Debates of April 18th, 2023

Financial Statement of Minister of Finance

[Ryan Williams, Conservative, Bay of Quinte, ON]

Madam Speaker, I did answer that in my speech. Build baby build means for everyone.

We need affordable housing. We need market rent. We need transitionary housing. We need to ensure we are building housing for our military and indigenous. We need housing of every stripe, which means we need more. We need 2.8 million units today, and that only happens if we build them, not by wishing they came in but actually making that happen. It is going to take a lot of work, and a Conservative government would ensure it happens at the end of the day.

[Chandra Arya, Liberal, Nepean, ON]

Madam Speaker, Canada has made a remarkable recovery from the COVID recession. Canada’s economic growth is the best among the G7 countries. About 830,000 more Canadians are employed today than before the pandemic. Inflation has been falling for the last eight months. Our unemployment is at a record low, and in February, we had labour force participation for women aged 25 to 54 at a record high of 85.7%.

However, we also face many challenges. As we know, globalization is winding down. We see a sort of Cold War-style era returning to the world now. The unipolar world is no more. It is bifurcating into a bipolar or even a tripolar world. Multilateral agreements that were the basis for global trade are also taking a back seat, with the WTO Appellate Body almost unable to function because of vacancies that are not filled because of issues related to some major countries. What we are seeing now, more than bilateral trade agreements, are free trade agreements among blocs of countries; we are also seeing more friendshoring. In fact, this concept of friendshoring is just starting up.

While it is a challenge, this is also an opportunity for us. Protectionism is growing. This is not just from the traditional countries that were practising protectionism, such as developing countries; rather, protectionism is also growing in developed countries, especially countries like the United States.

A few years back, in this chamber, I talked about the importance of artificial intelligence and how that technology will not only affect the corporate sector and the economy but also the entire society. We are already seeing the impact of artificial intelligence and technologies like robotics and automation on this society.

I will be sharing my time with the member for Richmond Hill.

The budget talks about transforming challenges into opportunities. It mentions a need for investment to manage the structural changes, which will not be limited to one sector or one aspect of the economy. Broad-based investment will be required to grow our economy and create good middle-class jobs in the years to come. The scale of required investment is massive, and the private sector alone is unlikely to mobilize the level of capital required in Canada at sufficient speed. However, although we say the private sector alone cannot mobilize, it is expected to invest about $100 trillion in the global clean economy between now and 2050.

Many of the investments that need to be made will stretch over decades and involve high upfront costs, and that is where governments come in. Moreover, key sectors and technologies will have significant spillover effects by driving development of related industries. For example, fundamental inputs to clean production and the production of clean technologies, such as electricity; critical minerals; and carbon capture, utilization and storage, will provide foundations for an expanding clean economy. For related sectors, such as hydrogen and clean manufacturing, this will boost their productivity, support their resilience and help generate new middle-class jobs. Private investment decisions may not take full account of these spillovers, and this increases the risk of underinvestment.

Without the right policy framework, as stated in the budget 2023 document, Canada could see underinvestment in critical areas and a slow pace of innovation in new clean technology. Together, these factors would result in Canada falling behind the United States and other countries that are moving forward aggressively to build their clean economies, create middle-class jobs and ensure more prosperous futures for their people.

Canada must act decisively to ensure that it remains the location of choice for new investment in these sectors, particularly in the face of the U.S.'s recent passage of the Inflation Reduction Act. In addition to this act, we have to take notice of the U.S.'s CHIPS and Science Act, a $280-billion act. It will not only focus $80 billion on the manufacturing of semiconductors in the United States but also invest in around 20 technology centres focusing on advanced technologies, from transition energy and biotechnology to others.

This combination of the IRA and the CHIPS and Science Act is called a once-in-a-lifetime, once-in-a-generation policy of the United States. It has fundamentally rewritten the entire industrial policy of the United States.

We also have to consider the friendshoring that the U.S. is emphasizing now. That is a challenge for many countries in the world, but it creates opportunities for Canada that we are already seeing in the critical mineral sector. I will talk about this in a minute.

Budget 2023 proposes substantial measures as the next steps in the government's plan to “crowd in” new private investment by leveraging public investment and government policy. The goal of this approach is neither to substitute government for the private sector nor to supplement market-based decision-making. Rather, it is to leverage the tools of government to mobilize the private sector.

This approach is not about the government picking individual corporate winners in an effort to engineer a preferred vision for the economy in 2050. That approach did not work in the past, and it is even less likely to work in today's environment of rapid technological change. The tax incentives and investment supports proposed in budget 2023 are designed to set a framework for boosting overall investment while leaving the private sector to determine how best to invest based on market signals.

