Published Apr 11, 2025 • 3 minute readOpposition leader Hal Perry responds to a budget address delivered by Progressive Conservative Finance Minister Jill Burridge on April 10. Perry deemed the $3.5 billion budget, which projects a $184 million deficit, a “failure of management and imagination.” Stu Neatby The GuardianPrince Edward Island’s $3.5-billion budget tabled by Finance Minister Jill Burridge drew tepid reviews from Opposition and Green MLAs, who both accused the Progressive Conservative government of mismanagement and of inefficient spending in previous years.The spring budget projected a $184-million deficit over the coming year, the largest in the history of the province. The budget also included $14 million worth of tax cuts to individuals, small businesses and corporations, as well as significant increases in spending for health, education and social programs.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY.Subscribe now to access this story and more:Unlimited access to the website and appExclusive access to premium content, newsletters and podcastsFull access to the e-Edition app, an electronic replica of the print edition that you can share, download and comment onEnjoy insights and behind-the-scenes analysis from our award-winning journalistsSupport local journalists and the next generation of journalistsSUBSCRIBE TO UNLOCK MORE ARTICLES.Subscribe or sign in to your account to continue your reading experience.Unlimited access to the website and appExclusive access to premium content, newsletters and podcastsFull access to the e-Edition app, an electronic replica of the print edition that you can share, download and comment onEnjoy insights and behind-the-scenes analysis from our award-winning journalistsSupport local journalists and the next generation of journalistsRegister to unlock more articles.Create an account or sign in to continue your reading experience.Access additional stories every monthShare your thoughts and join the conversation in our commenting communityGet email updates from your favourite authorsSign In or Create an AccountorArticle contentIn the face of a turbulent economy, the province’s debt is expected to hit $3.6 billion by the end of the year, which represents 32.6 per cent of P.E.I.’s gross domestic product. The debt is projected to reach $4.2 billion by 2028, or 35.9 per cent of GDP.But in a speech before the legislature, Opposition Leader Hal Perry charactarized the budget as a “failure of management and imagination.”Perry noted that Island residents are still dealing with the high costs of food, housing and electricity as well as a health-care system that offers “the worst access in Canada.” He said the budget fails to address these challenges and suggested the province’s efforts to respond to U.S. tariffs have been ineffectual.Perry took particular aim at a $7.5-million tourism promotion contract the province signed last year with the National Hockey League.“At the same time that the American president was talking about the annexation of our country, the minister of tourism and his staff were in Boston for a hockey game,” Perry said, referring to trips made by Minister Zack Bell and staff during the 4 Nations Face-off tournament earlier this year.Article content“And they were there spending hundreds of thousands of dollars rubbing shoulders with NHL executives and eating oysters and ice cream.”In an interview, Perry conceded that he was happy to see a $32-million tariff contingency fund as part of the budge but said few details have been released about how this money might be spent.Green MLA Peter Bevan-Baker similarly accused the PCs of mismanagement in previous years.“Instead of making sure that that extra revenue was invested in important things that mattered to Islanders like investing in schools, in public assets like hospitals and energy infrastructure and affordable housing, it’s been squandered on pet projects like the NHL deals and massively expensive contracts with private suppliers like KPMG,” Bevan-Baker told the House.Since last June, Health P.E.I. has awarded close to $6 million in contracts to KPMG, a large consulting firm.The health authority has also awarded contracts to private health providers to reduce wait times for services that had been provided publicly, including low-acuity cataract surgeries and MRI scans. In her speech, Burridge also alluded to a “new community-based surgical model” that will deliver hip and knee replacement surgeries outside of hospitals.Article content“Let’s be frank about this. When it comes to health care, for example, it used to be about people. But now it feels like it’s about privatization,” Bevan-Baker said.Union, municipalities respondSimilar sentiments were echoed by CUPEI P.E.I., a union representing 3,400 Island workers.Ashley Clark, president of CUPE P.E.I., also criticized the increasing spending of public dollars on private delivery of health care. Clark also said “smart, structural public sector investments” were needed instead of cutting tax cuts for corporations.“People don’t move to or visit P.E.I. for tax cuts or contingency funds — they come for quality of life, for good schools, for accessible health care, for a strong sense of community. That starts with a strong public sector,” she said. Ashley Clark, president of the Canadian Union of Public Employees (CUPE) P.E.I. Division, criticized the increasing allocation of public dollars to private health care providers. Contributed. Photo by Contributed /ContributedIn a statement, Bruce MacDougall, president of the Federation of P.E.I. Municipalities, said he was pleased to see $5.5 million in funding dedicated to municipalities over two years.Article content“The costs of municipal services have increased and so has demand. This new funding is essential to help municipalities respond,” MacDougall said.MacDougall also said he was happy to see the $810,000 allocation for the creation of a new joint enforcement team to combat drug trafficking.Stay informed: Don’t miss the news you need to know. Sign up for our newsletter today.In a statement, Devin Drover of the Canadian Taxpayers Federation praised the tax cuts but condemned the deficit spending.“While these tax cuts are a positive step, Premier Lantz must now focus on cutting wasteful spending to avoid piling on more government debt,” Drover said.“This would allow for even more tax relief in the future.”Stu Neatby is a political reporter for The Guardian in Prince Edward Island. He can be reached at sneatby@postmedia.com and followed on X @stu_neatby.Article content
P.E.I. Liberals, Greens say deficit budget result of PC fiscal mismanagement
