Ontario Deficit Hits $14.6B, Delays Budget Balance

Ontario's 2025 budget projects a $14.6 billion deficit, the largest since the pandemic, driven by the economic impact of U.S. tariffs on key exports such as autos, steel, and aluminum. The Ford government has allocated a $5 billion emergency fund for affected businesses and a $9 billion tax deferral program for 80,000 businesses. Expanded worker support and job training are included, alongside major infrastructure investments totaling about $200 billion over the next decade. The budget introduces alcohol price cuts and fulfills campaign promises to lower the gas tax and remove certain highway tolls. The government now aims to balance the budget by 2027-28, a year later than previously planned, citing prolonged economic strain. Finance Minister Peter Bethlenfalvy emphasized the necessity of these investments to protect jobs and ensure economic resilience.