Canada has been rich and prosperous because of the natural resources we have and the hard work of several generations of Canadians, including present-day seniors. However, the future is changing with the digital economy and the new technologies that are coming up. We have an opportunity, in these challenging times, to invest and grow. One growth aspect is the critical minerals, which are very important for the clean economy that is being envisaged all around the world.

Before touching on that, I just want to mention two fundamental challenges. The first is that many of the investments that will be critical for the realignment of global supply chains and a net-zero future are large-scale, long-term investments. The second challenge, as I have already mentioned, is the U.S.'s IRA, with the related CHIPS and Science Act.

In budget 2022, last year, we committed $3.8 billion to Canada's critical mineral strategy. In March of this year, last month, the government launched the critical minerals infrastructure fund, announcing that this new fund will allocate $1.5 billion towards energy and transportation projects needed to unlock priority mineral deposits.

In addition to this funding, the federal government is entering into bilateral agreements with various provinces. Recently, we signed an agreement with Ontario, what we call the “Ontario table,” where the federal government and the province committed to work together to align resources and timelines and to have a common regulatory approach to promoting the critical minerals required for a clean economy.

I also have to mention that although we have critical minerals and announced investments, and although we have already attracted investments in battery manufacturing and electrical vehicles manufacturing, we still have the stumbling block of the long regulatory processes that are required to see a critical mineral mine start and become operational.

[Arnold Viersen, Conservative, Peace River—Westlock, AB]

Madam Speaker, one thing that I am concerned about is the $43-billion deficit that is projected by the budget this year. Back in 2015, when the Liberals took power, they promised they would run four consecutive deficits of only $10 billion, and after that, they would return to a balanced budget.

Why does the member continue to support deficit spending? Does he think this has an impact on inflation?

[Chandra Arya, Liberal, Nepean, ON]

Madam Speaker, let us take the way I personally look at the deficit of $43 billion. For me, as a working Canadian, I do not like credit card loans. However, I do like having a mortgage because it helps me to invest in my long-term future and long-term assets.

The deficit we have is basically going towards long-term investments required for Canada so that we can continue to be competitive in this world, improve our long-term transportation network and invest in long-term things required for clean energy growth. Those are the kinds of long-term infrastructure-related investments that are required, and these things are primarily contributing to the deficit we have today.

[Monique Pauzé, Bloc, Repentigny, QC]

Madam Speaker, my colleague mentioned the U.S.'s Inflation Reduction Act more than once in his speech.

On page 56 of the “Statement and Impacts Report on Gender, Diversity, and Quality of Life”, the companion paper to the budget, there is a measure entitled “Future Arctic Offshore Oil and Gas Development”.

Does Canada want to embark on that adventure, which is both unacceptable and inconceivable when we think of the environment and the future, because it wants to follow the lead of the U.S. President, who has announced drilling in Alaska?

[Chandra Arya, Liberal, Nepean, ON]

Madam Speaker, when we were discussing the Inflation Reduction Act at the international trade committee, one union leader put it very neatly and simply. He said we cannot match the U.S. Inflation Reduction Act dollar for dollar, but we can provide a smart response. We do not have to pick and choose everything in the Inflation Reduction Act and do as they are doing, whether drilling in the Arctic or not. However, as Canadians, we can respond in a smart way.

We have taken care of some of the measures that are in the Inflation Reduction Act in our budget. We took care of some measures even before the Inflation Reduction Act came into being by lobbying very heavily with the U.S. administration. Because of the lobbying effort and our team Canada approach, we were able to secure the subsidies and incentives that the U.S. government announced in the IRA. They are applicable to all North American manufactured vehicles.

[Alexandre Boulerice, NDP, Rosemont—La Petite-Patrie, QC]

Madam Speaker, there are many people in our society who are struggling with the increased cost of living. The cost of groceries and rent continues to rise, and people are struggling to survive and make ends meet.

Meanwhile, the ultra-rich are lining their pockets. I am talking mainly about the CEOs of the large grocery chains who are earning $5 million, $12 million and $13 million a year.

Does my colleague not find it indecent that these people are getting richer by creating hardship for others? Does he not think it would be a good idea to have a wealth tax so that these large multimillionaire families finally have to pay their fair share and so that we have a more just society?

[Chandra Arya, Liberal, Nepean, ON]

Madam Speaker, fundamentally everybody has to pay their fair share of taxes. To help vulnerable Canadians, who are deeply affected by the rising cost of living, we took several measures before the budget, as well as in the budget.

To be very clear, we cannot tax anybody to death. Therefore, we are collecting taxes from the rich with the existing tax structure; in my view, this structure is quite adequate. At the same time, we are investing in providing support to vulnerable Canadians.

