Algoma-Manitoulin-Kapuskasing MP, Carol Hughes writes a regular column about initiatives and issues impacting our community.
Last week, the government released its Fall Economic Statement. A sort of mini-budget designed to implement key fiscal measures during a period of financial uncertainty, the Fall Economic Statement was an opportunity for the government to address inflation concerns for working people across the country.
While there were a number of key items in the Fall Economic Statement that will certainly help people, it comes up short on a number of areas that could have gone to support people and build a stronger economy in the process.
The Fall Economic Statement contains a number of key measures New Democrats were championing to get immediate help to people. Among the measures that have been included in the bill include removing interest on Canada Student Loans.
This is a vital measure that will make a huge difference in the lives of 1.8 million students and young people entering the workforce. This will save an average of $410 per year for those currently paying off Canada Student Loan debt. For people just entering the workforce and gaining experience, this should come as a welcome measure that will allow them to pay down their loans faster and keep more money in their pockets.
On housing, the Fall Economic Statement doubles the first-time homebuyer's tax credit, giving a shot in the arm to those looking to enter the housing market.
While the Canadian housing market remains particularly expensive, doubling the tax credit, from the current $750 to $1,500, will offset housing costs. Additionally, the bill also includes an anti-flipping tax which applies to homes purchased and sold within a year to ensure those who are purchasing a home are doing so to live in, not to profit. There are caveats, such as selling a home in the event of a divorce, death, or other life events, which will not trigger the tax.
On the environment, the Fall Economic Statement incentivizes clean tech and hydrogen companies with tax credits to get clean energy companies to build in Canada and to create good-paying jobs in the sector.
This is an important step if we are to transition away from high-carbon energy industries. Additionally, the bill also includes measures to build a Sustainable Jobs Training Centre designed to help ensure energy workers get the training they need to build the sustainable energy market of the future.
However, the bill leaves a number of issues to the wayside that would make a significant difference in people’s lives now. A key measure New Democrats have been pushing in advance of the winter months is the removal of GST from home heating.
This is not a new proposal: it’s one we’ve been actively encouraging the government to take for well over a decade now, and if ever there was a moment to take this proposal on, it’s this year when inflation has gone through the roof.
On the same token, there is nothing in the bill to address the rising costs of food and the growing concerns around greedflation.
While the Competition Bureau is investigating potential anti-competitive behaviour of major grocery chains, the government did not see fit to place any measures in the Fall Economic Statement to help alleviate the outrageous costs of food.
Additionally, throughout the country, health care is in crisis. Yet, no new dollars have been allocated to help protect and strengthen our public health services. Health services across the country are suffering, hospitals are overcrowded, and a lack of federal investment to help ease the burden is concerning, to say the least.
Overall, the Fall Economic Statement does provide some measures that are necessary to help ease people’s financial burden, but more will certainly need to be done to assist Canadians who continue to struggle to get by.