Canadian Prime Minister Mark Carney's minority-led government has survived two votes of no confidence in its budget, easing current concerns about this winter's federal election.
On Friday, the Liberal Party of Canada won the second of three votes on the plan, paving the way for tens of billions of dollars in new spending, The Guardian writes. The party, which needs the support of opposition lawmakers, benefited from the Conservatives voting with the Liberals, allowing the budget to be ready for a final vote in mid-November. But the result was also a reminder for Carney, an eccentric economist, of the unpredictable and random realities of politics.
Canadian Finance Minister Francois-Philippe Champagne on Tuesday unveiled the Liberal government's bloated federal budget, explicitly acknowledging that the prolonged trade war with the United States and a weak domestic economy have forced the government to face a deficit tens of billions of dollars larger than initially forecast.
“The level of uncertainty is higher than we have seen and felt in generations,” he told lawmakers in his budget speech. “Bold and swift action is needed.”
The Guardian notes that the move would bring in billions of dollars in “intergenerational investment,” which would fundamentally change the nature of the country's economy.
Last December's budget report predicted the federal deficit would be C$42.2 billion in 2025-26. But the Liberal plan would result in a deficit of C$78.3 billion by 2025-26. The government said it will aim to reduce the federal budget deficit to C$56.6 billion by 2029-30.
Turning to the budget debate, Carney seemed unconcerned about making his budget available to opposition parties, who simultaneously argued that they were spending too much and too little. He has created for himself the image of a serious technocrat, always trying to focus on economics without being distracted by politics. After Conservative Party leader Pierre Poilievre lost his seat in the federal election, Carney decided to quickly call a by-election rather than leave the Conservative Party to suffer in the political wilderness. “No games,” he said.
But earlier this week, Carney won only 169 seats, three seats short of the threshold needed to pass the budget without the help of opposition parties. Stephen MacKinnon, leader of the House of Commons, warned the Liberals did not have the votes and warned the country could face an election by Christmas.
However, on Tuesday, Chris d'Entremont, a Conservative MP, defected to the Liberals over the budget issue. D'Entremont told reporters that his decision was partly due to a rejection of Poilievre's cavalier leadership and suggested that there were other disaffected Conservatives. His resignation is an important victory for Carney's Liberal Party, which governs with a minority in parliament. With d'Entremont now in the Liberal camp, the party needs the support of two lawmakers from other parties to pass this budget and avoid an election.
Rumors of discontent within Tory ranks persisted, along with reports that the Liberal Party was trying to win over disaffected Tory MPs.
Carney himself seemed more inclined to play politics, telling reporters he would “speak publicly or otherwise” to anyone who might support his legislative goals.
“Carney is not a lifelong politician and this was part of his message to voters in the spring election. He said he was above the partisan games that characterize Canadian politics,” said Laurie Turnbull, director of Dalhousie University's school of government.
But his decision to shift the Liberal Party's focus to the economy and fiscal responsibility helped him attract moderate Conservatives.