[Majid Jowhari, Liberal, Richmond Hill, ON]

Madam Speaker, I am thankful for the opportunity to highlight some of the important measures in budget 2023 here today and the impact it will have on my community of Richmond Hill. With strong economic fundamentals, as so many of my colleagues before me have talked about, this budget comes at a very important moment not only for our country, but I will dare to say for the world.

Allow me to start by highlighting that this budget is a made-in-Canada plan with three distinct pillars at its core.

First, budget 2023 aims to make life more affordable by introducing new targeted inflation relief support for Canadians, an important component of which is the new grocery rebate through which budget 2023 will support about 11 million low- and medium-income Canadians and families.

Second, with a historic investment of $198 billion to strengthen our public health, and the introduction of a dental health care plan, budget 2023 will help reduce backlogs, expand access to family health services, and ensure the high quality and timely health care Canadians deserve. This includes a $46-billion investment in new funding to provinces and territories through new Health Canada transfer measures that will support seniors, people with disabilities and minority groups.

Finally, budget 2023 ambitiously invests in growing a clean and green economy while creating hundreds of thousands of middle-class jobs, providing the energy that will power our daily lives and entire Canadian economy, and providing more affordable energy to millions of Canadian homes.

All three of these pillars are of great importance to Canadians. They are of great importance to the passionate and dedicated constituents of Richmond Hill as well.

Just two weeks ago, over 50 community representative organizations and leaders from across our five community councils, which focus on affordability, health, environment, seniors and small businesses, gathered at our affordability round table at the Richmond Hill Public Library to hear about budget consultations and recommendations from budget 2023, in a discussion with the Minister of Indigenous Services and Minister and the Federal Economic Development Agency for Northern Ontario.

We heard from key Richmond Hill community leaders about the ongoing collaboration between the federal government and the provinces as it relates to health care.

We heard about strategic economic development and promoting learning and business opportunities for our indigenous populations and members of minority groups.

We talked about supporting affordable housing for our seniors and youth.

We also heard from Ted Pickles on budget 2023, who said that the message he was hearing was about leadership, calling out where there were gaps and taking responsibility and doing something about it. Ted's message resonates with many constituents and Canadians.

With affordability, health care and greening the economy its core priorities, budget 2023 is more than just government financing; it is a smart and strong investment in our country's future. Having said that, I would like to shift the focus of the remainder of my speech to the third pillar of budget 2023, which is growing a green economy.

We know that climate change is real and the path forward is clear. Budget 2023 builds on the foundation the government has been laying since 2015 by delivering a series of major investments to ensure Canada's clean economy can deliver prosperity across Canada. With new investments in clean electricity, the driving force of a clean economy, we will build a national electric grid that connects Canadians and delivers cleaner, more affordable electricity to Canadians and Canadian businesses. We will deliver investments to put Canadian workers and Canadian businesses at the heart of an essential global supply chain, and we will become a reliable supplier of the goods and resources the net-zero world will need.

Our made-in-Canada plan is centred on three tiers of federal financial incentives that will attract new investments, create new middle-class jobs and build Canada's clean economy. Those include an anchor regime of clear and predictable investment tax credits, low-cost strategic financing and targeted investments and programming to respond to the unique needs of sectors or projects of national economic significance. Together, they will incentivize businesses to reduce their emissions, become leaders in the global clean economy and create new middle-class jobs for Canadians.

The accelerating transition to net zero has started a global race to attract investment as our friends and allies build their clean economies. Canada has so much potential and a strong competitive edge and Richmond Hill's brightest minds are contributing to it. They are paving the path forward for a greener and cleaner transition in our country.

Over the past two weeks in my own riding of Richmond Hill, I was delighted to have the opportunity to see first-hand the knowledge, the passion, dedication and innovation that Richmond Hill entrepreneurs offer their community and our nation in parallel with budget 2023's goals and to see how this budget will further support their innovation.

In my visit to Mitrex with the Minister of Public Services and Procurement, I learned that Danial Hadizadeh, the CEO of Mitrex and his executive team are revolutionizing the solar panel industry by offering building-integrated photovoltaic systems, with the vision of generating solar energy from all surfaces. With their hard work and ambition, not only have they transformed into one of the largest facilities in Canada that carries out innovative cladding and panelling systems, but they have also created more jobs toward a vision of a cleaner Canadian economy and a day that every building in Canada becomes green. In Danial's words, making every building its own power plant is his vision.

Budget 2023 introduces a 30% refundable tax credit on investments into clean-tech manufacturing and adoption alongside clean energy technologies, including solar, wind and storage. This is in addition to the expansion of the strategic innovation fund through $500 million in funding aimed to support the development and manufacturing of clean equipment and technologies. This not only supports but incentivizes the work done by organizations like Mitrex.

