Business
The debt silver bullet? Ending corporate welfare

From the Canadian Taxpayers Federation
By Jay Goldberg
Canadians are worried about government debt and axing corporate welfare is the closest thing to a silver bullet politicians have to solve the problem.
Canada’s politicians spent $89 billion handing out taxpayer cash to corporations in 2021, the last year for which figures are available, according to the Fraser Institute.
To get a handle on swelling government debt at both the federal and provincial levels, it’s time to put corporate welfare on the chopping block.
And those who think taxpayers don’t care about government debt are sorely mistaken.
A recent Leger poll shows 81 per cent of Ontarians are concerned about the debt dive the province has taken over the past decade.
No doubt Canadian taxpayers are just as alarmed about the doubling of Canada’s federal debt during Prime Minister Justin Trudeau’s nine years running Parliament Hill.
When an individual has a debt problem, the first step is to stop digging. The same is true of governments.
This year, just two of Canada’s 10 provinces are running balanced budgets. And Ottawa is nowhere close.
But look at the corporate welfare numbers and a path to solving Canada’s run-away government debt problem begins to emerge.
Take Ontario.
Ontario’s politicians have racked up $145 billion in new debt over the past decade, including more than $80 billion over the past six years under Premier Doug Ford.
Thanks to years of mismanagement, Ontario taxpayers will spend $13.9 billion on debt interest payments this year. That’s more than the province spends on post-secondary education.
And this year’s deficit is a whopping $9.8 billion.
Ontarians are concerned. And rightly so.
But take a quick gander at the Fraser Institute’s report and a path toward balance becomes clear.
The Ford government spent $22.1 billion in taxpayer handouts to corporations in 2021.
If this year’s handouts are even half of what they were in 2021, the Ford government could wipe out its deficit and produce a surplus by eliminating corporate welfare alone.
It’s unfair to place more and more debt at the feet of our children and grandchildren to give wealthy companies handouts.
It’s also unfair to pick winners and losers. The Ford government is taxing hardworking Ontarians, as well as small businesses, and handing billions over to wealthy corporations that don’t need taxpayer help.
Over the past few years, the Ford government has teamed up with the Trudeau Liberals to give billions to wealthy companies like Honda, Volkswagen, the Ford Motor Company, Stellantis, and many others.
Each year, Ottawa and Queen’s Park ran big deficits while handing out taxpayer cash to wealthy companies like candy. In many cases, taxpayers are paying millions of dollars for every job created.
Corporate welfare is fueling government debt. And it’s time for it to stop.
Not only is corporate welfare insanely costly, but it simply doesn’t work.
Between 2011 and 2021, the Ontario government spent $100 billion on corporate welfare. Yet inflation-adjusted economic growth in Ontario was below one per cent, on average, during that decade.
If handing out billions to create jobs and grow the economy worked, surely, we’d have the evidence by now.
Queen’s Park isn’t the only place where the budget could be turned around if corporate welfare were a thing of the past.
The Trudeau government also spent $47 billion on corporate welfare in 2021, which roughly equates to its budget deficit this year.
If 2024 corporate welfare numbers are in line with 2021, the Trudeau government could balance its budget in one fell swoop.
Taxpayers are rightly concerned about growing government debt across the country. Ending handouts to wealthy companies is an obvious solution to the debt binge.
After all, you cannot borrow and subsidize your way to prosperity.
2025 Federal Election
Alcohol tax and MP pay hike tomorrow (April 1)

