Mr. Speaker, it gives me great pleasure today to rise and speak on the budget. This budget, which I like to refer to as the middle-class budget, or better yet, the growth budget, is an important step to help revitalize the Canadian economy, strengthen the middle class, and ensure a prosperous future for the residents of my riding of Vaughan—Woodbridge.
I see budget 2016 as a blueprint to undertake strategic investments for the future. As the father of two young daughters, Natalia and Eliana, I know this budget is a plan for the future not just of this generation but of successive generations, one that moves Canada forward in a number of concrete ways and ensures that all our children will inherit a more prosperous and hopeful country.
I am proud to represent Vaughan—Woodbridge, one of the fastest growing communities in Canada. Our community, like many across the country, is made up of dynamic hard-working Canadians who look forward to a good standard of living and a better future for their families. However, many of my constituents are working harder than ever and are not getting ahead. Budget 2016 would put people first, and it would deliver the help that Canadians and the residents of Vaughan—Woodbridge need now, not a decade from now.
As an economist and someone who worked in the global financial markets for nearly a quarter of a century, I can state with expertise that budget 2016 is fiscally prudent. It is a responsible approach to fiscal management, cemented through a fiscal anchor. Thanks to measures taken in the mid-1990s, Canada has the lowest debt-to-GDP ratio of any G7 country, and with interest rates at historic lows, now is the time to invest in Canadians to ensure our country's best days lie ahead.
However, Canada's fiscal strength rests largely in its low debt burden, and protecting this source of strength is of paramount importance. To maintain Canada's low debt burden and its fiscal advantage, our government is committed to reducing the federal debt-to-GDP ratio to a lower level over a five-year period, ending in 2020-2021. This commitment preserves the government's capacity to respond to potential future economic crises, so that future generations are not burdened.
I am extremely proud of budget 2016. I know it would make a positive difference in the lives of the residents of Vaughan—Woodbridge. I wish to highlight a few measures that are particularly significant to me and my constituents, including measures that strengthen the middle class, undertake strategic investments in infrastructure that build stronger communities, introduce the transformational Canada child benefit, and ensure a dignified retirement for our seniors.
One of the first actions our government took was to introduce a $3 billion middle-class tax cut and to ask the wealthiest 1% to pay a bit more. In total, nearly nine million Canadians, including many in my riding, are now benefiting from this tax cut, leaving more money in their paycheques to save, invest, and grow the economy.
I am proud of this government's commitment to families with the introduction of the transformational CCB. The CCB would now be tax free to parents, better targeted to those who need it the most, and much more generous. In fact, nine out of 10 families would receive more child benefits than under the current system, with an average increase of almost $2,300.
Even more significant is that, with the introduction of a better targeted CCB, about 300,000 fewer children would be living in poverty. The CCB would be a leading force in our efforts toward poverty reduction, and for this our government should be applauded by all members of the House.
We know all too well the growing infrastructure deficit faced by cities and provinces across Canada, and we know that our economic well-being depends on our ability to move people, goods, and services. Our government listened during the election campaign and heard the unified voice from experts, including from Bank of Canada governor Stephen Poloz, who noted that “Infrastructure is an ingredient to economic growth. It’s sort of the enabler of economic growth”. That is why we have made a historic commitment to invest $120 billion in infrastructure over 10 years. This is a smart investment that is much needed. Studies have consistently shown that, for every dollar invested in infrastructure, approximately $1.50 in economic activity is generated. Investing in infrastructure creates good, well-paying jobs that can help the middle class grow and prosper.
Our investments in infrastructure, be it public, social, or green, are not just about creating jobs and economic growth but, more importantly, are also about building communities that Canadians are proud to call home. Currently, congestion in the greater Toronto area is costing the economy billions of dollars and negatively impacting the quality of life of all residents. In phase 1 of the infrastructure plan, $3.4 billion over three years would be invested in public transit, of which $1.5 billion is earmarked for Ontario. This investment, along with the current infrastructure projects, including the Toronto-York Spadina subway expansion into Vaughan, would be tangible measures to begin to address the costs associated with congestion.
As we move forward, we will implement a plan for investment in infrastructure, but the government will also plan for a more innovative Canada. Innovation is today's driver of inclusive growth, and Canada must be in it to win it. In budget 2016, the government is defining a new vision for Canada's economy to build Canada as a centre of global innovation.
Our government will fund a $2-billion investment over three years for a new post-secondary institution strategic investment fund to modernize on-campus research, commercialization, and training facilities. Budget 2016 also provides an additional $95 million per year to strengthen Canada's world-class research capacity and excellence.
Canadians face a rapidly changing global economy, and for us to succeed we must foster citizens to be global leaders in their fields and have our creative and entrepreneurial citizens propel the economy forward.
The welfare of seniors is an issue that touches me greatly in my riding. Seniors helped build this great country we live in. Budget 2016 puts forward significant new investments to ensure that all seniors can enjoy a secure and dignified retirement. The planned increase of up to $947 per year, a 10% increase to the guaranteed income supplement, is set to start in July. It will help the most vulnerable single seniors. Over 900,000 seniors, including many in my riding of Vaughan—Woodbridge, will be helped by this measure, but we are doing more.
We have kept our commitment to return the age of eligibility for old age security and the guaranteed income supplement to 65 from 67, and in the coming months we will develop a seniors price index to allow seniors to keep pace with the actual cost of living they face.
In addition, our government will continue discussions with the provinces to enhance the Canada pension plan. An enhanced Canada pension plan would be a major step in improving retirement outcomes for workers and reducing the uncertainty that many Canadians feel about entering retirement.
Our commitment to seniors is simple. We are there for them.
Finally, budget 2016 is truly a blueprint for the future, a future that is not only hopeful but built on solid foundations which are fiscally prudent and boldly aspirational.
Our country's best days are ahead of us, and we will seize the opportunity to invest in Canadians, including the residents of Vaughan—Woodbridge. I am privileged to serve them.
God bless Canada.