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flag Canada's federal deficit projected at $321.7B over five years under Prime Minister Carney, driven by spending and debt, with major public job cuts planned.

flag A new Fraser Institute study finds Canada’s federal deficit under Prime Minister Mark Carney is projected to reach $321.7 billion from 2025-26 to 2029-30—more than double the prior Liberal administration’s forecast—driven by higher spending and debt. flag The report criticizes the government for classifying much capital spending as operating expenses and highlights concerns over fiscal transparency, including the delayed appointment of a new Parliamentary Budget Officer. flag Meanwhile, federal departments have released 2026-27 spending plans showing tens of thousands of public service job cuts, primarily through efficiency measures and AI, as part of a 10% reduction effort, though National Defence plans staff increases.

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