or injury, whether physical or mental, to the animal, subject to certain exceptions;
(b) the conduct of a test on an animal that could cause pain, suffering or injury, whether physical or mental, to the animal if the purpose of the test is to meet a legislative requirement that relates to cosmetics; and
(c) deceptive or misleading claims, on the label of or in an advertisement for a cosmetic, with respect to testing on animals.
Division 29 of Part 4 enacts the Dental Care Measures Act .
Division 30 of Part 4 amends subsection 41(1) of the Canada Post Corporation Act , in response to the decision in R. v. Gorman , to limit the Canada Post Corporation’s authority to open mail other than letters.
Division 31 of Part 4 expresses the assent of the Parliament of Canada to the issuing by His Majesty of a Royal Proclamation under the Great Seal of Canada establishing for Canada the applicable Royal Style and Titles.
Division 32 of Part 4 amends the Public Sector Pension Investment Board Act to provide that the Public Sector Pension Investment Board may incorporate a subsidiary for the purpose of providing investment management services to the Canada Growth Fund Inc. It also amends the Fall Economic Statement Implementation Act, 2022 to increase the amount that may be paid out of the Consolidated Revenue Fund on the requisition of the Minister of Finance for the acquisition of shares of the Canada Growth Fund Inc. and to provide that the Canada Growth Fund Inc. is not an agent of His Majesty in right of Canada.
Division 33 of Part 4 amends the Office of the Superintendent of Financial Institutions Act , the Trust and Loan Companies Act , the Bank Act and the Insurance Companies Act to, among other things,
(a) expand the mandate of the Office of the Superintendent of Financial Institutions to include the supervision of federal financial institutions in order to determine whether they have adequate policies and procedures to protect themselves against threats to their integrity or security; and
(b) expand the Superintendent of Financial Institutions’ powers to issue directions to, and to take control of, a federal financial institution in certain circumstances.
It also makes a consequential amendment to the Winding-up and Restructuring Act .
Division 34 of Part 4 amends the Criminal Code to, among other things, lower the criminal rate of interest calculated in respect of an agreement or arrangement and to express that rate as an annual percentage rate. It also authorizes the Governor in Council, by regulation, to fix a limit on the total cost of borrowing under a payday loan agreement. Finally, it provides for transitional provisions.
Division 35 of Part 4 amends the Employment Insurance Act to extend, until October 26, 2024, the increase in the maximum number of weeks for which benefits may be paid in a benefit period to certain seasonal workers.
Division 36 of Part 4 amends the Canadian Environmental Protection Act, 1999 to, among other things,
(a) establish an account in the accounts of Canada to be called the Environmental Economic Instruments Fund, for the purpose of administering amounts received as contributions to certain funding programs under the responsibility of the Minister of the Environment; and
(b) replace references to “tradeable units” with references to “compliance units”.
It also makes consequential amendments to the Canada Emission Reduction Incentives Agency Act .
Division 37 of Part 4 amends the Canada Deposit Insurance Corporation Act to clarify that the Canada Deposit Insurance Corporation may administer any contract related to deposit insurance entered into by the Minister of Finance and to allow the Minister to increase the deposit insurance coverage limit until April 30, 2024.
Division 38 of Part 4 amends the Department of Employment and Social Development Act to, among other things,
(a) establish the Employment Insurance Board of Appeal to hear appeals of decisions made under the Employment Insurance Act instead of the Employment Insurance Section of the General Division of the Social Security Tribunal; and
(b) eliminate the requirement for leave to appeal decisions relating to the Employment Insurance Act to the Appeal Division of the Tribunal.
It also makes consequential amendments to other Acts.
Division 39 of Part 4 amends the Canada Elections Act to provide for a national, uniform, exclusive and complete regime applicable to registered parties and eligible parties respecting their collection, use, disclosure, retention and disposal of personal information.

Budget Implementation Act, 2023, No. 1

[Marty Morantz, Conservative, Charleswood—St. James—Assiniboia—Headingley, MB]

Madam Speaker, only the NDP could think that raising taxes for Canadians would make life more affordable for Canadians. The reality is that we need to increase the size of our economic output so we can afford the important programs that the member cares about, and I hope he comes along with us to bring in policies that promote economic growth.

