Madam Speaker, it is a great privilege to set the record straight on the budget.
Members across the way have spoken about hitting targets. All they are going to hit with the budget is a debt wall. They are
talking about hitting the right track. All the track is going to lead to is a catastrophic economic crisis in Canada.
I will illustrate where we are, where we were and where we are going. We had a $550 billion debt and a $220 billion debt provincially which is increasing all the time and has been increasing for the last 20 years. We take in about $120 billion every year and spend about $160 billion.
Last year the government had to borrow $40 billion to meet its obligations. In three years time another $100 billion will be added to the debt, which will increase the amount of money we have to borrow and the interest payment to $50 billion.
Furthermore it will decrease the amount of money we have to spend on government programs from $120 billion to $102 billion. It does not take a rocket scientist to figure out that we have a significant shortfall in the amount of available moneys to carry out government programs, in particular social programs that underprivileged individuals rely on for their well-being.
With the shortfall two things will happen. We will either have to make it up in an economic growth and/or increase taxes. There is no way the economy can possibly make up $18 billion in economic growth. The government will be forced to increase taxes. Furthermore it will crush the life out of the economy and compromise our social programs by having more people obligated to use them. That is the reality.
I will look at a few specific problems in the country. The government disguised its cuts irresponsibly in many ways. First and foremost it said it made cuts. It has actually removed money from the provinces, over $8.5 billion worth. Where does this fall? It will be on the shoulders of the taxpayer, the end point at every level. It is completely unfair and unconscionable.
We in the Reform Party gave the government a budget in two phases. One was in November last year and the other one was before its budget came down. We worked through the process and indicated the solutions to get our country back on track. The government ignored them.
We proposed cuts to the provinces but we proposed to give the provinces tax points to enable them to raise money to fund the programs they want. In effect it is a division of labour and a reduction in duplication. We also proposed a reduction in duplication at the federal level to effect a net savings to the taxpayer.
Let me speak about two specific areas that are close to my heart and close to the hearts of all Canadians. One is health care and the second is post-secondary education. Currently health care costs are rising dramatically, far greater than our gross domestic product, due to expensive technology and an aging population. The situation is not going to get better but is going to get worse.
Funding on the other hand has been stagnant. The government has taken $8.5 billion from the envelope of funding to health care costs, further exacerbating a staggering problem. It has in effect penalized the provinces to get its own so-called funding under control. In the same vein it has said to the provinces that they cannot raise any funds because they will be shackled to the Canada Health Act.
The government has said that it does not want cash register medicine. It does not want to compromise health care. Neither do we in the Reform Party. We are obligated to ensuring that everybody receives essential health care services in a timely fashion, which is not happening right now.
We have proposed that the Canada Health Act be amended to ensure that the provinces have the power to raise the funding and that the government takes it upon itself to ask Canadians to define essential health care services. Once we define the services we will ensure that everyone in the country regardless of income will have the services covered, which is not happening currently.
I will give a couple of examples. A lady in my riding has vertigo, a spinning sensation. She sees things. She probably has a brain tumour in the base of her skull. In Victoria she will have to wait two months just to get her CT scan and her MRI scan is booked on the 12th of never. I ask members to put themselves in her shoes and think about how they would feel. The reason this is the case is that there is not the money for her to have this essential health care service. I could go on and on about many other cases but there is not the time.
The government has also said that our proposal provides for a two-tier health care system. Yes, it does, but we have maintained that it is better to have a two-tier health care system that provides better services for all people than the same two-tier system we have now that is providing progressively poorer health care for all people.
The other aspects about health care are in the realm of the provinces. I do not have the time to discuss them here, but they have responsibility for managing them.
The most important factor in determining employability in the future is post-secondary education. The government has pillaged the amount of moneys available to post-secondary education, further compromising the ability of students to have the skills necessary to compete in the coming economies of the future. That is something we will collectively pay for and pay for in a large way.
We in this party have proposed the income contingent loan replacement scheme, ensuring that funding goes to the provinces. We would make a small cut but also give them the tax points to raise the funds necessary to provide for post-secondary education.
I went to Francis Kelsey Secondary School in my riding last week that looked into an interesting initiative. It looked into the future to determine the economic needs of the country. It is telling its students where the jobs of the future will be. The government should take it upon itself to direct and advise provinces of the economic needs of the country in the future so that they will be able to direct their education programs in that direction.
I would like to make a few points. The budget has added $100 billion to the debt and has severely compromised our social programs much more so than anything that has been done in the past five years. Rather than have a slash and burn policy economically, which is what the government has proposed, we have put forth the only effective solution to save health care, social programs and the other essential programs and to help those most in need. We are trying to preserve the framework of the social net of which we are so proud.
We would take the moneys from the upper third of the income brackets. We feel the moneys we are borrowing now to pay for the debt are in effect being borrowed from future generations.
In conclusion I would say that we in this party are more than happy to help the government out to have a balanced budget but we need to do it within the next three years. Otherwise those who will suffer most are those who can least take care of themselves.