Moreover, I along with the Minister of Indigenous Services and Minister responsible for the Federal Economic Development Agency for Northern Ontario visited Edgecom Energy Inc. and Circuit Energy Inc. in Richmond Hill, a group of talented individuals from diverse ethnic backgrounds, including entrepreneurs from the Iranian, Asian, indigenous, African Canadian diaspora led by Behdad Bahrami and Sean Mirrahimi, who, with their fascinating expertise provided energy solutions through their innovative technology for various national energy consumers and large-scale businesses.

MIS Electronics, led by Saeid Mohmedi, is another leading clean-tech company at the heart of Richmond Hill, whose expertise lies in developing solutions that reduce operating costs for businesses while maintaining the highest standards of manufacturing, backed by multi-stage quality control and exceptional customer care. Here too the investment tax credits into zero-emission technologies and carbon capture encourage the use of clean energy, growing energy sources and reducing pollution.

Canada is the future of clean energy and a green economy, and Richmond Hill offers the facilities it needs in hitting these important targets. In general, budget 2023 has several important components to invest in our shared future. It will be investing in clean electricity and a growing clean economy both here in Canada and around the world, which will depend almost entirely on it. It will follow the federal tiered structure to incent the development of Canada's clean economy and provide additional support for projects that need it.

By extending support to a broad base of clean electricity technologies and proponents, it will accelerate the investments needed to expand the capacity of our clean electricity grid and ensure more sustainable, more secure and more affordable electricity across Canada. It will position Canada's Infrastructure Bank to play a leading role in electrifying Canada's economy, supporting lower energy bills for Canadians and businesses and, finally, it will continue to invest in other targeted federal programs that advance individual projects to build a stronger Canadian electricity industry.

[Arnold Viersen, Conservative, Peace River—Westlock, AB]

Madam Speaker, I just wanted to note that the member never talked at all about the 40-year highs in inflation nor about the $43-billion deficit that is projected by this particular budget.

I am just wondering if the hon. member has any concerns about the inflation that is happening in Canada and whether deficit spending is what this country needs right at this moment.

[Majid Jowhari, Liberal, Richmond Hill, ON]

Madam Speaker, we are all concerned about inflation. We are all concerned about affordability. That is why the measures not only in budget 2022 but also in budget 2023 have clearly focused on the most vulnerable who are impacted by the rising costs of food as well as issues with affordability.

As it relates to the so-called deficit, as my colleague from Nepean indicated before, this is an investment that we are making. This is very similar to the decision that any parents make when they make an investment in their home, when they make an investment in children's education, when they make an investment for a better future, not only for themselves but their families. This is indeed exactly what our government has done.

It has made a conscious decision to make an investment in Canadians and that is what we are doing.

[Martin Champoux, Bloc, Drummond, QC]

Madam Speaker, my colleague for Repentigny has been up and down so often to talk about carbon capture technology she must be getting dizzy. Maybe my Liberal colleagues should have a word with their speech writers, because everything they say is something they have said before. Here we are, still talking about this technology, when better-informed countries across the world are moving away from it, now that it is known to be ineffective.

The United States is dropping its incentives to use carbon capture technology, while we are adding more. I would like to understand the logic of it all. The government says it wants to fight climate change, yet it encourages the oil companies with measures like this one.

[Majid Jowhari, Liberal, Richmond Hill, ON]

Madam Speaker, what I would like to remind my colleague is the fact that our approach is a comprehensive multipronged approach. Yes, we are talking about investing and providing tax incentives for organizations that need to focus on carbon capture, but we are also focusing on incentivizing companies that are focusing on solar, wind and renewable energy, as well as others, such as nuclear energy.

[Charlie Angus, NDP, Timmins—James Bay, ON]

Madam Speaker, Joe Biden has just announced a dramatic shift in EV investment, that they will have 67% of American cars running electrical within nine years. That is extraordinary, but what that is also going to mean is that if Canada does not keep up, we will be left behind.

However, this government continues to put massive investments into the Trans Mountain pipeline, over $30 billion. If we are looking at 67% of vehicles in the United States going to electric within nine years, we are going to have a lot of stranded assets.

I want to ask my colleague why the government continues to subsidize Trans Mountain when it has been proven to be a money loser. This is taxpayers' money that we are not going to get back and we are now $30 billion-plus and rising on Trans Mountain.

[Majid Jowhari, Liberal, Richmond Hill, ON]

Madam Speaker, well, yes, there is an investment made in the Trans Mountain pipeline.

