Premier Kathleen Wynne’s 2014 Budget recklessly puts Ontario’s teetering finances in greater jeopardy, Ontario PC Finance Critic and Nipissing MPP Vic Fedeli warned in a news release today.
“Today’s budget, the same one the Liberals introduced on May 1, risks a credit downgrade which could increase Ontario’s borrowing costs by billions of dollars, siphoning even more money out of frontline services,” Fedeli said.
Fedeli also noted that the budget, which was labeled by Maclean’s as “a unicorn budget built on delusion,” immediately sparked a credit watch from Moody’s Rating Service, who called it a “credit negative.” A credit downgrade will have real consequences, he said.
However, Finance Minister Charles Sousa claims credit rating agencies like that the Liberals won a majority, saying investors are pleased there is a "more stable" government.
But Fedeli says despite Moodys confirming North Bay's credit rating last week, another review may still be coming.
"It's something we'll have to watch very carefully." Fedeli told BayToday.
"Because the Liberals haven't balanced the budget we'll continue to see real cuts to services."
Fedeli mentioned recent nurse and teacher cuts as examples.
"We've got to get the budget balanced or these cuts will continue," he said.
