Home FAQ Search Memberlist User Groups Register Login   

BloggingTories.ca Forum IndexBloggingTories.ca Forum Index
    Index     FAQ     Search     Register     Login         JOIN THE DISCUSSION - CLICK HERE      

*NEW* Login or register using your Facebook account.

Not a member? Join the fastest growing conservative community!
Membership is free and takes 15 seconds


CLICK HERE or use Facebook to login or register ----> Connect



  

Post new topic   Reply to topic Page 1 of 1
View previous topic :: View next topic  
Author Message
RCO





Joined: 02 Mar 2009
Posts: 6298
Reputation: 229.5
votes: 3
Location: Ontario

PostPosted: Fri Nov 04, 2016 7:35 am    Post subject: Ontario's Deficit and Debt both will continue to rise Reply with quote

November 3, 2016 9:51 am

Ontario won’t be able to eliminate deficit in 2017, watchdog says


By Staff The Canadian Press




Ontario Finance Minister Charles Sousa speaks to the media prior to a pre-budget consultation session in Toronto on Friday, January 23, 2015.

THE CANADIAN PRESS/Frank Gunn




TORONTO – Ontario’s budget watchdog says that the province’s deficit will be $2.6 billion in 2017-18, despite a Liberal government pledge to balance the books by then.

The Financial Accountability Office released its economic and fiscal outlook today, saying that beyond that fiscal year the deficit will deteriorate further to $3.7 billion in 2020-21.

One of the changes since the office’s spring outlook, which predicted a smaller deficit of $600 million in 2017-18, was a new accounting treatment for government pension plans that added $1.5 billion to the deficit this past fiscal year.

The FAO says since the spring, higher tax revenues were reported for the last fiscal year, but there were also new government spending commitments and a more moderate outlook for economic growth.


The FAO says in its report that if the government wants to balance the budget it will either have to raise revenue or reduce expenses.

It also projects Ontario’s net debt will rise by $64 billion over the next five years to $370 billion in 2020-21.

http://globalnews.ca/news/3043.....hdog-says/
RCO





Joined: 02 Mar 2009
Posts: 6298
Reputation: 229.5
votes: 3
Location: Ontario

PostPosted: Fri Nov 04, 2016 7:36 am    Post subject: Reply with quote

( more dismal financial news from queens park )


Budget watchdog doesn't see Ontario's books balanced by 2017-18

Queen's Park

Allison Jones, The Canadian Press
Published Thursday, November 3, 2016 2:30PM EDT
Last Updated Thursday, November 3, 2016 3:26PM EDT


Ontario's budget watchdog cast doubt Thursday on the Liberal government's pledge to balance the books by 2017-18, saying the province is headed for several more years of deficits unless it finds more revenue or makes cuts.

The Financial Accountability Office's economic and fiscal outlook predicts that Ontario's deficit will be $2.6 billion in that fiscal year and will deteriorate further to $3.7 billion in 2020-21.

"Achieving and maintaining budget balance will likely require additional measures to raise revenue or reduce expense," the FAO said in the report released Thursday.



The government has also built into its plan assumptions about revenue from its incoming cap-and-trade program and new federal transfers to the combined tune of $3 billion in 2017-18, West said, and the timing of that revenue would have a "significant impact on the government's fiscal position."

Finance Minister Charles Sousa insisted both the 2017-18 budget and the one in 2018-19 will be balanced.

"We have done a lot of work in the last number of years to stimulate growth, to be very strategic in our investments and we've also taken a lot of steps to control the spending, which is why we're balancing next year and the year after that," he said.

Sousa would not rule out a tax hike to achieve balance.

"I am not going to speculate on what may or may not occur," he said.

NDP critic Catherine Fife said she couldn't be sure what the government may be contemplating, whether it's making cuts or raising taxes or selling assets to reach balance.

"Who knows what this government's going to do," she said. "I really do feel, as the finance critic for the NDP, that they're making it up as they go along."

Progressive Conservative finance critic Vic Fedeli said he believes the government will temporarily balance the budget through asset sales, such as selling more shares in Hydro One.