However, let us talk about the investment that has been made in hydrogen. Let us talk about the investment that we are making in critical minerals. Let us talk about the investment that we are making in ensuring that there are electrical batteries being developed close to the facilities where these critical minerals are being extracted.

The most important thing: let us talk about other countries and other organizations from across the world that are making the conscious decision to come to Canada and set up their leading clean tech and EV battery plants here, such as Volkswagen.

[Terry Dowdall, Conservative, Simcoe—Grey, ON]

Madam Speaker, I am pleased to rise today to speak to budget 2023 on behalf of the great people of Simcoe—Grey. I was hoping to have the opportunity today to congratulate the budget for balancing itself, but alas it appears we all must still wait for that miracle.

Not a day goes by when I am not contacted by a constituent who is at wit's end. Mortgages have gone up by thousands of dollars a year, and groceries, especially the healthiest of foods, cost hundreds more each week. Gas, which most people outside the major cities rely on to get to work, costs hundreds of dollars more per month. Home heating fuel, again, is hundreds more per month this winter.

When one adds it all up, it can cost the average family a thousand or more dollars a month just to live in this country. Many cannot afford that, as they were just getting by before the government took office. For those who can get by still, it means having to spend all of their paycheques just to survive.

RESPs are not being topped up. Retirement savings accounts are left to languish, and family emergency funds are being used to pay for the carbon tax and inflationary spending of the Liberal government. Very few are enjoying life like they used to prior to 2016. Sunny ways have turned to dark days for many in our middle class. We have seen record spending, record deficits and now record debt.

However, the pain sure is not being felt by all the Liberals and their friends. There are $6,000-a-night hotels and governor generals trying to outdo one another with extravagance. While regular Canadians are digging deep in their pockets for an extra buck, Liberal ministers are handing out millions of dollars in contracts to friends and family, just like Santa Claus on Christmas morning. Liberals really have no idea how much pain there is in the country right now, and they think shuffling a few hundred bucks here and there is going to make it all better. Liberals would have us believe we have never had it so good. Their arrogance knows no bounds.

Constituents who contact me with concerns about making ends meet run the gamut of Canada's demographics. These are younger people trying to make it through school; middle-class families struggling with rapidly rising house prices, transportation costs and trying to put a meal on the table; and new immigrants trying to find a rental in my area while working in a service industry job. I hear from them all and listen to the challenges they face, which are directly due to the government's economic mismanagement.

The group I hear the most from are seniors. Seniors feel ignored by the government, and they are hurting. Seniors on fixed incomes are especially feeling the pinch. OAS increases are laughable, as they are just a couple of bucks. That does not help to pay for the increase in home heating or groceries, thanks to the carbon tax. Cancelling the carbon tax and cutting their income tax would be a great way to move forward.

Instead, the Liberals will spend $2.5 billion more to create a gimmicky grocery rebate that does not need to be spent on groceries. It does not matter, because one does not need to show a receipt. It sounds like a good idea, but is it? Not really.

The grocery rebate means $225 in a one-time payment for eligible seniors. If one thinks this cures the affordability crisis facing Canadians, one may also think the budget can balance itself. That is 62¢ a day.

I know the Prime Minister does not do his own grocery shopping, so he may not be aware of how much groceries went up because of the carbon tax, but 62¢ is less than the increase in a loaf of bread. Thanks to the government, an eligible senior who gets groceries once a week will have an extra $4.34 in their pocket to cover the increased cost. That does not come close to helping the seniors who reach out to me and my office.

Members need not take my word for it. Here is what some seniors in my riding have told me.

Mary Glencross says, “Instead of the government giving people $250 to cover groceries, perhaps they could lower all the taxes we pay on natural gas.”

Giovanni Scianni says, “Please support Canadians' call for a halt of tax increases. It's becoming more and more difficult to afford basic necessities to sustain a modest standard of living.”

Eva Johnson says, “Please try to stop all these unnecessary taxes. I am a senior. We don't seem to get a tax break ever.”

Ken Grubbe says, “As a senior citizen living on a fixed income, I find these increases to be both appalling and unconscionable.”

Marie Romanelli says, “I know it's a choice for many whether to go into the grocery store or to heat their house. I am strongly opposed to all these extra taxes that hurt the average Canadian, including myself.”

Bruce Murray says, “Being on a fixed income makes it very difficult when budgeting your finances every month. The Federal Carbon Tax has increased 57% compared to my November 2021 bill and this is utterly ridiculous and must be eliminated, once and for all!”

Brian Rosenkrands says, “The Liberal government keeps insisting they are helping Canadians, but for some seniors the many years of waiting for a decent rise in their OAS payment, and the government's insistence to go ahead with all the increased taxes at this period in time, is putting some in jeopardy.”

