Only 50% of the phase one spending has even been allocated to specific projects.
A devastating new report from Parliamentary Budget Officer Jean-Denis Frechette is revealing the utter failure of the Trudeau Liberals’ infrastructure plan.
The plan is falling further and further behind schedule, and the promised economic impact is not taking place.
As noted by the CP, “Parliament’s spending watchdog says the Liberals are slipping further behind on their infrastructure program, noting in a new report that only half of the $14.4 billion earmarked for the first phase of the infrastructure plan has been set aside for projects. The report also warns that while there have been some economic gains from spending, those benefits the Liberals once touted for the spending may not be fully realized.”
$7.2 billion in spending that the government had planned to be finished or at least started by now is going nowhere – with no specific projects allocated funds.
Frechette had previously pointed out that the Liberal government appears to have no plan for how they are spending $186.7 billion in infrastructure spending promised over the next decade and beyond. 25% of that spending has already been delayed.
Economic ‘benefits’ proven false
The supposed economic benefits of the infrastructure plan have also been proven false.
The Liberals had promised that the economy would be boosted by 0.2% in the first year of the program, with the growth boost expanding to 0.4% in the following year.
Instead, the PBO concluded that the change in growth has been just 0.1% in each of the past two years.
It gets even worse:
“Frechette’s report says rising interest rates could wipe out any economic gains by the end of March 2022.”
That is the most devastating part of the report. All that extra spending, handled incompetently, a huge increase in debt, all for an ‘economic’ boost that will most likely be completely cancelled out.
It takes a special kind of incompetence for a government to be bad at spending money.
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