"They will sell anything that isn't nailed down and that's the only way, according to the FAO, that they're going to balance artificially, is by the one-time sale of assets," he said. "What happens when you run out of assets to sell? That's why we have the next five years of deficits. We have a structural deficit in the province of Ontario."

Ontario has made billions from selling two tranches of Hydro One shares, money that it is putting to infrastructure spending, and still has roughly 30 per cent that it could sell.

The financial accountability officer predicted in his report in the spring that there will be a deficit of $600 million in 2017-18, but there have been a number of changes since then, including a new accounting treatment for government pension plans that added $1.5 billion to the deficit this past fiscal year.

Also since the spring, higher tax revenues were reported for the last fiscal year, but there were also new government spending commitments -- of a rebate on electricity bills expected to cost $1 billion and new child-care spaces at a cost of between $1.6 billion and $3.75 billion -- and a more moderate outlook for economic growth.

Ontario posted strong real GDP growth in the second half of 2015 and the first quarter of 2016, the FAO said, but a slowdown in merchandise exports, retail trade and employment growth contributed to smaller overall growth. The FAO is forecasting real GDP growth of 2.4 per cent in 2016 and 2.5 per cent in 2017, slightly below the office's projection in the spring.

The FAO also projects Ontario's net debt will rise by $64 billion over the next five years to $370 billion in 2020-21, and that the net-debt-to-GDP ratio will plateau at 41 per cent. The government has said it wants to get that down to 27 per cent, which seems "challenging," since the government hasn't released plans that show how it will achieve that target.

Financial accountability officer Stephen LeClair is on extended medical leave and integrity commissioner J. David Wake is filling in while he is away.

http://kitchener.ctvnews.ca/bu.....-1.3144785
RCO





Joined: 02 Mar 2009
Posts: 6298
Reputation: 229.5
votes: 3
Location: Ontario

PostPosted: Fri Nov 04, 2016 7:38 am    Post subject: Reply with quote

FAO expects Ontario budget to remain in deficit without additional government measures


FAO expects Ontario budget to remain in deficit without additional government measures (CNW Group/Financial ...



TORONTO, Nov. 3, 2016 /CNW/ - The Honourable J. David Wake, Ontario's Temporary Financial Accountability Officer, today released an updated Economic and Fiscal Outlook, providing an assessment of Ontario's economic outlook and the Province's fiscal position. The updated outlook incorporates developments since the FAO's spring report, including the 2015-16 Public Accounts, new spending commitments from September's Throne Speech and more moderate economic growth. The outlook also incorporates the impact of a change in the accounting treatment for jointly sponsored pension plans.

Based on these developments, the FAO is now projecting Ontario budget deficits of $5.2 billion in 2016-17 and $2.6 billion in 2017-18.

"Eliminating the budget deficit by 2017-18 will be more challenging given the assumed impact of the change in accounting treatment," said FAO Chief Economist David West. Even so, "achieving budget balance in 2017-18 may still be within the government's reach through the sale of public assets, the allocation of new revenues to existing spending or other steps."

Beginning in 2018-19, the FAO expects the deficit to steadily deteriorate to $3.7 billion by 2020-21, as growth in revenue is outpaced by increases in program expense and interest on debt. West adds that "maintaining a balanced budget after 2017-18 will likely require additional measures to raise revenue or reduce expense."

According to FAO projections, Ontario's net debt is expected to rise by $64 billion over the next five years to $370 billion in 2020-21, the result of cumulative deficits, capital spending and the change in accounting treatment. This is about $20 billion higher than forecast in the FAO's spring outlook, primarily due to the accounting change.

As a result of the higher debt, combined with slightly slower growth in nominal GDP, Ontario's net debt-to-GDP ratio is now expected to plateau at about 41 per cent, significantly above the Government's target of 27 per cent. Click here for the EFO - Fall 2016.

