Alberta leaders hoped to see more from spring economic update

Some Calgary business leaders say they were hoping for more affordability measures for Albertans in Tuesday's federal spring economic update.

The federal government tabled its spring economic update Tuesday, with the balance sheet leaving many in Alberta wanting to see more for the province.

The fiscal update promises to spend billions on a strategy to train more skilled workers to deliver on the government’s plan to build big.

It also shows that while the federal deficit is $11.4 billion lower in the last fiscal year than what was projected in the 2025 federal budget, the deficit is tracking to only decline nominally in the years ahead.

“We have lowered our projected deficit for 2025-2026 by more than $11 billion. This is at the core of being fiscally prudent,” said Finance Minister Francois-Philippe Champagne.

But while there are few new affordability measures, local Calgary businesses wanted to see more support.

“We would have looked for some relief on the capital gains, (and) we would have looked for some incentives for companies to continue to grow,” said Calgary Chamber of Commerce CEO Deborah Yedlin.

“The lack of labour has pushed up costs for all sorts of projects. To have a greater supply of labour available will mean that the cost pressures won’t be as high.”

Calgary Mayor Jeromy Farkas says royalties from high oil prices should help the city receive some much-needed help federally.

“Bluntly, as more money is coming in at the provincial and federal government, specifically around resource revenues, municipalities need a share of that in order to be able to meet the growing needs of our growing population,” Farkas said.

The fiscal update also includes a new commitment to invest in sport in Canada “from playground to podium.”

With $755 million earmarked for the initiative, Ottawa says its aim is to expand access to sport by better utilizing new and existing infrastructure and offering more support to Canadian athletes.

Farkas said he will make sure Calgary will see as much from that fund as it can.

“As the mayor of a big city, I’m going to be advocating for as much of a fair share of that funding as possible,” Farkas said.

The government has announced that effective Jan. 1, 2027, it intends to reduce the Canada Pension Plan contribution rate from 9.9 per cent to 9.5 per cent.

The Liberals estimate this will translate into annual savings of approximately $133 for an employee earning $70,000 a year, with comparable savings for their employer.

The provincial government says it is reviewing the update in detail to ensure it delivers for both Canadians and Albertans.

“Canada’s economy is built on Alberta’s oil and gas and agriculture sectors which drive exports, jobs, and national resilience, which is why we will always advocate for Alberta’s contribution to be better recognized and supported as part of Canada’s growth strategy,” Alberta Finance Minister Nate Horner said in a statement.

With a newly minted majority Liberal government, all motions and legislation approving the spending within the spring economic statement, are expected to pass with ease once debate ends.

— With files from CTV National News’ Rachel Aiello