The Ontario government could be looking at a budget surplus in the near future, although health care spending appears to be lower than expected.For the fiscal year of 2022-2023, the FAO projects a budget deficit of $2.5-billion. This differs drastically from the $12.9-billion deficit projected by Queen’s Park during its fall economic statement.
As revenue starts to eclipse spending, they have projected surpluses of $1.0-billion in 2023-2024. That could increase to $7.6-billion in 2026-2027.The FAO noted health care funding would likely be $5.0-billion lower than expected, over a three-year period. Similar shortfalls are being projected for education and justice .
Over the next three years, the government will be putting $19.7-billion in excess funds into “other programs,” which the FAO noted would mainly be kept as contingency money. “If the government intends to support its existing programs and announced commitments, then it will need to move funds from the contingency fund to cover the shortfalls identified by the FAO,”“I am extremely concerned that [Premier Doug] Ford is taking money from health care and education and putting it in ‘contingency funds’ that are unallocated and not transparent,” said NDP Finance Critic Catherine Fife.