CALGARY- The upcoming provincial budget is being called ‘the perfect storm.’
On Monday, finance minister Doug Horner addressed Calgary’s Chamber of Commerce, saying that Albertans need to brace for a rough financial outlook.
“This is not going to be a fun budget. This is going to be a budget that shows we are serious about reigning in spending,” he said. “The first thing we do is look at our own house before I dig into the pockets in your house.”
The problem stems from low prices for bitumen, due to challenges getting the oil to market.
Horner’s address comes as the province releases the results of a public consultation on spending, that found Albertans don’t want major cuts, support saving, and think that borrowing for infrastructure makes sense.
However, critics says the survey is flawed, and borrowing is the wrong way to go.
“Politicians say ‘we'll just borrow when it's smart,’” says Wildrose finance and treasury board critic Rob Anderson. “Borrowing for politicians is heroin, that's what it is.
“They will borrow, and borrow and borrow for every pet project that is important.”
The province says it will not borrow money for regular operating expenses, and has no plans to introduce new taxes.
The budget will be released on March 7.
With files from Reid Fiest
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