Mr. Speaker, due to the higher than expected interest rates the budget projections of the government are off by as much as $10 billion. To make up this shortfall the government has only two choices: cut spending or raise taxes.
Last weekend the Deputy Prime Minister said that social programs spending cuts would not go to reduce the deficit. I ask the Minister of Finance: Should Canadians take this as a sign that the government is preparing to break its deficit reduction pledge, or is the government planning to raise taxes as much as $10 billion?