Ontario releases the 2025 budget, with a doubled deficit, reduced alcohol prices, and subsidies for unemployed workers!

The Ford government of Ontario released the 2025 annual budget today, titled "A Plan to Protect Ontario," aiming to mitigate the impact of US tariff hikes.

The budget focuses on high expenditures, adjustments to alcohol policies, and continuous deficits. The fiscal deficit has significantly increased from 6 billion Canadian dollars last year to 14.6 billion. However, the government has committed to achieving a balanced budget by the 2027-28 fiscal year.

"Protecting Ontario Account": The government will allocate 5 billion Canadian dollars to support local enterprises in difficulty due to tariffs, helping them retain jobs, transform and upgrade, and develop strategic industries. The funds will be provided in the form of "emergency liquidity assistance," but the specific operational methods have not been explained yet.

Action Centers for Employment Support: The government will also allocate 20 million Canadian dollars to assist potentially unemployed workers, providing skills training, job introduction, and employment assistance services.

Starting August 1st, the government will reduce the markup rate for beer, cider, and ready-to-drink cocktails at LCBO. As long as manufacturers do not raise prices, retail prices will drop significantly, with reductions ranging from 21% to 50%. For example, the markup for Ontario craft beer will be halved.

Meanwhile, the government will launch the "Ontario Grape Support Program," providing up to 35 million Canadian dollars annually to eligible wineries, encouraging the use of more local grapes.

Cannabis stores can remove window coverings to "enhance consumer transparency and welcome," but they must ensure that cannabis products remain invisible from the street.

The government will allocate 57 million Canadian dollars to purchase two H-135 helicopters for the Niagara region and Windsor police to strengthen border patrols and law enforcement.

The healthcare budget will increase by 4%, with an additional 103 million Canadian dollars for planning over 50 major hospital projects, expecting to add approximately 3,000 beds.

The government is launching a ten-year infrastructure plan, focusing on:

Highways: nearly 30 billion Canadian dollars

Public Transportation: around 61 billion Canadian dollars

Healthcare Infrastructure: around 56 billion Canadian dollars

School and Childcare Space Construction: over 30 billion Canadian dollars

A new Critical Minerals Processing Fund will be established, investing 500 million Canadian dollars to attract investment and promote the development of local mineral processing industries.

The government will continue to advance its plan to remove bike lanes within the City of Toronto, adding two main roads proposed for removal, which has drawn attention.

Ontario's housing construction targets have consistently been adjusted downward in multiple annual budgets. The latest forecast indicates that Ontario will only complete about half of its annual target in the coming years:

2025: 71,800 units started

2026: 74,800 units started

2027: 82,500 units started

Original Source: https://www.toutiao.com/article/1832223762321420/

Disclaimer: This article solely represents the views of the author.