Credit where credit is due: This spring's fiscal update is just 167 pages long. That compares to the ill-fated fall statement of 2024, the one Chrystia Freeland wrote but didn't deliver, which was 270 pages. Document bloat isn't the worst form of Ottawa bloat but maybe if they start by editing their statements more tightly, they'll get into the habit of clipping. On the other hand, it looks like there are more words per page in this latest update. I suppose that's a kind of productivity increase.
When reading a budget or update — and the two are increasingly indistinguishable — it's easy to get sucked into the quicksand of government self-congratulation. To avoid that, I always head to the summary table that, in numbers only, shows: what the past document planned, what the economy has done to the plan, what measures were taken between the past document and now and, finally, what the current document does. It's a good logical way to go about the problem: past plan, effects of events, intervening measures taken, this plan. When you see where the big numbers are you can then dive into the oleaginous muck and try to find out what's going on.
More credit where it's due: Over the past couple of decades this crucial table has drifted toward the rear of the document, even into the appendices. This year it's Table 1 and it's in the second introductory chapter, the “Economic and Fiscal Overview” (on p. 48, if you're following along). Good for the government! — though it could have dispensed with the first introductory chapter, “Canada Strong for All,” which is pure PowerPoint puffery.
There are only two numbered chapters in what looks like it's trying to be a Three Musketeers update. Chapter 1 is titled “Building Canada: All for Canada,” while Chapter 2 is “Benefitting Canadians: A Canada for All.” Get it? All for Canada and Canada for all! I wonder if there was discussion among the editors about whether reference to Alexandre Dumas' 1844 classic buddies adventure was too male-centric. We do still get little boxes scattered throughout the update — “gender and diversity impacts spotlights,” they're called — that detail the identity-politics implications of various update measures. Justin Trudeau haunts us still. You can't help but think that if Mark Carney had not come along to save the Liberal party, we'd now be rid of such performative nonsense.
Trudeau's influence is not just thematic, however. Judging from Table 1, it seems Carney's fiscal rule is exactly the same as his predecessor's: if you find a dollar, spend it.
Before update day Carney teased in interviews that good news was coming. The good news is in line two of Table 1: “Economic and fiscal developments since Budget 2025.” The developments have been very good: In the current fiscal year and the three that follow, the government has $42.6 billion more to play with than forecast in the budget delivered just five months ago.
Understanding the Fiscal Update
The spring fiscal update, while shorter than previous versions, still contains significant spending increases. Without booking update spending into the last fiscal year, the government would have missed its deficit target set just five months ago. This pattern of spending any found surplus raises questions about fiscal discipline.
Comparing Past and Present
Under both Trudeau and Carney, the approach appears consistent: any unexpected revenue is quickly allocated to new programs or expanded spending. Critics argue this lack of restraint could lead to long-term fiscal challenges, especially if economic conditions worsen.
The update also continues the tradition of including identity-politics impact assessments, a hallmark of the Trudeau era. While Carney has sought to distance himself from some of his predecessor's policies, these elements remain embedded in government documents.
