Overview
- Parliament approved the 2025–26 budget in a tight confidence vote, allowing Prime Minister Mark Carney’s government to survive.
- Support from Green MP Elizabeth May and the abstention of four MPs enabled the bill to pass despite unified opposition from the Conservatives and the Bloc Québécois.
- The plan nearly doubles the projected deficit to C$78.3 billion to finance large infrastructure projects intended to bolster growth.
- Carney frames the stimulus as an audacious response to global turmoil and U.S. tariffs, which he says will cost Canadians about 1.8% of GDP.
- Statistics Canada reported inflation eased to 2.2% in October, a data point the government cited as it pressed for the budget’s approval.