ST. JOHN’S, N.L. – It’s budget day in Newfoundland and Labrador, and many will be watching for spending cuts to reduce an expected deficit of almost $1.6 billion.
Finance Minister Cathy Bennett has repeatedly said there won’t be new tax or fee hikes.
Approval ratings for the governing Liberals nose-dived after their first budget last April raised taxes on everything from gasoline to books.
When asked if those measures will be lifted, Bennett has said the government will review its tax structure.
The collapse of world oil prices hammered the province, but Bennett says increased production may help.
She also says she’s not expecting the new budget will hurt the province’s credit rating which has been downgraded in recent years.
Bennett says she’s optimistic the deficit will drop to about $800 million this year as she targets a return to surplus in six years.