Globe and Mail: Interim PBO warns Ottawa’s finances unsustainable without changes
The Parliamentary Budget Office’s latest fiscal and economic outlook shows a weakening economy under U.S. tariffs. The report projects the federal deficit will rise to $68.5 billion in 2025-26 from $51.7 billion in 2024-25, with the debt-to-GDP ratio climbing from 41.7 per cent to over 43%. “It should be very alarming. We don’t lightly use the word ‘unsustainable,’” Interim parliamentary budget officer Jason Jacques said. Ahead of the government’s first budget on Nov. 4, Finance Minister François-Philippe Champagne’s office is preparing major spending commitments on defence, housing, and infrastructure while reviewing ways to cut operating costs.