[Xavier Barsalou-Duval, Bloc, Pierre-Boucher—Les Patriotes—Verchères, QC]

Madam Speaker, I thank the member for his speech. What I found interesting was that he used the word “workers” a lot. It always sounds odd to me, hearing the word “workers” from the mouth of a Conservative, but I suppose it is good to hear, because at least it means they might be somewhat concerned about them.

What has left me wondering, however, is that I do not recall the Conservatives advocating for one of the things that workers want most of all, something the Bloc has also been calling for, which is EI reform in order to make it more generous. I would like to know what the member has to offer workers who need help and support for a period of time when they lose their jobs, especially in this time of high inflation, with costs going up everywhere.

[Marty Morantz, Conservative, Charleswood—St. James—Assiniboia—Headingley, MB]

Madam Speaker, the reality is that the current Prime Minister has increased spending on our public service by $20 billion at the same time as increasing spending on external consultants by $20 billion, and he still managed to trigger the largest strike in Canadian history. Yes, I do worry about the workers in this country, but I lay the problems workers have in this country squarely at the feet of the Prime Minister.

[Mike Lake, Conservative, Edmonton—Wetaskiwin, AB]

Madam Speaker, it is astonishing to me to hear the NDP and Liberal members stand up in the House, with the record-shattering levels of debt and spending they are undertaking together, and call for, in the debate today, more spending.

I hearken back to the Trudeau government of the seventies and eighties and the massive debt and deficits they rang up. This resulted in record cuts to social services, like health, education and all of those different things, in the late nineties, by another Liberal government, precipitated by the massive levels of debt taken on by the Trudeau government of the seventies and eighties. I wonder if the hon. member could reflect on what it was like in the late nineties, when we saw $35 billion cut from health, education and social services transfers in this country.

[Marty Morantz, Conservative, Charleswood—St. James—Assiniboia—Headingley, MB]

Madam Speaker, in 1995, the most draconian budget in Canadian history was brought in by Liberal finance minister Paul Martin. Why did he do it? It was because he had to. He had to do it because the Government of Canada was broke. It could no longer borrow money. It had hit a wall. The Wall Street Journal was saying that Canada was an economic basket case, because interest rates were high and debt was high, and the Government of Canada could no longer afford to maintain its credit rating or pay for the important programs Canadians required. That is where we are heading today.

[Mike Morrice, Green, Kitchener Centre, ON]

Madam Speaker, I would like to start by sharing, as I usually do, what I like about the bill we are debating this afternoon, in this case, Bill C-47, which would implement some measures that were in the budget, many that would benefit people in my community.

I would like to share two examples.

The first is dental care, which is part 4, division 29. Bill C-47 takes meaningful steps to advance the new Canada dental care plan specifically by introducing the dental care measures act. The measures in Bill C-47 move toward dental coverage, starting for those who need it most, including uninsured Canadians under 18, people with disabilities and seniors who have a family income of less than $90,000. Those with average annual family incomes under $70,000 would have their dental visit covered by the federal government without any out-of-pocket costs.

Second, there is a provision to lower the criminal rate of interest, which is in part 4, division 34. Bill C-47 would amend the Criminal Code to cut the maximum allowable rate of interest to 35% from 47%, at least for alternative lenders, like EasyFinancial, for example. It is a positive step forward that I support, but, sadly, it does not include all companies like this, specifically, predatory payday lenders. Money Mart, for example, would still be exempt from this new rate cap. However, it is a step in the right direction.

In light of constructive measures like these, I intend on supporting Bill C-47.

I recognize this is in contrast to how I voted on the budget as a whole, which was against. Therefore, I would like share more, with the rest of my time, on why this was the case. In brief, it is because the budget does not meet the moment we are in.

I will start with housing, and the words of the Office of the Federal Housing Advocate, an advocate whose role was created by the federal government. It said, “The newly unveiled Federal Budget is a sorry disappointment. It completely misses the mark on addressing the most pressing housing crisis this country has ever seen.”

