Ontario’s Debt Projected to Top Half a Trillion Dollars
Ontario is on track to reach a historic milestone—over half a trillion dollars in debt by 2027. According to the Ford government’s latest budget, the province’s net debt is expected to soar to $501.7 billion within two years, setting a new Canadian record.
Mounting Debt Sparks Political and Public Debate
Since Premier Doug Ford took office in 2018, Ontario’s debt load has climbed by nearly $150 billion. Fiscal watchdogs and opposition parties are sounding the alarm, warning that this growing burden will fall squarely on taxpayers’ shoulders. This year alone, interest on the debt will cost each Ontario taxpayer about $1,000.
Interest Payments Squeeze Essential Services
Critics highlight that Ontario will spend $51 billion on interest payments between 2025 and 2028. That makes interest the fourth-largest expense in the provincial budget, limiting the funds available for healthcare, education, and other vital services.
Ford Government Defends Spending Priorities
Despite the criticism, Premier Ford remains firm on his approach. He argues that cutting spending during economic uncertainty is not the answer, emphasizing continued investment in infrastructure, healthcare, and education. The government also points to Ontario’s improved credit rating and relatively low net-debt-to-GDP ratio as signs of fiscal health.
Calls for Fiscal Restraint and Smarter Investments
Opposition leaders urge the government to rein in unnecessary spending and focus on projects that deliver real value. The NDP, while supporting investments in hospitals and schools, questions the need for costly projects like the proposed $50 billion tunnel under Highway 401.
The Path Forward: Growth and Revenue
Premier Ford says the province’s strategy will rely on boosting revenues through economic growth and gradually paying down the debt. Still, he admits the half-trillion-dollar figure is “huge” and acknowledges the challenge ahead.
As Ontario’s debt approaches record levels, the debate intensifies over how to balance investment, essential services, and long-term financial responsibility.
