Mr. Speaker, I appreciate the comments from the MP whose riding is next to mine in Winnipeg and where we share many of the same concerns. These are two constituencies where poverty is at a very high rate and where people have felt the impact in real, human, hurtful terms of a decade of Liberal and Conservative cuts.
It is important for us to remember, not just what the Liberals have done in the last seven years but what the Conservatives did leading up to that. Probably the best description of that came from an article by Daniel Drache and Meric Gertler who, in describing and summarizing the Conservative's policies, which fit with those of the Liberals, said:
No area of government policy has been spared. Across a broad front that includes not only trade but regional development, tax and fiscal policies, old age pensions, family allowance, labour market policy, social income programs, and collective bargaining, the government has moved persistently and systematically to reshape the institutional and legislative character of Canada. Its strategy is to water down Canadian redistributional programs so as to make them equivalent to the lowest common denominator, and to cut the direct and indirect labour costs to business.
I think that sums up both the Mulroney Conservative agenda and the Liberals today. We have been dealt one blow after another by this government and I think the assault on our social programs has to end.
The question pertaining to the impact of the failure to lift the ceiling for the next fiscal year on a province like Manitoba is a very good one and it is a serious problem. I have indicated the impact it will have based on a letter from the Manitoba minister of finance. He clearly indicated that with this kind of approach by the government, Manitoba would be worse off than if the government had just left well enough alone.
In his letter, the minister of finance for Manitoba said:
I would respectfully suggest that the removal of the ceiling—especially for 2000/01—does not appear to be an issue of affordability for your government.
Recently, your Department issued a press release, which stated that the federal government would have a surplus in 2000/01 of at least $10 billion. The revenue revisions that would result in the ceiling being triggered would almost certainly imply that federal revenue is substantially higher than your current official projections.
The case has been made by provincial governments for fiscal affordability in terms of lifting the ceiling on equalization. The case has been made by provinces like Manitoba about the very serious impact that would occur if the government does not act. The fact that the government of Manitoba, like other have not provinces, would see a tremendous hardship in meeting its needs without a lift on the equalization ceiling should be enough for the government to act. That is the only reasonable approach.
I would hope that if the parliamentary secretary has not thoroughly read this correspondence from Manitoba he will do so and give us his comments and his feedback.