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NEWS RELEASE |
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| February 27, 2008 | For
Immediate Release |
SASKATCHEWAN FARES WELL IN BUDGET 2008
(OTTAWA) – Garry Breitkreuz, M.P. for Yorkton-Melville says Budget 2008 is poised to strengthen Canada and Saskatchewan amidst global economic uncertainty.
The new budget tabled on February 26 by Minister of Finance Jim Flaherty reduces debt and taxes, focuses government spending, and provides additional support for sectors of the economy that are struggling. The federal government is injecting $21 billion into the Canadian economy in tax relief measures.
Saskatchewan will receive $1.3 billion in 2008-09, an increase of $226 million since 2005-06. These transfers include $804 million through the Canada Health Transfer and $342 million through the Canada Social Transfer.
“I like what I see here for Saskatchewan and for Canada,” says Breitkreuz. “Our government is providing better access to a potential $3.3 billion in cash advances to livestock producers. The Advance Payments Program makes changes to security requirements, administrative terms and conditions, and emergency advances. This will help address the producers’ short-term liquidity pressures.
“Obviously, we’re listening to farmers,” he adds. “Our government is providing $50 million for a Cull Breeding Swine Program to help reduce the supply of breeding stock in Canada and ease the transition for producers wishing to exit the business. Farmers are being given the respect and government support they so richly deserve. A strong agriculture and agri-food sector is critical to our economy and our country as a whole. That’s why our government is providing additional support for Canadian farm families.”
Since
2006, the federal government has provided an additional $4.5 billion
to Canadian farmers. This funding creates an improved suite of farm
income stabilization programs that are responsive, predictable and bankable.
We also recently announced steps to provide timely support to cattle
and hog producers to address the particular issues they are facing.
Accelerated access to programs payouts for the 2006 and 2007 program
years will provide a total of $1.5 billion before the end of 2008.
Budget 2008 also provides Canadians with the Tax Free Savings Account, which is the most important federally-driven personal finance innovation since the Registered Retirement Savings Plan (RRSP) was introduced. This flexible, registered, general-purpose account will allow Canadians to watch their savings – including interest income, dividend payments and capital gains – grow tax free.
“The Tax-Free Savings Account is the first of its kind in Canadian history,” explains Breitkreuz. “It will provide all Canadians with a powerful incentive to save. An RRSP is primarily intended for retirement, but the Tax-Free Savings Account is like an RRSP for everything else in your life. We are now enjoying the lowest levels of taxation since the days of John Diefenbaker.”
Budget 2008 demonstrates responsible leadership by:
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Paying down debt: Since taking office, our government has paid down more than $37 billion on our “national mortgage”, including $10.2 billion this fiscal year. The government’s aggressive pay down of debt has saved Canadians $2 billion in ongoing interest savings a year, which has been passed on to Canadians in tax relief through the Government’s Tax Back Guarantee. Our national debt is still more than $400 billion, and this government is tackling it head-on.
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Strengthening Canada’s tax advantage: Since taking office, we have delivered almost $200 billion in tax relief this year and over the next five years. Budget 2008 extends accelerated capital cost allowance treatment to the manufacturing and processing sector by three years on a declining basis – providing Saskatchewan businesses with an additional $3.2 million in tax relief.
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Investing in the future: We are providing funding to preserve and protect the environment, including $240 million over four years for a full-scale carbon capture and storage demonstration project in Saskatchewan. Budget 2008 also extends the federal gas tax fund to municipalities permanently. This will provide an additional $2 billion a year, every year, forever.
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Targeting support: Saskatchewan will receive $36 million over three years through the Community Development Trust to support efforts to help vulnerable communities adjust to global economic uncertainty, $15 million over two years through the Public Transit Capital Trust 2008, $64 million for infrastructure initiatives, $15 million for labour market training, $10 million over two years for the Canadian Light Source synchrotron, $4.2 million through the Cull Breeding Swine Program to alleviate financial pressures faced by the Canadian hog industry and $26 million as Saskatchewan’s share of other federal initiatives including the Clean Air and Climate Change Trust and the Patient Wait Times Guarantee.
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Providing leadership: Saskatchewan will receive $12 million to hire new front line police officers over the next five years. Budget 2008 also provides funding to support those with mental health issues and delivers $660 million to support Aboriginal Canadians.
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Supporting our troops: We are providing the Canadian Forces with stable and predictable funding to permit long-term planning and delivering on our promises for international assistance.
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