To the Editor:
Stephen Harper’s former Finance Minister, the late Jim Flaherty, laid out a devastating critique of Mr. Harper’s ill-conceived Income Splitting scheme. He panned it as too expensive and unfair.
The unfairness comes from the undisputed fact that Income Splitting benefits only a small fraction of Canadians - fewer than 15%. More than 85% of households gain nothing at all.
It’s a telling point that Conservatives no longer talk directly and specifically about “Income Splitting”. It’s been their sole defining policy since Mr. Harper first committed to it during the 2011 election. But now, those two words rarely cross their lips.
Knowing that Mr. Flaherty’s criticisms were right, Conservatives now drown Income Splitting in an alphabet-soup of other policy pronouncements. The camouflage strongly suggests they’re embarrassed to defend it on its own.
The scheme will cost at least $2.4-billion in its first year - that is, this year. Since the Conservatives remain in deficit this year, every penny of that $2.4-billion will be borrowed money, adding to the federal debt. The future annual cost of Income Splitting is projected at about $2-billion per year.
But many other real costs have already been incurred.
They’re in the federal programs and services that have been sacrificed to pre-condition the government’s books for Income Splitting to be imposed. Here’s a small sampling:
Services to Veterans top the list.
Remember the $1.1-billion of approved funding that disgraced Minister Fantino has failed to deliver to veterans over the past several years. Remember the nine offices providing specialized veterans services that this government closed. Remember the recent Auditor General’s report that chronicled Conservative neglect of mental health needs.
Public health and safety are next on the list.
The Transportation Safety Board has just reported on the government’s serious failings in rail, marine and air safety. Deficiencies in food inspections have put lives at risk. Environmental protections have been slashed. Marine search and rescue, forensic labs, emergency preparedness, even supervision of Canada’s spy agency have all been victims of Conservative cuts.
Then there’s Community Infrastructure.
The Conservatives have specifically carved a huge hole in their Building Canada Fund this year. It’s down by 87%. They say it will be replenished at a later date. But even at best, three-quarters of this funding has been postponed until after 2019.
Cuts to Veterans. Public health and safety. And Community Infrastructure. These are some of the tangible losses imposed on Canadians to position Mr. Harper to implement Income Splitting.
Is it worth it? Is it fair?
Ralph Goodale Member of Parliament for Wascana
