Mr. Speaker, the Government is committed to responsibly managing Canadians’ tax dollars by ensuring that operations and programs are effective, efficient, and directed toward priorities.
Budget 2023 announced spending reductions of $15.4 billion over five years, from 2023-24 to 2027-28, and $4.5 billion annually thereafter.
Savings from underutilized government spending will be shifted to priorities like health care and the clean economy.
These reductions fall into two categories: reductions of $7.1 billion over five years and $1.7 billion ongoing in spending on consulting, other professional services and travel; and reductions of $7 billion over four years and $2.4 billion ongoing in spending on operations and transfer payments. Comparable spending reductions will be applied to Enterprise Crown Corporations, which will account for an additional savings of $1.3 billion over four years starting in 2024-25, and $450 million ongoing.
Organizations have received information on savings targets.
TBS officials are conducting an analysis of savings proposals and are working with officials from other organizations to seek clarity where required. This will ensure that savings are sustainable and do not create future service delivery or program integrity pressures.
Information on specific departmental reduction amounts will be publicly reported through the Estimates documents, starting with this year’s Supplementary Estimates (B), which includes details about reductions for 2023-24. Organizations will report on their specific reduction plans and progress through the Departmental Plans and Departmental Results Reports.