On April 13th, 2016 on the eve of the 2016 Provincial Budget, the NL Employers’ Council released a Shadow Budget, developed with research conducted by the Conference Board of Canada.
The Shadow Budget recommended a balanced approach of reducing spending levels by $1B over 4 years to 2009 levels combined with revenue generation through a temporary increase in the HST and other consumption taxes. It also recommended the majority of spending reductions in years 1 and 2, to reduce interest payments. This approach would enable government to pay down the deficit quickly, while avoiding the long term economic implications of significant tax increases.
Read the Shadow Budget.