Madam Speaker, budgets are not just about numbers; they are about trust. They are a promise, a promise that a government makes to its citizens: that it will be responsible with their money, transparent with their books and honest with their future.
When Canadians open their credit card bills, they do not see “operating” and “capital”. They do not get to move expenses around to a different column to make the numbers look better. When their fridge breaks or their mortgage payment rises, Canadians do not get a special carve-out or a subsidized tax shelter in Bermuda; they face reality, and all they ask is for their government to do the same.
When the Liberal Prime Minister announced that he would be splitting operating spending and capital spending in the federal budget, many economists, fiscal watchdogs and Canadians expressed deep worry, not because the idea was new but because it looked dangerous. It looked like an accounting trick used to hide deficits, confuse Canadians and bury the truth.
The parliamentary budget watchdog confirmed that this is exactly what is happening. The Liberal Prime Minister's new bait-and-switch definition of capital spending, according to his words, is “overly expansive” and “expands beyond the current treatment in the Public Accounts” and practice adopted by other countries.
Instead of following international standards, the Liberal Prime Minister quietly lumped in corporate tax breaks, subsidies, incentive programs and boutique handouts that would not be considered capital anywhere else in the developed world. He counted them anyway.
By using a proper, internationally accepted definition, the parliamentary budget watchdog found that real capital investment spending was 30% lower than what the Liberals claimed it was. That is a $94-billion difference, a number hidden in the fine print. At the end of the day, every dollar the Liberal Prime Minister spends comes out of the pockets of hard-working Canadians through higher taxes, higher inflation and higher deficits. Canadians see it clearly. Canadians deserve an honest and affordable budget, not a manipulated and costly credit card Liberal budget.
A government that loses control of the numbers eventually loses control of the truth. First the Liberals had a fiscal anchor to keep federal debt-to-GDP on a declining track. They abandoned it. Then they created a new anchor, balancing only the so-called operating budget within five years. They abandoned that too. The Liberal Prime Minister has now moved this goalpost even further, maintaining a declining deficit-to-GDP ratio. The parliamentary budget watchdog has already confirmed that there is only a 7.5% chance that this will actually happen. That means that there is a 92.5% chance that the government will not even meet its own target.
This is the same Liberal government that warned last year that keeping a stable debt-to-GDP ratio was key for fiscal responsibility, investor confidence and protecting Canada's AAA credit rating. Fitch Ratings, an independent credit ratings agency, has already issued a warning that the costly credit card budget and the Liberal accounting tricks underscore the erosion of the federal government's finances. When ratings agencies start to warn us, investors pay attention. The cost of borrowing gets more expensive, and the cost does not fall on the Liberal Prime Minister; it falls on working Canadians, families, homeowners, seniors and the next generation.
After spending months boasting that his fiscal anchor will lead to stability, the Liberal Prime Minister could not even pass his own test. He is proving that he is not trustworthy at all.
Behind every lofty speech and Liberal promise is one undeniable truth: that the numbers do not lie. Under the Liberal Prime Minister, the federal debt is growing by $10 million every hour. That is how much he is costing Canadians. He will add $321 billion to the national debt over the next five years, more than twice what Justin Trudeau would have added over the same period. Federal debt now stands at $1.35 trillion, the highest in Canadian history, after the Liberal government doubled it over the last 10 years.
Next year taxpayers will spend $55.5 billion in interest payments alone, more than what the government pays in federal health transfers and more than what it collects in GST revenue. That is $3,300 per Canadian household, just to pay interest on old debt, not a single dollar to be used for hospitals, schools or infrastructure, let alone for repaying any of the debt the Liberals have accumulated.
Meanwhile, real GDP growth in 2025 is stalling at 1%, the second-lowest in the G7. Since January, Canada has suffered a $62-billion net outflow of capital. It is not just people leaving; we are hemorrhaging investment, innovation, talent, factories and future employers. Investors are voting with their feet. They are losing confidence in Canada, and our productivity crisis and unemployment rate continue to worsen. Investors are warning us about the government's fiscal recklessness with their capital. We cannot build Canada strong when capital jobs and confidence are leaving faster than they arrive.
