MPs narrowly approved Prime Minister Mark Carney’s inaugural budget on Monday, avoiding a possible Christmas election and granting the Liberals extended governance during a period of uncertainty. The outcome, though tense, saw enough Opposition MPs concede, handing Carney a pivotal win in the closely split minority Parliament.
In the final tally, 170 MPs, including all Liberals and Green Party Leader Elizabeth May, backed the budget, while 168 MPs opposed it. Notably, four MPs abstained, easing the passage of the budget for the Liberal government. The abstaining MPs were NDP’s Lori Idlout and Gord Johns, and Conservatives Shannon Stubbs and Matt Jeneroux.
Interim NDP Leader Don Davies explained the party’s decision not to support the budget while also avoiding an election by having two members abstain. He emphasized that defeating the budget would not benefit Canadians, leading the NDP to vote against it to prevent a premature election.
On the Conservative side, Jeneroux resigned earlier in the month amid rumors of defecting to the Liberals, while Stubbs couldn’t vote due to health reasons. Speaker Francis Scarpaleggia did not cast a vote, given the absence of a tie.
Had the budget been rejected, the Carney government likely would have resigned, triggering a snap election. May’s pivotal vote in favor provided crucial support to the government.
Carney positioned the budget as a substantial investment for future generations, especially in the face of U.S. trade challenges. The budget entails significant new spending on infrastructure, housing, and defense, alongside increased funding for the Major Projects Office to initiate key national projects.
Additionally, the budget includes measures to reduce the public service workforce through attrition and buyouts, funding for LNG terminals and clean-energy projects, and progressive initiatives like a permanent national school food program and increased spending on affordable housing.
The opposition, led by Pierre Poilievre, criticized the budget’s $78-billion deficit and called for reductions in government spending. Poilievre’s demands were not met, leading the Conservatives to oppose the budget, citing concerns about escalating national debt and inflation.
The Bloc Québécois voted against the budget, primarily focusing on demands related to seniors and Quebec. The NDP, facing internal challenges and financial debt, carefully deliberated on whether to trigger an election or extend support to the Liberals, ultimately playing a crucial role in the budget’s passage.