The Canadian Taxpayers Federation (CTF) is calling on Prime Minister Justin Trudeau to rein in spending following today’s Parliamentary Budget Officer (PBO) report showing big deficits for years to come.

“The Trudeau government told Canadians to expect a balanced budget in 2027, but the PBO expects an $8.7-billion deficit that year,” said Franco Terrazzano, Federal Director of the CTF. “Big deficits mean more debt on the backs of young Canadians, more money wasted on interest charges and less room to provide needed tax relief.”

The PBO released its Economic and Fiscal Outlook report today. The report shows the deficit will increase to $43 billion in 2023. 

In the mid-year fiscal update, the federal government projected a $4.5-billion surplus in 2027. However, today’s PBO report projects an $8.7-billion deficit in 2027. This is a larger deficit than the fiscal update’s downside scenario, which projected a worst-case $8.3-billion deficit in 2027.

The PBO projects annual debt interest charges to climb from $34.7 billion in 2022 to $46 billion in 2027. 

The debt is expected to reach $1.2 trillion in 2023.  

“The feds claim fiscal prudence, but the PBO shows the deficit will increase in 2023,” said Terrazzano. “Taxpayers deserve true fiscal responsibility, and that means putting down the credit card and picking up the scissors.”