As Ontario faces continued global instability, high interest rates and a “punishing” federal carbon tax, Northumberland-Peterborough South MPP David Piccini says the province has a plan in the form of Ontario’s 2024 budget to rebuild the economy.
The plan includes investing in infrastructure, getting more homes built, bolstering the workforce and innovative healthcare, holding the line on taxes, and several historic investments, said Piccini, who also serves as minister of labour, immigration, training and skills development.
The investments in infrastructure, in programs needed to train, recruit, retain and “up-skill” workers are all about building a stronger province, added Piccini, who’s also vowed this region will benefit.
Minister of Finance Peter Bethlenfalvy released the “2024 Budget: Building a Better Ontario” Tuesday.
It is being widely reported as the most expensive budget in Ontario’s history after the Doug Ford Conservative government tabled the $214.5-billion budget package. And the financial forecast for coming years includes deficits – not surpluses as previously predicted.
According to the province, for 2023-24, Ontario is predicting a deficit of $3 billion. Further – but as part of “its path to balance” – the government is projecting a $9.8-billion deficit in 2024-25, and a $4.6-billion shortage in 2025-26, before reaching an anticipated surplus of $0.5 billion in 2026-27.
With the release of the budget, Bethlenfalvy also touched on current economic struggles – noting life has rarely been this expensive – and echoed sentiments around uncertainty due to higher interest rates and global instability. Grappling with these challenges is putting pressures on Ontarians, their families and finances – and on the province’s finances, reads budget documentation.
However, despite these challenges, the province said it will continue to deliver on its “Plan to Build” while “retaining a path to balance.”
Bethlenfalvy called Ontario’s plan to rebuild the economy without raising taxes a responsible approach.
“As we invest in key public services and infrastructure, including new roads, highways and the largest public transit expansion in North America, we refuse to offload the costs onto hardworking Ontario families or municipalities at a time when they’re counting on us to keep costs down,” said Bethlenfalvy.
Other parties have criticized the budget, though. NDP Leader Marit Stiles described the budget as a missed opportunity for much-needed change. People are looking for better healthcare and homes they can afford – instead, they got an uninspired statement from a government out of touch and out of ideas, said Stiles.
Liberal finance critic Stephanie Bowman also criticized the Conservatives for piling on debt while underspending on services like healthcare.
Piccini argues the budget includes increased revenue and record investments that will help Ontarians and local communities.
There’s also the addition of $1 billion to the new Municipal Housing Infrastructure Program, noted Piccini.
According to budget documents, this program is centred around helping get more homes built through housing-enabling infrastructure.
Piccini also anticipates several other programs will make a dent amid struggles locally, including the quadrupling housing-enabling water systems fund. This is supposed to help municipalities repair and expand critical infrastructure needed to reach housing targets.
The $1.2-billion “Building Faster Fund” will also help get more shovels in the ground on housing so desperately needed, said Piccini.
In its budget document, Ontario states efforts are ongoing in conjunction with other levels of government and industry partners to help build at least 1.5 million homes by 2031.
Bay of Quinte MPP Todd Smith, who also serves as minister of energy, said there’s lots in the budget to help Ontario reach this goal.
To accomplish all this, a skilled workforce is needed, noted Piccini.
This is why increases are proposed to the youth entrepreneurship program, pre-apprenticeship programs, and more, he said. (A local funding announcement is expected.)
Under healthcare, a brand-new medical school in partnership with York University – described as a first-of-its-kind, with a focus on primarily training family doctors – is part of Ontario’s budget proposal, continued Piccini.
The province set aside $9 million for this, according to its fiscal plan. Smith also described this as a much-needed investment.
Additionally, more training and permanent help for nurses, hospital bed additions, an expansion of the learn and stay grant (aimed at helping underserviced communities with nurses, paramedics and medical lab techs), as well as additional supports to recruit more nurses (estimated 2,000 registered nurses, and 1,000 registered practical nurses), are part of the budget package. A $546-million boost over three years is also supposed to help connect about 600,000 people with access to primary care, with all these investments welcomed locally, added Piccini.
The budget also outlines supports for individuals facing unstable housing conditions and struggling with mental health and substance use through a $152-million investment over three years, with these monies supposed to funnel through “various supportive housing initiatives.”
Additional highlights include $200 million through a new Community Sport and Recreation Infrastructure Fund, and an additional $2 billion over three years in the home and community care sector to support expansion and increase compensation for front-line workers.
Other measures, such as removing tolls and licence plate renewal fees, as well as the extensions of tuition freezes and temporary cuts to the gas tax should all add up, noted Piccini.
According to the province, the extension of temporary cuts to the gas tax until end of this year is supposed to save Ontario households on average about $320 a year since cuts were first introduced in July 2022.
For seniors on fixed incomes, historic help is also coming through GAINS (the Guaranteed Annual Income System) in the form of increases more in line with the consumer price index and an expansion around the number of seniors eligible, explained Piccini.
“We’re going to add another 100,000 seniors in Ontario – so that matters for communities like ours …”
The budget also earmarks monies to help workers and job seekers, including apprentices, get skills needed to advance careers with an additional $100 million investment in 2024-25 through the Skills Development Fund Training Stream – an addition Piccini is excited about locally.
This fund has helped more than half-a-million people find better jobs with better pay, he said, hinting local announcements to come.
Piccini said Ontario recognizes there’s more to do – that it’s nowhere close to done – but these investments will help.
He also highlighted plans to expand campsites at provincial parks, including at Presqu’ile and Ferris parks.
(Written by: Sarah Hyatt, with files from the Canadian Press, Jordan Mercier and Joseph Goden.)