Finally, Mark Holmes says, “When is this government going to raise our CPP and OAS payments so we're ALL not living below the poverty line?”

The audacity of anyone on that side talking about making life more affordable is absolutely laughable. In essence, the government is proud that it has created a food stamp program that would not actually help people afford food, but it sure indicates the damage its policies have brought on all Canadians.

When the government was elected, it talked about modest, short-term deficits. We in the opposition were skeptical, and we said so. The deficits continued, with no plan in sight to balance the budget at all.

Then the pandemic hit and people panicked. The government took some action. It was not always successful, and it was deaf to concerns from the opposition about the poor design of many programs. We all remember the rental assistance program, in which the landlord for a business needed to approve their tenant's application so that he or she could get no money. That program lasted for months without being corrected, but overall, most Canadians were prepared to let the government spend some money to help Canadians get by.

Small deficits turned into record deficits pretty quickly with this government in charge. The pandemic is over, and it has been for a while, yet the government keeps spending. In fact, most costs of all new spending in this budget work out to $4,300 for every single Canadian family. This is 10 times what an eligible family of four would get via the new grocery rebate. Put another way, the Liberals are spending 10 times more on their own priorities than what they are putting back in the pockets of working families, and 20 times what they are providing to seniors.

Often when I say that the government needs to eliminate the deficit and start paying down the debt, people will ask me, “What about health care?” The cost of servicing Canada's enormous debt continues to grow and will continue to do so as long as we the Liberal government is in power.

In fact, the Prime Minister has added more debt than the previous 22 prime ministers combined. Canada's federal debt is now expected to be $1.22 trillion this year. That is $81,000 per household here in Canada, and the debt needs to be paid. Debt-servicing costs after seven years of Liberal fiscal management are predicted to be $43.9 billion this year. That is a lot of money going to service a debt that could have been spent on much-needed services, such as health care.

The Liberals recently concluded a health care funding agreement with provinces, which was substantially less than what the provinces needed and what they were asking for. However, listening to the Liberals toot their own horn, one would think the provinces never had it so good, either. In Ontario, Canada's most populous province, additional federal investments in health care will equal $8.4 billion over 10 years.

The Liberal debt-servicing payments are $43.9 billion per year, so the Liberals will be spending five times more per year servicing the debt than they will be providing in new support to Ontarians for health care. That is a lot of hospital beds or nurses that will not be going to Collingwood General and Marine Hospital. That is, perhaps, a brand new wing that will not be built for Stevenson Memorial Hospital in Alliston.

Reckless spending has consequences. Running endless deficits has consequences. Record debt has consequences. The government has its priorities wrong. It keeps spending money to keep various interest groups satisfied, to help maintain its tenuous grip on power and to keep the leader of the fourth party in its pocket. It may work for a little while longer, but the average Canadian is tired of paying the price for the government's reckless spending and inability to get its fiscal house in order.

There are 40 billion reasons to vote against this budget, but I have only one vote. That vote will be against this inflationary budget.

[Mark Gerretsen, Liberal, Parliamentary Secretary to the Leader of the Government in the House of Commons (Senate)]

Madam Speaker, there is so much to unpack there, but let us just talk about a couple of issues.

First of all, at the beginning of his speech the member talked about the grocery rebate being a gimmicky thing the government has come up with. Let us not lose sight of the fact that it is a top-up to the existing GST rebates that are given to Canadians. We know what the Conservatives did last time we introduced that. First they said they would not vote for it. Then maybe there was some pressure, but they backpedalled a bit and said that they would vote for it.

If the member wants to call it a gimmick, that is fine. If Conservatives want to say that we are just trying to package up the GST rebate as a gimmick, that is fine. However, let us not forget, that at the end of the day, what they would be voting against would be giving more of that GST rebate to Canadians.

Could the member explain to the House why he was in favour of it recently, when the Conservatives did their flip-flop, but now, he suddenly does not want to see it? How is the GST rebate this time not as beneficial to Canadians as it was the last time?

[Terry Dowdall, Conservative, Simcoe—Grey, ON]

Madam Speaker, I will reiterate that it is a gimmicky rebate for the simple reason that we should not need to do that for Canadians.

We now have 1.5 million people visiting food banks because of the policies of the Liberal government. We have people who need assistance. There is no doubt about it. However, all these increases have been created by Liberal policies. In my riding, whenever I am going out to see people, and I think maybe the member opposite should spend a lot of time doing that, I hear that that kind of money is not going to make a big difference when there is a carbon tax. On top of that, the government could lower the taxes for seniors.

Those are the things I am hearing in my office. I would not be too proud of the fact that the government is giving a grocery rebate.

