Prime Minister Mark Carney forewarned future challenges to Canada's economy, which he suggested was performing "reasonably well" in a pre-budget address to the nation.

Carney warned on October 22 at the University of Ottawa that economic transformation would require “some sacrifices” and time, a message tied to the November 4 budget.

“Our government will work relentlessly to cut waste and drive efficiencies,” he claimed, “and when we have to make difficult choices.”

“We will be thoughtful, we will be transparent, we'll be fair, we will work collaboratively with our colleagues across the aisle to build, protect, and empower Canadians.”

It's our country, it's your future, and we are going to give it back to you. pic.twitter.com/Dgd6kEwubx

— Mark Carney (@MarkJCarney) October 23, 2025

The upcoming budget is projected to include a "substantial" deficit, according to Government House Leader Steven MacKinnon. While specific program cuts haven't been announced, the Liberal government states key support programs like national dental and childcare will continue.

Carney's government plans to balance the "operating deficit" in three years by reducing "wasteful government spending," such as initiatives to reduce red tape. He noted that federal spending has grown over 7% year-over-year for the past decade, exceeding economic growth, a trend that must change.

The Liberal government plans to separate daily spending from capital investment in future budgets. While they claim this provides a clearer picture and prioritizes major projects, the Conservatives accuse them of attempting to "bury the deficit."

On May 18, the former central banker delayed the spring budget, promising a "comprehensive, effective, ambitious, prudent budget", to address the impact of U.S. tariffs.

Poll: 6 in 10 Canadians don’t buy Carney’s balanced budget boast

With the federal election less than two weeks away, polling reveals most Canadians lack confidence in Carney's economic promises.https://t.co/e5mUGW5DaQ

— Rebel News Canada (@RebelNews_CA) April 17, 2025

On Wednesday, Carney outlined a budget prioritizing non-U.S. exports, major project approvals, "buy Canadian" initiatives, and promoting Canada as an "energy superpower" with economic growth.

Last month, Carney lifted U.S. counter-tariffs to advance U.S. trade talks. Both he and Trump have recently expressed mutual admiration — a departure from prior hostilities.

The Liberal government also faces mounting Opposition pressure to detail deficit reduction plans. Carney vows to "spend less" to "invest more," with Finance Minister Champagne promising "generational investment."

Canada's 2025-2026 deficit is projected to exceed earlier estimates. The 2024 Fall Economic Statement predicted $42.2 billion, while the PBO later estimated $68 billion. Desjardins suggests it could surpass $70 billion, potentially reaching $100 billion, marking the largest federal deficit in 30 years. The C.D. Howe Institute projected $92 billion.

All exceed last year's $61.9 billion deficit and the 2008 financial crisis ($55.6 billion). 

Poilievre rips Carney for spending even more than Trudeau, citing the Parliamentary Budget Officer as he says a more "conservative-looking haircut, suit and resume has not resulted in more conservative spending — it was all an illusion." pic.twitter.com/J84J1DPOWh

— Rebel News (@RebelNewsOnline) September 29, 2025

Carney’s Liberal minority government, with 169 seats, needs budget support to avoid a non-confidence vote and potential election.

The NDP, having previously supported the Liberal government, may do so again if an "austerity budget" is avoided. The Bloc Québécois is less likely, however, having demanded 18 budget items, including increased health and infrastructure spending.

Conservative Leader Pierre Poilievre criticized Carney for delaying the budget, stating the current deficit is nearly 70% higher than under Justin Trudeau. He emphasized the need for an "affordable budget." 

The Official Opposition insists the deficit stays below $42 billion and the government stimulates the economy by eliminating taxes like the industrial carbon tax.

MacKinnon called the target “unattainable,” urging all opposition leaders to reconsider their "unreasonable" demands to avoid another snap election.

Please help me stop Mark Carney — before it’s too late!

Mark Carney wasn’t elected — he was installed by the global elites. And now that he’s in charge, they think they’ve won. But not if we have anything to say about it. While the bought-and-paid-for media slobber over their new golden boy, we’re hitting the streets, digging into his World Economic Forum playbook, and calling out the radical agenda they’re trying to ram down Canada’s throat. This is the fight of our lives — and we’re not backing down. Help us keep our reporters on the ground, our billboard truck on the move, and our message uncensored. Pitch in now if you want to stop Mark Carney before he does irreversible damage.

Optional email code

Amount

$25

$50

$75

$100

$250

$500

$1,000

$2,500

Other

$

Donation frequency

One-time

Monthly

DONATE