Tim Richter from the Canadian Alliance to End Homelessness said, “It’s clear that the federal government does not see the scale and urgency of these crises, and have offered no solutions.”

When I look at my community, the housing crisis has and will continue to define us. The number of people living unsheltered has at least tripled since 2018, as encampments continue to grow across our community. When we look at the cost of rent and homes, in 2022 compared to 2005, house prices had gone up 275%, while wages had only gone up by 42%. However, in this budget, there is almost no new investments in housing, and the one investment that was made, an important one in indigenous housing, is back-loaded, meaning the funding will not begin until future years.

There is also nothing to address the commodification of the housing market to move us back toward homes being places for people to live and not commodities for investors to trade. There is so much the federal government can and should be doing on this front.

One example of a sensible, simple measure I proposed is to end the tax exemptions for large, corporate investors, real estate investment trusts and direct the minimum of $285 million of revenue that this would generate to build the affordable housing that we need.

Next is on mental health. I will read the words of Margaret Eaton, National CEO of the Canadian Mental Health Association. She says, “The budget is out of touch with the reality of Canadians’ well-being and their ability to afford mental health services. I believe that the government has missed the mark, and that there will be deep human and economic costs to pay.” I feel the same way, and that is reflected in the stories I hear from people and organizations in my community.

Very specifically, the governing party ran on a campaign that included dedicated mental health funds. In fact, there were $4.5 billion, to be called the Canada mental health transfer, yet there has been some kind of a magic trick, because that has just disappeared in the time since, including again in this budget. At a time when people in my community need that support now more than ever we cannot separate the housing crisis from the reality of the mental health services that people need.

Third, when it comes to reducing poverty, one of the most effective ways to do that is to ensure we lift people with disabilities out of poverty. In fact, we could cut poverty by 40% if we followed through on promises for which the disability community have advocated, and that is to introduce the Canada disability benefit. Again, in this year's budget, the federal government chose not to do it.

We know that when the federal government is serious about moving ahead with a policy, it does not start with legislation in the way it did with the disability benefit; it starts with funding. It is what it did with child care, and it is what it is not doing here. It is unfortunate that we will continue to see people with disabilities living in legislated poverty because of this budget. The governing party chose to not move ahead with that as quickly as it should. Neither did the Liberals introduce an emergency response benefit for people living with disabilities.

When it comes to the arts community, I would like to share another quote with the members:

[Budget 2023] does not offer a vision for how Canada’s arts, culture, and heritage sector can contribute to the fight against existential challenges of our time....We are...disappointed there is no new funding announced...for critical areas like [modernization initiatives]...supporting repatriation...or helping create new Indigenous museums or cultural centres.

This is from the BC Museums Association. It reflects concerns in my community also, including organizations like the KW Symphony and Centre in the Square, which need all levels of government to step up. When demand has not returned to prepandemic levels, we need to be continuing to support arts and culture organizations across the country. Instead, in this budget, if it is not a festival or a federally owned national museum, there is nothing here.

Last, is with respect to climate. I will quote the UN Secretary General, António Guterres, who said, “the truly dangerous radicals are the countries that are increasing the production of fossil fuels. Investing in new fossil fuels infrastructure is moral and economic madness.”

Even so, in this budget, at a time when the governing party says time and again it is committing to phasing out so-called unabated fossil fuel subsidies, it has introduced four new ones, including funding for drilling in the Arctic for more oil. At a time when we know we need to move with urgency to address the climate crisis we are facing, does it not make sense that we start by not subsidizing the very sector most responsible for the crisis at a time when its profits are over $38 billion among the five largest oil and gas companies across the country?

Julia Levin, the associate director of national climate at Environmental Defence, said:

Rather than finally delivering on the government’s promise to end fossil fuel subsidies, this budget throws more fuel on the fire by funneling even more public dollars into false solutions that serve to prop up the fossil fuel industry. Carbon capture and hydrogen are great for greenwashing oil and gas, but they won’t deliver meaningful emissions reductions.

She knows as well as I do that this is exactly what we need at this point in this critical decade when we have a chance to keep global average temperatures below 1.5°C.

