NEWS RELEASE  

March 1, 1995   For Immediate Release 

LIBERAL BUDGET FAILS "THE LAW OF HOLES" - WHEN YOU'RE IN ONE, STOP DIGGING  

"This budget is dishonest, cowardly, hypocritical and lacks vision," says Breitkreuz.  

Ottawa - Garry Breitkreuz, MP for Yorkton-Melville was highly critical of Finance Minister Paul Martin's second budget effort, "It is dishonest to mislead people into thinking that going in the hole twenty-five billion dollars a year is a good thing. The national debt will rise by $100 billion and Canadians will be paying $50 billion a year in interest payments. It is these rising interest payments and the Liberal government's lack of decisive action on balancing the budget that are killing social programs. This budget goes beyond a lack of courage, it is a cowardly act to put off the really tough decisions until the government, even a Reform Government, would have absolutely no room to manoeuvre," declared Breitkreuz. "The twenty-five billion dollars will still have to be cut in three years. Where will it come from? How will our social programs survive the next recession?" asked Breitkreuz. 

"This budget is also hypocritical," accused Breitkreuz. "The Liberals are asking Canadians to tighten their belts and open their wallets, but they are unwilling to lead by example. The Liberals have failed to give up their excessive, lavish and wasteful MP pensions but are asking all Canadians to pay 1.5 cents a litre for gas to help pay for their pensions. At least the 48 Reform MPs who are opting out of this self-serving pension plan will help cut some of the costs," he said. 

Breitkreuz estimated that the average family would have almost a $100 a year tax increase just as a result of the gas tax. "We are being taxed to death a little bit at a time. The Liberals sit in the House of Commons mocking and jeering us when we try to hold them accountable and point out what it means for them to drive the country another $100 billion into debt," protested Breitkreuz. 

"Western farmers got hit hard in this budget. Much harder, it seems, than farmers in Ontario and Quebec," said Breitkreuz. "While it's clear there will be pain," he asked, "Where's the gain? The Liberals are eliminating the annual $560 million Western Grain Transportation Act(WGTA) subsidy and only compensating farmers for a small portion of its real value. In 1993, Reformers campaigned on the policy that this subsidy should be transferred to a new Trade Distortion Adjustment Program(TDAP). With our proposals, the WGTA subsidy would be used to establish a fund which farmers could access to help fight current and future trade wars," explained Breitkreuz. "All we have so far from the Liberal budget is questions and very few answers. If you have questions call Agriculture Canada toll free at 1-800-396-1255. If you can't get straight answers call us in Yorkton or Ottawa," suggested Breitkreuz. 

"Just compare the Liberal's budget with Reform's Taxpayers' Budget," asked Breitkreuz.

• Reform, demands deficits be eliminated - Liberals, are satisfied with deficit reduction. 
• Reform, a balanced budget in three years - Liberals, an annual deficit of $24.3 billion. 
• Reform, no more taxes - Liberals, tax increases of $3.6 billion over three years. 
• Reform, spending cuts of $25 billion over three years - Liberals, cuts of just $11.9 billion. 
• Reform, plan to cap interest payments on debt - Liberals, plan to increase interest payments indefinitely. 
• Reform, long term job creation potential - Liberals, long term uncertainty. 
• Reform, more social security per dollar spent - Liberals, less social security as interest costs rise. 

"There is no mention of job creation in this budget. It only lays the foundation for future tax increases which, as everyone knows, will kill jobs. The Liberals can't explain what programs they are going to cut as interest charges on the debt go up year after year. Interest charges have gone up $6 billion in just one year," advised Breitkreuz. 

"A huge problem exists because we should be balancing the budget now in the good times. When the economy declines again in a few short years, we'll be in big trouble," predicted Breitkreuz. "A recession will drive the deficit through the roof and Canada into the wall. We are missing one of the last opportunities to balance our budget without provoking severe pain and hardship for the truly needy in our society." 

Breitkreuz concluded, "The governing Liberals can use their majority to ram this budget through the House of Commons and there is nothing Reform MPs can do to stop them. We, like the average voter, can only wait for the next election and hope and pray that another opportunity presents itself like the one the Liberals are passing up today." 

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For more information please call: 

Yorkton: (306) 782-3309 

Ottawa: (613) 992-4394