But Hughes Anthony added the lion s share of the tax relief announced won t be felt for a few years, not enough money is going to pay off the debt and new spending has increased at a higher rate that recommended by the Chamber. She added program spending is increasing at a rate that far exceeds the rate recommended by the chamber. Spending will rise even per cent this year and four per cent annually thereafter, after factoring in increases in health care and social programs spending announced prior to Oct. 18. The government will also put money into environmental research and will offer a one-time rebate to alleviate the effects of high fuel prices. Hughes Anthony also expressed concern about the rebate method used to alleviate the high cost of heating.
Tax cuts are good, debt reduction is great.
We would have liked to see tighter spending controls put into place. While the chamber says reductions in taxes and investment in innovation will spur the economy, the government needs to pay off the debt quicker and maintain tighter reins on government spending programs.