OTTAWA — Finance Minister François-Philippe Champagne says the Liberal government will not table a budget when Parliament returns in the coming weeks but will instead put forward a fall economic statement.
Champagne hasn't offered a clearer timeline for the introduction of the government's latest fiscal plans and has not explained the delay.
The finance minister says the government will present a ways-and-means motion when Parliament returns in the coming weeks to introduce the tax cut the Liberals promised during the recent election.
"What we have today is a middle-class tax cut. That's step one. Step two, you're going to have a throne speech where we will outline the Canadian government's priorities, and there will be a fall economic statement to follow," he told reporters after cabinet met.
The Liberals sought to underscore Wednesday that their "middle-class tax cut," which will shave a full point off the lowest income bracket, is their first order of business for the new Parliament and they want to have it passed this summer.
Staffers let TV cameras and photographers into the cabinet room following the first meeting of Prime Minister Mark Carney's new cabinet to watch him sign a decision note directing Champagne to immediately set to work on the tax cut.
"We are acting today on that so that by July 1, as promised, that middle-class tax cut ... will (come) into effect," Carney said. "We're acting on affordability as we look to build up this economy."
Carney, however, was not made available to take questions from reporters on Wednesday.
Carney's government will still need to pass its ways-and-means motion through the current minority Parliament to actually bring the tax cut into effect and will need the backing of other parties to secure its passage.
"We expect other parliamentarians to support, obviously, the government, because this is about Canadians," Champagne said when asked about securing support for the package of measures. "This is a way for all parliamentarians to show up and say, 'Yes, we support Canadians at a time where they need a break.'"
Carney has also quickly formed a number of new cabinet committees that reflect his government's focus on shoring up Canada's sovereignty and improving the quality of life of Canadians.
They include a priorities, planning and strategy committee, which is chaired by Carney, and a new "Build Canada" committee, focused on strengthening Canada's economy.
The prime minister has also created a committee on government transformation and efficiency, aiming to reduce government spending.
Other new groups include a committee on operations and parliamentary affairs, a committee for "quality of life and wellbeing" and a committee on a "secure and sovereign Canada," which aims to reinforce Canadian sovereignty, manage Canada-U.S. relations and "advance Canada’s interests around the world."
A newly appointed junior member of cabinet meanwhile said Wednesday the style of governing is clearly changing under Carney, predicting he will run government more like a corporation than when Justin Trudeau was prime minister.
"I think we're going to see our government run like a corporation, which I think is long overdue," said Wayne Long, secretary of state for Canada Revenue Agency.
Long was one of several Liberals who drove a caucus revolt against Trudeau last year over his leadership.
Many of the ministers attending their first meeting of the new cabinet Wednesday, following Tuesday's swearing-in ceremony at Rideau Hall, said they are still being briefed on their new files.
Justice Minister Sean Fraser said the Carney government will be focused on the economy and dealing with a combative U.S. administration on trade.
“My experience in the first few weeks and over the course of the election campaign is there is a relentless focus on the economy, strengthening Canada's ability to be on the international stage and making sure that we actually stand up to the United States government,” Fraser said.
“It's this singular focus on the issues that are clearly top of mind for people who live in communities like mine that shows a different corporate culture, so to speak.”
Natural Resources Minister Tim Hodgson said he is looking forward to "digging" into his new role, adding he plans to head out to the West soon for meetings in the Prairie provinces.
Carney moved some veteran players from the Trudeau years into new positions while also promoting 24 new faces — a move meant to signal a change in priorities.
Carney named 28 full ministers to his cabinet and also appointed a second tier of 10 secretaries of state to act as junior ministers.
The prime minister dropped several cabinet veterans from the Trudeau years, including former natural resources minister Jonathan Wilkinson and former defence minister Bill Blair.
But he raised the profile of Anita Anand by bringing her into foreign affairs and left other key veterans in their positions, such as François-Philippe Champagne at the finance ministry.
Carney said he sought to balance new perspectives with experience in picking his team and noted half of the ministers are new to the front bench.
Carney has vowed Parliament will move at a rapid pace once it starts up again on May 26 and said his government will deliver on its promises with "urgency and determination."
This report by The Canadian Press was first published May 14, 2025.
The Canadian Press
