Canada’s interim Budget Officer is comparing federal finances to a car barreling down a narrow road at dangerous speed, warning the government’s approach to spending and cuts could put the economy at risk.Blacklock's Reporter says Jason Jacques told the Senate national finance committee the fiscal challenges are unlike anything he has seen in three decades. He said cabinet is trying to control runaway spending while also subsidizing industries hit by the trade war — a contradiction he likened to “one foot on the gas and one foot on the brake.”The Budget Office last week reported that Ottawa’s 2024 deficit came in 30% above target at $51.7 billion, while the 2025 deficit soared 62% beyond the plan to $68.5 billion.Sen. Julie Miville-Dechene pressed Jacques on when the government’s borrowing would become unmanageable. .Jacques replied there was no single “magic number” but warned Canada faces a real risk to economic sustainability within five years.Opposition Senate Leader Leo Housakos noted Parliament may be asked to raise the debt ceiling for the third time in four years, after cabinet already boosted it by $1 trillion since 2021 to a new limit of $2.13 trillion. Jacques would not say if more hikes were inevitable.Prime Minister Mark Carney has yet to set a 2026 deficit target, despite promising in a May Throne Speech to pursue “responsible deficit reduction.”.Due to a high level of spam content being posted in our comment section below, all comments undergo manual approval by a staff member during regular business hours (Monday - Friday). Your patience is appreciated.