The Canadian Taxpayers Federation is calling on all party leaders to stop a pair of bad policies that are scheduled to happen automatically on April 1: pay raises for members Parliament and another alcohol tax increase.
“Party leaders owe taxpayers answers to these two questions: Why do you think you deserve a pay raise and why should Canadians pay higher taxes on beer and wine?” said Franco Terrazzano, CTF Federal Director. “Politicians don’t deserve a raise while millions of Canadians are struggling.
“And the last thing Canadians need is another tax hike when they pour a cold one or uncork a bottle with that special someone.”
MPs give themselves pay raises each year on April 1, based on the average annual increase in union contracts with corporations with 500 or more employees.
The CTF estimates tomorrow’s pay raise will amount to an extra $6,200 for backbench MPs, $9,200 for ministers and $12,400 for the prime minister, based on contract data published by the federal government.
After tomorrow’s pay raise, backbench MPs will receive a $209,300 annual salary, according to CTF estimates. A minister will collect $309,100 and the prime minister will take home $418,600.
Meanwhile, the alcohol escalator automatically increases excise taxes on beer, wine and spirits every year on April 1, without a vote in Parliament. Alcohol taxes will increase by two per cent tomorrow, costing taxpayers about $40 million this year, according to Beer Canada estimates.
The alcohol escalator tax has cost taxpayers more than $900 million since it was imposed in 2017, according to Beer Canada estimates.
“Politicians are padding their pockets on the same day they’re raising beer taxes and that’s wrong,” Terrazzano said. “If party leaders want to prove they care about taxpayers, they should stop the MP pay raises.
“And if party leaders care about giving Canadian brewers, distillers and wineries a fighting chance against tariffs, it’s time to stop hitting them with alcohol tax hikes year after year.”
The CTF released Leger polling showing 79 per cent of Canadians oppose tomorrow’s MP pay raise.
2025 Federal Election
Poilievre To Create ‘Canada First’ National Energy Corridor

From Conservative Party Communications
Poilievre will create the ‘Canada First’ National Energy Corridor to rapidly approve & build the infrastructure we need to end our energy dependence on America so we can stand up to Trump from a position of strength.
Conservative Leader Pierre Poilievre announced today he will create a ‘Canada First’ National Energy Corridor to fast-track approvals for transmission lines, railways, pipelines, and other critical infrastructure across Canada in a pre-approved transport corridor entirely within Canada, transporting our resources within Canada and to the world while bypassing the United States. It will bring billions of dollars of new investment into Canada’s economy, create powerful paycheques for Canadian workers, and restore our economic independence.
“After the Lost Liberal decade, Canada is poorer, weaker, and more dependent on the United States than ever before,” said Poilievre. “My ‘Canada First National Energy Corridor’ will enable us to quickly build the infrastructure we need to strengthen our country so we can stand on our own two feet and stand up to the Americans.”
In the corridor, all levels of government will provide legally binding commitments to approve projects. This means investors will no longer face the endless regulatory limbo that has made Canadians poorer. First Nations will be involved from the outset, ensuring that economic benefits flow directly to them and that their approval is secured before any money is spent.
Between 2015 and 2020, Canada cancelled 16 major energy projects, resulting in a $176 billion hit to our economy. The Liberals killed the Energy East pipeline and passed Bill C-69, the “No-New-Pipelines” law, which makes it all but impossible to build the pipelines and energy infrastructure we need to strengthen the Canadian economy. And now, the PBO projects that the ‘Carney cap’ on Canadian energy will reduce oil and gas production by nearly 5%, slash GDP by $20.5 billion annually, and eliminate 54,400 full-time jobs by 2032. An average mine opening lead time is now nearly 18 years—23% longer than Australia and 38% longer than the US. As a result of the Lost Liberal Decade, Canada now ranks 23rd in the World Bank’s Ease of Doing Business Index for 2024, a seven-place drop since 2015.
“In 2024, Canada exported 98% of its crude oil to the United States. This leaves us too dependent on the Americans,” said Poilievre. “Our Canada First National Energy Corridor will get us out from under America’s thumb and enable us to build the infrastructure we need to sell our natural resources to new markets, bring home jobs and dollars, and make us sovereign and self-reliant to stand up to Trump from a position of strength.”
Mark Carney’s economic advice to Justin Trudeau made Canada weaker while he and his rich friends made out like bandits. While he advised Trudeau to cancel Canadian energy projects, his own company spent billions on pipelines in South America and the Middle East. And unlike our competitors Australia and America, which work with builders to get projects approved, Mark Carney and Steven Guilbeault’s radical “keep-it-in-the-ground” ideology has blocked development, killed jobs, and left Canada dependent on foreign imports.
“The choice is clear: a fourth Liberal term that will keep our resources in the ground and keep us weak and vulnerable to Trump’s threats, or a strong new Conservative government that will approve projects, build an economic fortress, bring jobs and dollars home, and put Canada First—For a Change.”
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