Politics

The Carney government delivered its first federal budget on Tuesday, a document marked by high spending, lower immigration targets and a variety of cuts all emphasizing Canada’s need to confront a “generational” challenge amid the “rupture” of the trade war. The government’s 2025 budget sets out an agenda of $141.4 billion in new spending offset by $51.7 billion in projected savings over the next five years, with the deficit projected at $78.3 billion this year.Conservative Leader Pierre Poilievre said the “costly” budget would add to the national debt.“On behalf of all the Canadians who can no longer afford to eat, heat or house themselves because of Liberal inflation, we Conservatives cannot support this costly Liberal budget,” Poilievre said.Here are some smaller points you may have mis...

The Carney government says it is cutting foreign aid spending to a level in line with Canada’s pre-pandemic aid allocations — without specifying the size of this year’s aid budget. Tuesday’s budget forecasts $2.7 billion in cuts over four years, which will affect things like global health projects. Ottawa is also withdrawing some support for a world-renowned aid research centre.“There will be reductions in development funding to global health programming, where Canada’s contribution has grown disproportionately relative to other similar economies,” the budget document says.It’s not clear where the aid cuts will land. The budget talks of “leveraging innovative tools, while focusing support for countries that need it the most” and rejigging existing agreements with specific countries.The bud...

The federal government’s climate competitiveness strategy promises a stronger industrial carbon pricing system and the prospect of ending the emissions cap on oil and gas production to drive more investments in clean growth. But the strategy, outlined in the federal budget on Tuesday, was short on details — and offered no update on where Canada stands on its 2030 and 2035 emission reduction targets. 2:37 Canada budget 2025: Carney’s ‘generational budget’ brings nearly $80 billion deficit  That’s despite assurances from federal ministers in recent months that the competitiveness plan would shed light on Canada’s commitments. Story conti...

Longtime Nova Scotia MP Chris d’Entremont has resigned from the Conservative caucus, Global News has learned. Two sources in the Conservative caucus confirmed the news of d’Entremont’s resignation. One of the sources said the resignation was due to a “personal grievance.”It is not immediately clear if he will cross the floor to another party or sit as an independent. Get breaking National news For news impacting Canada and around the world, sign up for breaking news alerts delivered directly to you when they happen. The move comes after d’Entremont told Politico earlier Tuesday he was considering crossing the floor to join the Liberals, and would make a decision after reading the budget.D’Entremont served as deputy House Speaker ...

The federal budget unveiled Tuesday proposes several reviews and reforms targeting the ways Canadians bank — and how many fees they face — in an effort to modernize the banking system. Among the proposals are a review of ATM and Interac fees, prohibiting account transfer fees, cutting the amount of time banks hold cheques for, and regulating the use of “stablecoins” — a type of cryptocurrency backed by an established currency.Here are some of the changes the Liberals are promising. Reviewing ATM, Interac fees The budget says the government will launch a review next year of the fees charged by banks and other federally regulated financial institutions, including Interac e-transfer fees and ATM fees. Story continues below advertisement ...

Prime Minister Mark Carney’s first budget is being billed by the government as a “generational” investment in Canadian infrastructure and productivity in a time of “rupture” in global trade and the international order. The question now is whether Carney’s decision to simultaneously run a sizeable deficit while slashing public service jobs will find support among opposition parties, or send Canadians to a second general election this year.“The speed, scope and scale of change that we’re seeing in Canada and around the world is quite unprecedented,” said Finance Minister François-Philippe Champagne in an Ottawa news conference Tuesday.“This is not a transformation. This is a generational shift, and we need to meet this moment with generational investment. To weather the storm of uncertainty,...

Ontario Premier Doug Ford appears to be falling in line behind Prime Minister Mark Carney as the federal government asserts its authority over high-stakes trade talks with the Trump administration. Ford and Carney have been at odds over Ontario’s anti-tariff commercial featuring Ronald Reagan’s stance on protectionism, which raised the ire of the U.S. president and led to the suspension of tariff negotiations.Carney, who apologized to Trump for the commercial, has underlined his expectation that the federal government would be responsible for the negotiations — a signal to Canada’s premiers to avoid actions that would interfere in the discussions.“It is the sole responsibility of the government of Canada to have those discussions with the United States, and it’s the best way forward,” Carn...

Parts of U.S. airspace could be shut down as soon as next week if the U.S. government shutdown drags on and air traffic controllers continue to not get paid, U.S. Transportation Secretary Sean Duffy warned on Tuesday. There have been growing flight delays and cancellations across the U.S. because of a shortage of air traffic controllers, creating safety concerns that force the U.S. Federal Aviation Administration to slow down or temporarily stop traffic.Duffy said those workers are being forced to make difficult choices to keep feeding their families the longer the shutdown lasts, and said there could be “mass chaos” after air traffic controllers miss their second paycheque next Tuesday.“You will see mass flight delays, you’ll see mass cancellations, and you may see us close certain parts ...

As Prime Minister Mark Carney looks to sell Canadians on his first-ever budget — one that he’s billed as containing both once-in-a-generation capital spending projects and austerity measures — Liberals say he picked the right salesperson for the job. Finance Minister François-Philippe Champagne takes the spotlight Tuesday to present the Carney government’s first fiscal blueprint — a document delayed by half a year during the ongoing tariff war with the country’s closest trading partner.That tariff battle threatens the country’s economy and forms the backdrop of the entire budgetary plan.Champagne will be engaging in down-in-the-weeds discussions with his former bank governor boss — a politician famous for his focus on policy details over politics — while also selling Main Street on what co...

Prime Minister Mark Carney’s government is getting ready to table its first budget this week — one that will be markedly different from budgets of the past. “This one is important for a bunch of reasons that might actually be unique to this particular circumstance,” said Sahir Khan, vice-president of the Institute of Fiscal Studies and Democracy at the University of Ottawa.This budget is the Liberals’ first fiscal update in almost a year and the first summary of Carney’s agenda since the party released its spring election platform.Since then, key Canadian industries have taken a sharp hit from the trade war with the United States. A weaker economy means lower revenues for government.Add to that a handful of tax cuts and a substantial increase in defence and infrastructure spending, and Ott...