FY22/23: Getting the “House” in Order
- Keywords:
- budget
Faced with a myriad of ambitious plans but also beset by the fastest inflation in more than three decades, the 2022 Federal Budget attempts to strike a middle ground. It opts to add a moderate increase in spending, while relying on stronger underlying economic activity and some tax measures to slightly improve the deficit track. The initial to-do list for this Budget was formidable with earlier commitments on child-care funding, emissions reductions, and housing, but was recently extended to include dental care and defence spending. To accommodate this raft of priorities (and there was indeed a full raft in this budget), spending has been spread out over a number of years on some files, a variety of tax measures have been enacted—with some details to be determined—and the higher revenue base has been tapped.
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Robert Kavcic
Director and Senior Economist
Robert has been with the Bank of Montreal since 2006. He plays a key role in analyzing economic, fiscal and real estate trends in Canada. Robert regularly contribut…(..)
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Douglas Porter
Chief Economist and Managing Director
Douglas Porter has over 30 years of experience analyzing global economies and financial markets. As Chief Economist at BMO Financial Group and author of the popular…(..)
View Full Profile >Faced with a myriad of ambitious plans but also beset by the fastest inflation in more than three decades, the 2022 Federal Budget attempts to strike a middle ground. It opts to add a moderate increase in spending, while relying on stronger underlying economic activity and some tax measures to slightly improve the deficit track. The initial to-do list for this Budget was formidable with earlier commitments on child-care funding, emissions reductions, and housing, but was recently extended to include dental care and defence spending. To accommodate this raft of priorities (and there was indeed a full raft in this budget), spending has been spread out over a number of years on some files, a variety of tax measures have been enacted—with some details to be determined—and the higher revenue base has been tapped.
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