As the Ford government aims to advance an agenda focused on building infrastructure and jobs in Ontario, officials have unveiled few new initiatives beyond what was previously announced in the 2024 budget, as They reduced the projected deficit by more than $3 billion.

In the Ontario Fall Economic Statement 2024 unveiled at Queen’s Park on Wednesday afternoon, the government is currently set to record a deficit of $6.6 billion for the 2024-25 budget year, while it is on track to spend more than $218 billion .

The current forecast deficit is down from the $9.8 billion projected in the 2024 Ontario Budget unveiled in March, which is attributed to increased government revenues as well as improved economic forecasts due to population and employment growth, lower interest rates and inflation over the last few months.

The Ontario government is forecasting a nearly $7 billion increase in revenue since the budget was tabled at the end of March, due to increases in personal income taxes, sales tax and corporate tax.

As speculation grows that a snap election could be called before the mid-2026 date, officials say they are prepared to reduce the deficit to $1.5 billion in 2025-2026 while maintaining $1.5 billion in separate reserves ahead of a projected surplus of $900 million. in 2026-2027.

“I’m presenting the most credible plan based on the information we have, and I’m presenting it to the people of Ontario,” Finance Minister Peter Bethlenfalvy told reporters Wednesday afternoon.

“We’re putting more money back in the pockets of Ontarians when they need it most, and we’re keeping taxes and fees low for families and businesses. At the same time, we build roads and highways, public transportation, hospitals and schools.

Although many initiatives are a continuation of previous budgets and announcements, the fall economic statement, which serves as a mini-budget, included some new measures:

• $100 million over two years for mainly small rural and northern municipalities (it is unclear how the funding will be distributed)
• $100 million to the Invest Ontario program to help “attract major investments” to the province
• $17 million over three years to create 100 new “active living centers” for seniors

Bethlenfalvy and Premier Doug Ford have already announced two key affordability items in the fiscal update: maintaining a temporary gas tax cut until June and a $3 billion plan to send $200 checks to every Ontario taxpayer.

As the fall economic statement approaches, opposition critics have suggested that checks expected to be mailed early next year will arrive before a possible spring election.

Meanwhile, the provincial government is still on track to spend more than $191 billion on infrastructure over the next 10 years, including more than $97 billion on public transit ($68.1 billion), highways ($27.8 billion) and other transportation-related projects. Hospitals are the second largest sector in terms of infrastructure spending, with a

The fall economic statement also discussed feasibility studies related to the Ford government’s intention to build a long tunnel under Highway 401.

However, the financial plan does not contain specific details on how much was spent or how much was allocated to study the concept of building a tunnel or other major projects like Highway 413.

As for housing, it was barely mentioned in Bethlenfalvy’s speech to the Legislature Wednesday afternoon. The financial plan lowered forecasts for the number of new homes that will be built in Ontario, raising doubts about its ability to meet its goal of building 1.5 million homes by 2031.

The province has not yet reached its annual target, but it came close last year after it began counting new long-term care beds. The Ontario government has reported 81,300 housing starts so far this year, up from the original target of 125,000.

After the fall economic statement was tabled in the legislature, Ontario’s opposition parties criticized it shortly thereafter and politicians who spoke said a potential election sooner rather than later could be a factor in some of the announcements made this year.

“(It) reminds us that life in Ontario, after more than six years of Conservative government, has become more expensive, not better. The government has failed to deliver on the basics,” said Ontario NDP Leader Marit Stiles, adding that her funding priority would be on housing, schools and other relief measures. financial accessibility.

“Instead of making the right choices to guide Ontario toward a better future, we’ve only gotten more distractions. »

Ontario Liberal Party Leader Bonnie Crombie said Ford “failed once again to do his job” by running deficits and increasing the provincial debt.

“His priorities are not your priorities because Doug Ford and his Conservatives are not interested in the interests of the people of Ontario,” she accused.

“Our priorities would be to invest this $7 billion (in additional revenue) in health care, in education and in housing construction. We do not share the same priorities as the government.

Ontario Green Party Leader Mike Schreiner said the fall economic statement did not meet the needs of residents.

“(It) lets so many people down,” he said.

“Young people leaving the province because they can’t afford to buy a home, full-time workers who can’t pay rent in the communities where they work, people experiencing homelessness at an unprecedented level previous, the 2.5 million Ontarians looking for a family doctor, these are the people who are treated in the hallways of our hospitals, the people who come to see me and who live in ODSP poverty, the people whose homes and basements flooded this summer because the government is not investing in infrastructure to protect us from climate-fueled weather events.

With files from The Canadian Press