The first budget for Premier Doug Ford will be rolled out Thursday.
Ford has promised to erase a large deficit while cutting costs for motorists, business owners, families with small children and middle and low income earners.
Finance Minister Vic Fedeli has said the provincial deficit is over $13 billion while the Financial Accountability Office, which is a non-partisan legislative office set up by Kathleen Wynne, reports its actually $12 billion.
The FAO notes the difference between its lower deficit number and Fedeli’s is explained by the fact the PCs include annual (unspent) reserve funds as part of the deficit and rely on more pessimistic assumptions of future economic growth.
Balancing the Budget
Doug Ford told party members during an annual convention last November that it may take his entire first mandate (until 2022) to balance the budget.
The FAO says that in order to balance the budget by 2022, annual spending could not increase beyond 1.2 per cent, a rate that would be below the rate of inflation for the last several years.