I want to encourage all my colleagues here to push for measures that would address these significant gaps that I know are priorities, not only for people in Kitchener and in Waterloo Region but right across the country, when it comes to addressing the housing crisis, mental health, lifting up people with disabilities, investing in the arts and addressing the climate crisis that we are in, while also being mindful that there are important measures in Bill C-47 that we all should be supporting.

[Ken McDonald, Liberal, Avalon, NL]

Madam Speaker, Kitchener has a place in my heart as well, because I have family members who live and work in Kitchener. The member spent some time talking about the affordable housing issue and that not enough was being done in this budget. Does he agree with the Conservatives' thoughts on affordable housing, which is getting municipalities out of the way and letting the government go in, build houses and solve the problem? It has to have the municipal touch on it. Does the member agree with that statement?

[Mike Morrice, Green, Kitchener Centre, ON]

Madam Speaker, my concern with the talking points from the Conservative Party is that they are playing on justifiable anger but then not offering reasonable solutions. The fact is that we need all three levels of government working together, and browbeating municipalities is not how we are going to solve the housing crisis. What will is the federal government getting back to the stage of investing in the housing we need, non-market and co-op housing, the way we used to in the eighties and the nineties. Anything less is unacceptable.

[Eric Melillo, Conservative, Kenora, ON]

Madam Speaker, although we do not always see eye to eye on everything, I do appreciate the tone my colleague from Kitchener Centre brings to this place.

I would like to stick on the topic of housing. To the point that was just made, the Conservative Party has brought forward a number of solutions, such as bringing forward a plan to speed up building permits to get more homes built and create an incentive for housing units to be developed. There is certainly a need for more affordable housing and social housing, no question about it, but we also see issues with supply around regular market housing in my region as well.

I would like to get the member's comments on what our party has brought forward to help address the issues we see with market housing.

[Mike Morrice, Green, Kitchener Centre, ON]

Madam Speaker, I would agree. The member for Kenora's tone in a similar way is how we have constructive conversations here. However, I will also agree to disagree.

I have not heard those kinds of proposals from the Conservative Party, and I would like to hear more of it. For example, when it comes to building the supply we need, the proposal I offered was with respect to at least looking at large corporate investors who are not building. They are primarily buying existing units and are getting preferential tax treatment for it.

Why is the Conservative Party not stepping up to say that we should at least have them pay their taxes, and with the minimum $285 million that this would generate, invest in the supply of the affordable housing we need? I would welcome more support across the aisle on reasonable proposals like that.

[Julie Vignola, Bloc, Beauport—Limoilou, QC]

Madam Speaker, I thank my hon. colleague for his speech, which once again demonstrates his well-developed sense of balance and impartiality.

I recall that, during the pandemic, the government and the Prime Minister kept repeating that no one would be left behind. Even so, people with great credit scores of 800 and 900 ended up going bankrupt because they were among those left behind by the government. At some point, they were unable to make ends meet. These people have been left behind because when they file for bankruptcy or make a consumer proposal, their excellent credit rating is wiped out. There has been no effort to come up with legislation for this, and to ensure that the major credit score companies consider people's history and also exceptional circumstances.

Is it not time to pass legislation so that these people are not left behind and their personal lives impacted for five or even 10 years by this omission?

[Mike Morrice, Green, Kitchener Centre, ON]

Madam Speaker, my colleague from Beauport—Limoilou raises a good point, and it is true that many people have been left behind by this government. I am thinking in particular of the homeless and people living with disabilities. Many people need more than lip service. They need investments and legislation to show them that the federal government is there for them.

[Arielle Kayabaga, Liberal, London West, ON]

Madam Speaker, I am very pleased to join the debate on Bill C‑47 and highlight our government's efforts to support the middle class, build a strong and prosperous economy, and help Canadians cope with the rising cost of living.

The 2023 budget tabled last month by the Deputy Prime Minister and Minister of Finance proposes, for one, targeted inflation relief for 11 million Canadians and families. That is what I would like to talk about today.

This targeted relief is both necessary and appropriate. Since 2015, the government has been committed to helping those who need it most, and that has not changed. On the one hand, Canada's recovery from the recession caused by COVID‑19 has been remarkable. There are 865,000 more Canadians in the workforce now than there were before the pandemic, and the unemployment rate is near its record low. Inflation also continues to drop.

