Mr. Speaker, first I would like to refer to the finance minister's Budget in Brief , which outlines three central goals: first, to help small businesses; second, to ensure a responsible social security system that is fair; and third, to restore fiscal responsibility to government.
I will express my opinion on the first goal: to help small and medium-sized businesses. I refer to page 5, to the first goal: to help small business. Last January, just before the budget, the minister started by increasing unemployment insurance premiums to generate about $800 million in revenue.
About half that amount must be paid by businesses and, of course, by workers. This means that the government will collect $800 million, thus reducing even further people's purchasing power. As a result, people will buy less and businesses will produce less; this will hurt business. I do not think this is a measure to help create jobs, as the minister stated on many occasions. This measure is the first example he seem to give to illustrate his efforts to help business.
He then says they will create a network of business services centres that will be expanded to provide access for small business in every province. He is talking about a single federal government centre. He talks only of this single federal government centre when, for several years now, the Quebec government, members from Quebec, and members of the Bloc Quebecois have been saying that, to substantially reduce government management, we need instead one-stop centres housing both the Quebec department of economic development and its federal counterpart.
As we know very well and as I have said many times and am repeating again today, the Bélanger-Campeau Commission concluded that duplication between the provinces, especially Quebec, and the federal government costs between $2 billion and $3 billion a year.
It is a huge amount. Besides costing $2 to $3 billion a year, we know that it is also very inefficient because companies, especially small and medium-sized ones, have great difficulty making their way through all that.
If the Minister of Finance were serious, he would not have talked about a single centre; he should have talked about a single window with Quebec or the provinces and the federal government-one-stop shopping, if you will. You must really be unimaginative and your ears must be completely blocked not to hear Quebec's demands.
Another great advantage that he mentions for increasing productivity and job creation in our small and medium-sized businesses is that he will consult and study.
Mr. Speaker, this is my tenth year in the House of Commons and for at least ten years we have been consulting and studying. I thought that the Liberal Party had such a clear program, because almost every day, if not several times a day, they tell us about their marvellous red book which had all the answers. I realize that the red book was not so complete since, when it comes to job creation and aid for small business, the government consults and studies and it will go on studying for a long time.
On page 5 of The Budget in Brief , it says: ``A special task force will recommend, on a fast-track basis, a better regulatory regime to help improve the competitiveness of business''.
But I thought that the red book was complete and that the government was ready to act once it took power. Now they are in power. Why study and consult? I am still quoting page 5: "The government will consult the business community on a wide range of tariff cuts on imported manufacturing inputs [-]" More studies, but studies already exist on the subject.
A little further, the red book says: "The Minister of Transport will launch an effort, in consultation with provincial governments [-]" Again, more studies and consultations. That is how the Minister of Finance can say that he will revitalize the economy and create jobs. I do not think that he is really prepared to act, so he consults. There is also the House Standing Committee on Finance reporting its recommendations on a tax to replace the GST. Again, they are not ready to act to create jobs and help small and medium-sized businesses create jobs.
What has the government done in concrete terms? It has eliminated the $100,000 capital gains exemption. That is not a bad idea, but I am convinced that abolishing the $100,000 capital gains exemption is not going to help the employment situation or make small business prosper.
Also, income tax deductions for entertainment expenses have been reduced. But many small businesses, self-employed workers and salespersons need tax deductions for entertainment expenses if they are to be able to do their jobs properly. We know full well-and so does the Minister of Finance, I am sure-that the day tax deductions for entertainments expenses were reduced, several restaurants felt the pinch and complained about the number of jobs lost, because restaurants and hotels are losing more and more business. The Minister of Finance is aware of the statistics. He claims to want to support job creation, but he is actually hindering job creation by reducing tax credits for entertainment expenses, an action affecting self-employed workers and salesmen, those involved in product promotion and the rest.
Does the Minister of Finance actually believe that by taxing businesses more, he will be supporting job creation? The federal government will raise an additional $1.7 billion in taxes from small and medium-sized businesses over the next three years. It will also raise an additional $1.8 billion from individual taxpayers, which translates into $3.5 billion in new taxes for businesses and individuals over the next three years. Does the Minister of Finance believe that by reducing the spending power of businesses and individuals, he is going to create more jobs? Surely not.
I have here the findings of a survey and they are, in my view, rather astounding. The Canadian Chamber of Commerce surveyed 658 member businesses and asked them the following question: Are you satisfied with the federal government's fiscal policies? A full 22 per cent of the businesses surveyed responded either that they would consider moving, were prepared to move, or had already moved part or all of their operations out of the country.
The February 15, 1994, edition of La Presse states the point clearly: Federal policies are driving businesses out of the country. If the Minister of Finance believes that his policies will create employment even while his recent budget has placed a heavier administrative and tax burden on businesses, if he believes this is the way to create jobs, then he should have read the survey of the Canadian Chamber of Commerce. It is unfortunate, sad and astounding to see that 22 per cent of these businesses have decided to move either part or all of their operations out of Canada.
Times are hard and the debt is very high. However, I think the Minister of Finance does not have a clue as to what must be done to create jobs in this country.