FOR IMMEDIATE RELEASE:
Nov. 7, 2013
SIMCOE – In the days leading up to the Fall Economic Statement, Ontario had the dubious honour of having its poor fiscal situation recognized in North America’s premier financial publication, The Wall
Street Journal.
In the article, author Don Curren writes that California is generally held up as an example of fiscal dysfunction in the wake of the financial crisis that swept the world five years ago. Bond rater Moody’s Investor Service states Ontario’s situation is worse than California’s.”The bond-rating firm noted in an Oct. 21 report that California’s debt burden, for example, about 50 per cent of total revenues in 2012-13, while Ontario’s net direct and indirect debt was at roughly 226 per cent of consolidated revenues at the end of March 2013,” Curren wrote.
“This isn’t politics, this is basic mathematics. Numbers don’t lie,” Barrett said. “To have The Wall Street Journal point out how serious Ontario’s debt crisis is further affirms this is a government with out-of-control spending habits.”
According to the Fall Economic Statement, the deficit for this year is $11.7 billion, an increase from last year’s $9.2 billion. The annual cost of debt repayment is $10.6 billion. Yet, the Wynne government promised to balance the budget by 2017-18.
“With an election expected next year, this is just more government spending to buy votes,” Barrett said. “The last time this government spent money to buy votes, more than $1 billion was wasted to shut down two power plants. You can’t balance the books with out of control spending.”
-30
For more information contact
MPP Toby Barrett at 519-428-0446, 1-800-903-8629
SIMCOE – In the days leading up to the Fall Economic Statement, Ontario had the dubious honour of having its poor fiscal situation recognized in North America’s premier financial publication, The Wall Street Journal.
In the article, author Don Curren writes that California is generally held up as an example of fiscal dysfunction in the wake of the financial crisis that swept the world five years ago. Bond rater Moody’s Investor Service states Ontario’s situation is worse than California’s.”The bond-rating firm noted in an Oct. 21 report that California’s debt burden, for example, about 50 per cent of total revenues in 2012-13, while Ontario’s net direct and indirect debt was at roughly 226 per cent of consolidated revenues at the end of March 2013,” Curren wrote.
“This isn’t politics, this is basic mathematics. Numbers don’t lie,” Barrett said. “To have The Wall Street Journal point out how serious Ontario’s debt crisis is further affirms this is a government with out-of-control spending habits.”
According to the Fall Economic Statement, the deficit for this year is $11.7 billion, an increase from last year’s $9.2 billion. The annual cost of debt repayment is $10.6 billion. Yet, the Wynne government promised to balance the budget by 2017-18.
“With an election expected next year, this is just more government spending to buy votes,” Barrett said. “The last time this government spent money to buy votes, more than $1 billion was wasted to shut down
two power plants. You can’t balance the books with out of control spending.”
-30
For more information contact
MPP Toby Barrett at 519-428-0446, 1-800-903-8629