On the other hand, there are challenges that remain. For example, inflation is still too high. Canadian families are feeling the effects every time they go grocery shopping. Rising prices for basic necessities are a concern for many Canadians.

In the 2023 budget, we propose new, targeted inflation relief for the Canadians hardest hit by rising food prices. Thanks to this grocery rebate, 11 million low- and modest-income Canadians and families will receive financial assistance. These 11 million Canadians include people in my riding of London West.

In concrete terms, this represents up to $467 for couples with children and up to $234 for single people without children. It represents an extra $225 on average for seniors. This assistance will be provided through goods and services tax credits. The reimbursement will be paid by the Canada Revenue Agency as a one-time payment shortly after Bill C‑47 passes.

I am therefore happy to see that our grocery rebate is advancing well at the legislative level, Bill C‑46 now being before the Senate after having been adopted by the House on April 19.

That represents a $2.5-billion investment for the treasury. It is indeed an investment that will strengthen Canada's social safety net and improve the quality of life of millions of Canadians, without boosting inflation. It would be unreasonable to send a cheque to every Canadian, since that would only make things more difficult for the Bank of Canada, and things would remain more expensive longer for all Canadians.

We need to understand that the worst appears to be behind us in terms of inflation, which has declined every month in the past nine months and is now holding stable at 4.3%. That being said, we know that some families are having a harder time than others, and they are the ones that need help.

Budget implementation Bill C‑47 also includes a series of measures to help Canadians face the rise in the cost of living. They include legislative amendments to crack down on predatory lending. The bill also includes several provisions to implement the new Canadian dental care plan. This will help up to nine million Canadians, and ensure that no one in Canada has to choose between dental care and paying their monthly bills.

This is in addition to other measures included in budget 2023. I am thinking in particular of collaboration with regulatory agencies, provinces and territories to reduce junk fees such as high roaming and telecommunications charges, excessive baggage fees and unfair shipping fees. I am also thinking of the implementation of a right to repair to make it easier and less costly to repair appliances and electronics than to replace them. The possibility of implementing a common charging port for telephones, tablets, cameras and laptops will also be explored.

There is also a reduction in credit card transaction fees for small businesses.

This is also in addition to measures already in place, such as the reduction of day care fees at regulated services across Canada. Six provinces and territories already provide regulated child care services at $10 per day or less, on average. The other provinces and territories are on track to do so by 2026. We have also strengthened the day care system in Quebec. In that province, we are providing more day care spaces.

These are responsible measures. All Canadians want right now is for inflation to keep declining. Canada is proud of its tradition of fiscal responsibility. It is a tradition that the government is determined to maintain. That is why budget 2023 will allow Canada to keep the lowest deficit and net debt-to-GDP ratio among the G7. Budget 2023 will slow the growth of public spending and bring it back to prepandemic levels.

In exercising fiscal restraint, we ensure that we will continue to make investments for Canadians. With targeted investments, we will help those who truly need it. There are investments in housing, because our economy is built by people and people need a roof. There are investments in labour so workers have the skills needed to find and keep good jobs. There are also investments to strengthen the immigration system so that we can welcome a record number of qualified workers and help growing businesses.

In conclusion, Bill C‑47 will help the most vulnerable Canadians cope with price increases. It will ensure that no one is left behind. This bill will make it possible to consider everyone and manage the public finances effectively.

I encourage hon. members to support this bill and help create a stronger and more prosperous future for Canada.

[Ron McKinnon, Liberal, Coquitlam—Port Coquitlam, BC]

Madam Speaker, I wonder if the member could tell us a little more about the help that this budget would provide to vulnerable people in her riding.

[Arielle Kayabaga, Liberal, London West, ON]

Madam Speaker, it is important to highlight that this budget targets families and young children. There would be dental care for families in need.

I just mentioned that this budget really targets families that are struggling, and that is what our government is trying to do right now to support Canadians who are struggling the most. The grocery rebate would go 11 million targeted Canadians to make sure they have the support they need to continue to thrive in the environment we are in.