About the FAO

Established by the Financial Accountability Officer Act, 2013, the Financial Accountability Office (FAO) provides independent analysis on the state of the Province's finances, trends in the provincial economy and related matters important to the Legislative Assembly of Ontario. Visit our website at http://www.fao-on.org/en/ and follow us on Twitter at https://twitter.com/InfoFAO.

http://www.newswire.ca/news-re.....19041.html
RCO





Joined: 02 Mar 2009
Posts: 6298
Reputation: 229.5
votes: 3
Location: Ontario

PostPosted: Tue Nov 29, 2016 8:31 am    Post subject: Reply with quote

November 28, 2016 10:19 am

Financial Accountability Office warns of continued budget deficits in Ontario


By Keith Leslie The Canadian Press




TORONTO – Ontario’s government spending watchdog says there is “significant risk” the Liberals will not be able to eliminate a $4.3 billion deficit next year as promised.

In his fall economic statement two weeks ago, Finance Minister Charles Sousa said he would dip into a reserve fund to ensure a balanced budget in 2017-18.


But the Financial Accountability Office says the Liberals are relying on “optimistic assumptions for revenue growth and program spending restraint.”

The arms-length agency says the government’s revenue projection is $2.8 billion higher than its estimate for 2016-17, and $5.2 billion higher by 2018-19.

READ MORE: Ontario won’t be able to eliminate deficit in 2017, watchdog says

The FAO says the government has a variety of tools that it could use to “temporarily improve” the budget to balance in 2017-18.

But it warns maintaining a balanced budget beyond next year “will likely require additional measures to raise revenues or reduce expenses,” which would mean new or increased taxes and cutting government programs.

It says the Liberal’s forecast for both personal income tax and corporate tax revenue is “significantly higher” than its projection, and questions how the government will pay for new promises it made this session.

The FAO expected government spending would increase $1.8 billion annually to fund the Liberals’ promises in September’s throne speech to discount eight per cent of the HST on hydro bills and create 100,000 child care spaces.

READ MORE: Accounting dispute between Ontario and auditor general may not end with external review

But Sousa’s fall economic statement reported program expense only $0.4 billion higher in 2018-19 compared to the 2016 budget, “suggesting that these new initiatives may be partially funded though reallocations from existing programs or the contingency funds,” concluded the FAO’s report.

“Government officials indicated that since the policy details for the child care expansion are still being developed, the final cost of the program has not been fully incorporated into the fiscal plan.”

Sousa reported Ontario’s net debt-to-GDP ratio will peak at 40.3 per cent in 2016-17 and then edge down to 39.3 per cent by 2018-19. But the FAO projected the debt-to-GDP ratio would hit 41 per cent, primarily because of “continued deficits beyond 2017-18.”


http://globalnews.ca/news/3092.....n-ontario/
RCO





Joined: 02 Mar 2009
Posts: 6298
Reputation: 229.5
votes: 3
Location: Ontario

PostPosted: Wed Nov 30, 2016 8:40 am    Post subject: Reply with quote

( not surprising wynne has magically found more money to give to the civil service , even though the province is broke , raises just in time for the holidays )



Raises coming for thousands working in Ontario’s civil service: report


Toronto, ON, Canada / Talk Radio AM640

Tina Trigiani


Posted: November 30, 2016 08:33 am


Raises coming for thousands working in Ontario's civil service: report
Paycheques are going to be fattening up for some workers in Ontario, right in time for Christmas.

According to the Toronto Star, there are 8,500 managers, deputy ministers and executives in the civil service who are getting a pay increase.

Individual amounts will vary from position to position, but the average is about $14,705 each, over the next four years.



The first installment is expected to arrive in the next couple of weeks, with 5% raises retroactive to the spring.

The paper says the hikes are due to a long-standing salary freeze, which in some cases, left some of the managers making less than their unionized staff.

In a statement to the Star, Treasury Board President Liz Sandals said “We need the ability to attract highly skilled and talented people into public life.”


http://www.640toronto.com/2016.....ref=direct
Post new topic   Reply to topic Page 1 of 1

  


 
Jump to:  
You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot vote in polls in this forum
You cannot attach files in this forum
You cannot download files in this forum


Ontario's Deficit and Debt both will continue to rise

phpBBCopyright 2001, 2005 phpBB