Quebec’s next government will need to attain budgetary savings of $2 billion as early as next year to stay on course for a balanced budget.
This was just one conclusion from the Quebec Auditor General’s analysis of the 2026 pre-election report, unveiled on Monday.
In it, the AG stated that the government would have to tighten its belt for several years to comply with the Balanced Budget Act, which requires the deficit to be eliminated by 2029–2030.
In 2028–2029, the financial framework calls for estimates of $3 billion, in addition to a $1.85 billion shortfall to be eliminated.
The existence of a deficit, however, comes as no surprise in the lead-up to the election.
In his last two budgets, Finance Minister Eric Girard had mentioned that this would be the case over the coming financial years.
The Ministry of Finance’s response, contained in the report, defended its decision to leave a deficit to be cleared in the financial statements.
According to the ministry, the decision avoided cuts that would not have been necessary if the economic situation were better than expected.
The ministry pointed out that the deficit is calculated after the payment to the Generations Fund.
Before the payment, there would have been a budget surplus in 2029–2030.
Overall, the Auditor General of Quebec said it considers the government’s assumptions “plausible,” but notes that achieving them will be a challenge.
–This report by La Presse Canadienne was translated by CityNews
