While it may not come as much of a surprise, Tuesday’s provincial budget at least made it official. Premier Greg Selinger wasn’t being truthful with Manitobans during last October’s provincial election when he said the provinces finances were in good shape and there would be no need to raise taxes to reduce the deficit.
What we learned Tuesday is that not only is there a billion dollar deficit this year, there is a projected half billion dollar deficit next year as well. And remember the promise not to raise taxes? Well, the budget revealed Tuesday that Manitobans will collectively be paying $184 million more in taxes every year as a result of new taxes introduced by the NDP.
Premier Greg Selinger increased the tax on gas by 2.5 cents per litre. He tacked on another $35 dollars to the cost of registering a vehicle in the province. He expanded the things that the Provincial Sales Tax applies to and it will now be on a host of personal services like haircuts, manicures and pedicures of a certain cost and added to group insurance products. This is on top of the recent increases to Hydro rates that were recently announced, increased daycare fees and the increase of taxes on property that most Manitobans will be paying.
Despite all of these tax increases, the deficit for this year will still be half a billion dollars. There are small cost savings contained within the budget but not much to make a difference to the overall deficit number.
Mr. Selinger not only broke his word to Manitobans he has signaled that he intends to run a government that increases taxes on hard working families on virtually everything they do and then turns around and spends it all without much thought to restraint.
Not only did the taxes increase more than in any budget in recent memory, the NDP government re-committed to carrying through on wasteful spending on projects like running the new Hydro Bi-Pole III line on the wrong side of the province at a cost of hundreds of millions of dollars more than necessary.
Locally, concerns are being expressed about the NDP governments surprise announcement that it would be merging many rural Regional Health Authorities. What this means for health services and capital projects in Steinbach and the southeast, which were already lacking before, is not yet known. Given the track record of the NDP government however there is certainly reason to fear that things will get worse not better under the new RHA arrangement.
I suppose it was no surprise that the NDP government broke its election promise and raised taxes in an unprecedented way and refused to get spending under control. But it certainly isn’t something that is going to improve the future of Manitoba or the families that call it home.
