Mr. Speaker, I am pleased to rise in the House to talk about the budget that was tabled yesterday by the Minister of Finance. I am pleased because this will give me an opportunity to respond to many of the issues raised yesterday by our Conservative friends, particularly the minister of state who just gave a speech himself. These are issues that we regularly hear about in the media but that are not based on truth.
With regard to the budget, Canadians should see the way the Conservatives are boasting about balancing the budget and creating tools like TFSAs. We are not opposed to TFSAs. The principle is excellent. That is why the argument that the minister of state is making that many Canadians and Quebeckers are investing in TFSAs is true. The Conservatives did not create the TFSA in this budget; rather, they increased the contribution limit to $10,000.
This is just one example of many that I am going to try to talk about in my speech. These examples clearly show that the Conservatives are not serious about the economy, that they have no economic credibility and that the budget is about politics rather than economics.
Let us take, for example, the statement that with this budget, the government has finally balanced the budget. Good job. The Conservatives are boasting about the sacrifices that had to be made, but they are not the ones who had to make them. Quebeckers and Canadians are the ones who have suffered as a result of the many cuts made over the past five years. These cuts did not get rid of fat in the system. They got rid of some meat and bones. By that I mean that Environment Canada's budget was cut by 50% at a time when we are talking about the importance of combatting climate change and on the eve of the Paris conference.
The balanced budget was also achieved thanks in large part to major cuts to the Canadian Food Inspection Agency, rail transportation inspection and the Canadian Coast Guard. All of these cuts have hurt Canadians. We have seen recent examples of how Canadians have been affected, such as the listeriosis crisis and the recent spill off the coast of Vancouver that the Canadian Coast Guard was unable to respond to properly. The Kitsilano base had been closed to save a few bucks. The same thing was supposed to happen to the maritime search and rescue centre in Quebec City, which the Conservatives threatened to close to save $1 million. That $1 million keeps boaters in the Gulf of St. Lawrence and the estuary safe. Those boaters, particularly francophone ones, would have been in jeopardy.
With respect to cuts that were really to the bone, funding for scientific institutions was slashed and institutions were closed. There is a perfect example of that in my part of the country: the Maurice Lamontagne Institute. This world-class institute suffered huge cuts that are now preventing it from doing proper monitoring of the quality of the St. Lawrence River and research on the species there and how they live.
We have talked about veterans plenty of times. Not only that, but we have also seen another one of the Conservative government's tactics, which involves not spending a significant amount of the money Parliament allocated. In the case of veterans, that amount was over $1 billion. My colleague from Montmagny—L'Islet—Kamouraska—Rivière-du-Loup, who is also the NDP critic for the Economic Development Agency of Canada for the Regions of Quebec, mentioned that the same thing happened with money that Canada Economic Development was supposed to invest in Quebec: the money was not invested. In 2010 and 2011 alone, $132 million was not invested. The regions of Quebec, regions like the Lower St. Lawrence, the Gaspé, Abitibi-Témiscamingue and Saguenay—Lac-Saint-Jean, desperately need that money.
The Conservative ministers did not make any sacrifices. Given how they laugh at what we say, they were more than happy to see their responsibilities diminish. They were happy to be able to wash their hands of the consequences of their actions. In the end, those sacrifices seriously affected all Canadians, especially workers and the middle class.
Let us come back to balancing the budget. Yes, the Conservatives did it. The budget projects a $1.4 billion surplus for next year. The Conservatives had to jump through hoops to achieve that. They would not have been able to do it without dipping into the contingency fund, which is $2 billion, and without the sale of the government's GM shares, which it sold just to be able to balance the budget. The shares sold for roughly $3 billion.
Nonetheless, when Peter Mansbridge was talking about the budget with the Minister of Finance last night on television, he told the minister that if the Canadian government had waited to sell its shares, then in just one week it could have made an extra $100 million. The federal government is losing an estimated $3.5 billion on its investment in the automotive industry. The Conservatives were so anxious to achieve a superficially balanced budget that they sold these shares even though it meant giving up $3.5 billion and the extra $100 million we would have made if they had just waited until now.
That is not all. They also dipped into the EI fund surplus in order to balance their budget. The projected surplus for the employment insurance fund is $1.8 billion. The projected budget surplus is $1.4 billion. As I mentioned in my question to the minister of state, in December 2013, the hon. Jim Flaherty, who was the Minister of Finance at the time, made a solemn promise in front of the media. He said:
“We do not take EI funds and use them to balance the budget. That's what the Liberals did”.
Those were the words of the finance minister at the time. However, that is exactly what the current Minister of Finance is doing with employment insurance, and he is using it to claim a balanced budget for next year.
I see this budget as an intellectual exercise that is a little flexible when it comes to honesty. According to the Conservatives' arguments, they are giving money back to everyone. However, upon analyzing these measures, such as income splitting and the increased TFSA limit, we can clearly see that the wealthy are the ones who will benefit.
The comparisons made by the Conservatives and the claims that they are eliminating discrimination make no sense. Take the example of spouses who earn $30,000 each. That is a total of $60,000. They each earn that much, but not necessarily because they want to. However, it is hard to raise one, two, three or four children with a single income of $30,000. Obviously, they will both have to work in order to make ends meet.
However, here is what they will do. They will ensure that one spouse earns $60,000 while the other spouse—often a woman these days—stays at home. This couple will benefit from income splitting, while the spouses who can barely make ends meet earning $30,000 each and have to send their kids to day care so that both spouses can work will not get anything. The measure significantly benefits couples that have higher incomes. I would even go further. This is a clear incentive on the part of the Conservatives to encourage women to stay at home, which I do not find surprising in light of their ideology and what we have seen from some Conservative members.
It has been proven in Quebec that a public child care program not only increases productivity and provides access to the labour market, but can also stimulate the economy because of the investments made in the communities where these child care centres are located. This has been proven by economists, not Americans, whom my hon. colleague was criticizing, but Quebec economists who have studied the impact of a Quebec child care program on the Quebec economy. That is one of the reasons why we want to export that model. We want all of Canada to benefit. It is also one of the reasons why we are insisting on negotiating with the provinces in order to establish this national child care program charging a maximum of $15 a day.
This model has worked well in Quebec, and could work well in the rest of Canada. According to the principles of asymmetrical federalism, given that Quebec already has a program, it would of course have the right to opt out with compensation.
I will have the opportunity to finish my speech tomorrow. However, it is clear that the Conservative government did not table a budget that helps the middle class and workers and ensures that the government is doing its part to have a sound economy.
On the contrary, this budget is simply a political pamphlet in advance of the next election. I will be able to show why this pamphlet does not match the realities of Canadian and Quebec families and workers. We will have plenty of time before the next election to show that with this budget and their actions over the past four years, the Conservatives are leading us toward a dead end.