The Liberals told Canadians their new so-called expenditure review would save $50 billion, but the parliamentary budget watchdog has his doubts. This so-called review lacks any detail regarding the impact on individual programs. It provides no information on how it would affect services, staffing outcomes or reporting. It has no accountability mechanism at all. In other words, it is not a real expenditure review; it is just a Liberal press release.
The costly Liberal budget will increase gross new spending by $140 billion. Even if we take the $50-billion claim at face value, the costly Liberal budget would still increase net new spending by $90 billion. The math is simple. Even after using the Liberals' own inflated numbers, there are no savings, just bigger deficits, bigger debts and bigger burdens on Canadian families and the next generation.
The Liberal Prime Minister broke every single promise he made just eight months ago. He promised to keep the deficit at $62 billion; it is at $78 billion. He promised to lower the debt-to-GDP ratio; he is raising it. He promised to spend less; he is spending $90 billion more, which is $5,400 in extra inflationary spending per household. He promised more investment, but the costly Liberal budget even admits that private investment in Canada is collapsing and that productivity has worsened in the last 10 years. He promised transparency and then delayed the public accounts, in other words, the official audited financial statements of the Government of Canada, for months for the second year in a row.
He is not just breaking promises anymore; he is breaking Canada. It is no wonder the Liberal Prime Minister asked Canadians to make some sacrifices, as if Canadians have not sacrificed enough for Liberal failures. He wants to lower the expectations of Canadians and have us be content with less, because he simply is not delivering.
A government that conceals its books has already lost control of them. Canadians recognize that for what it is. Whether it is a cover-up or typical Liberal incompetence, only time will reveal which truth the Liberals are running away from.
While Canadians rushed to file their taxes, were squeezed by rising costs and were terrified of the CRA, one Canadian had no such worries. It was the Prime Minister, who is proving this to be the same old Liberal government with a new Liberal cover-up. While he was advising Trudeau to hike taxes on small businesses, tradespeople, doctors and families, his own Brookfield funds had their income stashed above a bike shop in Bermuda, a notorious tax haven with zero capital gains taxes, zero dividend taxes and zero withholding taxes. He was not just minimizing taxes; he was avoiding them entirely to the tune of $5 billion or more.
Under the Liberal government, there is a two-tier tax code for Canadians. There is one for the rich Liberal friends of the Prime Minister and another for everyone else. Worse yet, in this costly Liberal budget, the Liberal Prime Minister gave himself and his buddies a tax break on the purchase of luxury yachts and private jets, while voting against scrapping taxes on food and groceries. The Liberal Prime Minister helped design a tax system he did not have to live under because he was living outside of it. While Brookfield was safely storing profits in Bermuda, small charities and family businesses faced the full force of the Liberal tax-collecting agency.
On top of egregious tax avoidance, the Liberal Prime Minister's conflict of interest cover-up is even worse. Brookfield's chief operating officer confirmed this month that 95% of its companies are not covered by the so-called ethics screen. That means 1,900 companies stand to benefit from government decisions that will enrich the Prime Minister personally at the expense of taxpayers, and Canadians will be kept in the dark about how those companies are involved.
The Liberal Prime Minister is even taking private meetings with Brookfield executives at the Prime Minister's Office and while he travels overseas. With ethics like this, how can Canadians trust him? He is starting to look a lot like the last Liberal prime minister, just more costly. At the end of the day, Canadians deserve a prime minister whose loyalty is to the public, not to his private portfolio or the shareholders of Brookfield.
Canadians feel betrayed. Do we continue down the path of manipulated budgets, rising debt, shrinking paycheques and declining prosperity, or do we rebuild a country where the numbers are honest, the budgets are responsible and the promise of Canada, that hard work leads to an affordable home, opportunity and security, is restored?
The Liberal Prime Minister promised Canadians he was a seasoned central banker who could be trusted to spend less and invest more, but it turns out he is just another Goldman Sachs investment banker who is in it for himself and the Brookfield shareholders. Canadians are left to pay the price this time.
Conservatives will expose the truth, restore fiscal discipline, demand transparency and protect taxpayers. We will rebuild a country where hard work leads to a home with a yard on a safe street and affordable and nutritious food on the family dinner table every day, and where the next generation is not sacrificing to survive, but thriving for a better tomorrow.
This is not just the Conservative way; it is the Canadian way, and it is the Canada we will fight to restore.