[Julie Vignola, Bloc, Beauport—Limoilou, QC]

Madam Speaker, I thank my colleague for his passionate speech.

He mentioned the government's deficit. What I have noticed is that the government announces spending, but does not manage to spend what it announces. In 2021‑22, they failed to spend the $38 billion they announced. In 2022‑23, they failed to spend the nearly $40 billion that was announced and we can expect the same amounts in the current budget.

In short, the federal government announces deficits when in reality it is squirrelling away significant sums of money in its coffers. In the meantime, it refuses to increase seniors' pensions, to modernize the Employment Insurance Act and to meet the demands of Quebec and the Canadian provinces on health transfers.

What does my colleague think of the federal government perpetuating the fiscal imbalance to the detriment of Quebec, the Canadian provinces and their populations?

[Terry Dowdall, Conservative, Simcoe—Grey, ON]

Madam Speaker, first of all, when we talk about announcements, I have never seen a government with more announcements and no delivery. It happens all the time. My office gets bombarded whenever the government makes an announcement, and then my staff is busy because there is no meat to what it is saying.

I agree with the member that a lot of money is not spent. We could look at different departments each and every year. I am on the veterans affairs committee, and a lot of that money that has been earmarked for programs is not spent.

I also think we need to respect provinces. We could do a lot better if we worked together, and we would be able to accomplish a lot more and solve a lot of the problems that we have here in Canada, from housing to health care. We need to work together and have open discussions, respecting one another. However, once again, we have a Prime Minister who likes to create division in all things, including with the provinces.

[The Assistant Deputy Speaker, NDP, Carol Hughes]

Before I go to the next question, I want to remind all members to make sure their phones are on silent mode. A phone dinged a while ago, and it was problematic for the interpreters. We want to make sure that we prevent any hardships for them.

The hon. member for Timmins—James Bay.

[Charlie Angus, NDP, Timmins—James Bay, ON]

Madam Speaker, it is always quite entertaining to listen to the Conservatives tell us how much they care about seniors, veterans, single moms and working people. It is like being invited down to the riverbank to have a picnic with a crocodile. Maybe they have changed the way they do business, but if we look at historic records, we know it is not a good idea.

Let us talk about the member's love for seniors. Let us remember Stephen Harper, who announced this big transformation in Canada. He was going to go after the public funding of seniors' pensions, and he was going to raise the seniors' pension age. Where did he do that? He did not talk to seniors. He went to Davos. Stephen Harper went to the World Economic Forum to announce that he was going after Canadian seniors.

Would the hon. member explain why Stephen Harper thought it was better to tell Davos that he was targeting seniors than to have the guts to talk to senior citizens, face to face?

[Terry Dowdall, Conservative, Simcoe—Grey, ON]

Madam Speaker, I do not know if the member still watches a black and white TV, but there are colour TVs now and we have moved forward as a country. I believe that seniors are extremely important.

As I said, during the Harper days either, we never saw 1.5 million people at food banks. Quite frankly, I am not sure why we are talking about the past. Let us solve the problems today for all Canadians.

[The Assistant Deputy Speaker, NDP, Carol Hughes]

I want to remind members that if they want to have discussions or cross-talks, they should take them out to the lobby to allow respect for the person who has the floor.

Resuming debate, the hon. member for Thornhill.

[Melissa Lantsman, Conservative, Thornhill, ON]

Madam Speaker, today, I would like to add a voice that has been missing from this debate.

We talk a lot about what is happening right now, what is going on in our modern political world, what the Prime Minister said yesterday or what was in the headlines this morning, but there is another perspective that we need to consider that is equally important. More than just thinking about the present, we need to think about the future once in a while.

The choices we make here directly impact the country that we pass on to the next generation, the nation that it will grow up in, live in and inherit. In many ways, the biggest job is not the making the decisions that will impact us in the next 10 days, but rather the ones that are going to affect our country in the next 10 years. Our most sacred obligation is to build a country that is stronger than the one we have today, to build a future that is bright and that is prosperous and to leave the next generation unencumbered by bad decisions. To that end, the budget is one of the most important documents that we consider in Parliament because it sets out the long-term trajectory, or at least it is supposed to do that.

However, it is clear that this is no plan for the future. It is clear that the Liberals are not even thinking about it. What do we see under the Prime Minister? We see record-high projected debt. We see record lows in projected growth, the lowest in the G7, the lowest in decades. We see record inaction in protecting our environment through some bizarre obsession of punishing the consumer; inaction on building new housing or preserving the most basic of freedoms, the freedom to work hard and get ahead.

