Overview
- Prime Minister Mark Carney’s plan centers on large capital outlays for housing, ports, electricity grids, defence and critical‑minerals infrastructure to reduce reliance on the United States under new tariffs.
- Finance Minister François‑Philippe Champagne will present a deficit widely expected by economists to land between C$70 billion and C$100 billion, with a pledge to map a path to balance the operating budget within three years.
- Departments have been told to find program savings of about 7.5% next year rising toward 15% by 2028, and the budget will for the first time separate operational spending from capital investment.
- Unions warn the planned austerity could translate into tens of thousands of public‑service job losses, even as the government commits to higher defence spending and a national build‑out of infrastructure.
- With the Liberals three seats short of a majority, the NDP has left open the option of abstaining, the Conservatives have set conditions on taxes and deficits, and the Bloc Québécois has listed demands.