The finance minister had a brief epiphany months before presenting what was seemingly the opposite of what she presented weeks ago. Last year she said this, “Our economy will slow. There will be people whose mortgage rates will rise. Businesses will no longer be booming. Our unemployment rate will no longer be at its record low. That's going to be the case in Canada.” We agree.

Then the budget happened. A reasonable prescription for slowing growth would of course be smaller deficits, lower taxes, more competition, less regulation, without massive subsidies. What we got, however, were bigger deficits, higher taxes, more regulation and more subsidies than this budget has pages.

Less than half a year ago, the fall economic statement projected a deficit of $36-billion for this year, falling steadily over the next five years. There was even supposed to be a small surplus.

Fast forward, the deficits are exceeding $40 billion over the next two years. There is no return to balance in sight. I get it. The Liberals do not think balance is their responsibility. They say instead that a declining debt-to-GDP ratio is the measure of success, but we did not get that either. That is going up.

One in five Canadians are skipping meals because food price inflation is in the double digits. The average down payment needed for a home has doubled. It is the same for the average cost of rent and the average cost of a mortgage, which have all doubled. The cost of heating a home went up by 100% in some parts of our country. One in three Canadians say that they are struggling financially, 67% say they are cutting back and making sacrifices. Nine out of 10 young people do not ever believe they will own a home.

People are out of money and they are out of hope. That is after eight year of the government.

The government is putting its hands even deeper into the pockets of Canadians. That is what budget 2023 is: more taxes on pensions and El; more taxes on beer, wine, and spirits; more taxes on gas, groceries and home heating.

It is painfully clear that the government does not understand the struggles of the middle class or even the simple principles that govern the country's economy, because its response is more of the same. It is more of the reckless, misguided, ineffective ideas that got us into this mess in the first place. Therefore, forgive me if I do not think the Liberals can fix this.

We have the most unaffordable homes in the OECD. We have the second-biggest real estate bubble in the world.

The theme of this budget is “Made in Canada”. It is right on the front page. What have the Liberals made in Canada? They have a made-in-Canada cost-of-living crisis, a made-in-Canada housing crisis, a made-in-Canada opioid and addiction crisis and a made-in-Canada violent crime crisis. That is their record over the last years. We cannot afford to spend billions of dollars with no plan to pay it back.

Never in the history of our country has there been a prime minister, who has been in that chair for eight years, who has spent so much so much money to achieve so little. We cannot afford to pay the interest that the Liberals are racking up on the taxpayer credit card.

This year, our debt will cost nearly $44 billion. In five years, it will be $50 billion. We cannot afford the cost of spending on consumption instead of spending on investments. We cannot stop. We cannot afford to not build new homes. We cannot afford to have an environment plan that is a tax plan that does not even lower emissions.

What happens in 10 or 20 years when the bill comes due for a decade and a half of Liberal debt and deficit? What is going to happen when we have had 20 or 30 years of building four homes for every 10 new people in our country? What is going to happen when we have had 10 years of a carbon tax that keeps going up and emissions that have, so far, followed suit? More important, who is going to pay?

I do not have the answer to that question, because I honestly do not know. However, what I do know is that it is not going to be the Prime Minister,. However, it will be a problem for the next generation, the young people who will want to buy a home, who will want to get a job, who will want to build a family; the people who are already struggling today; the people whom we are supposed to be leaving a bright, optimistic future, the ones we are supposed to be setting up for success. We have had eight years of the Prime Minister and the Liberals are leaving them with no hope, no money and no opportunity.

We will be voting against budget 2023. We know that better is possible in our country. The Prime Minister said it himself, but that is not what he has delivered. We know that we can aim our sights higher than 0.3% real GDP growth. We know that we need to stand up for the common sense of the common people. We know that we need to be here to bring home a better, brighter future for Canadians.

We are going to do that by creating powerful paycheques with lower taxes that make hard work pay again. We are going to do that by ending the inflationary debt and deficits once and for all, and to bring home lower prices and lower interest rates so hard-working families, hard-working people can save more of their own money.

We are going to protect the future and the prosperity of the next generation by living within their means, something that the government has no idea how to do.

We are going to bring homes that people can afford by removing those in the way and cutting the red tape to freeing up land so we can actually build housing. This is how we build a strong and prosperous country, with a small government that makes room for bigger people.

We know that we have the best, the brightest and most talented individuals in our country who want to do well, who want to have better lives for their families and who want to work in their professions. We know that we are blessed to live in a country with fields full of wheat, with oceans full of fish, with reserves full of oil and with brains full of knowledge. We are squandering every single opportunity by eight years of the government's record.

We know that we live in the best country on earth and we think it is time for Canadians to have a government that also believes so. It is time for change and it is time for a government that thinks about a budget focused on the future, focused on growth and not just focused on staying in power.