Carney Warns of ‘Sacrifices’ Ahead in Federal Budget Plan
Prime Minister Mark Carney is warning Canadians to brace for “challenges” and “sacrifices” as his government prepares a federal budget aimed at reshaping the country’s economic future.
Speaking to university students in Ottawa on Wednesday, Carney said his upcoming budget will focus on climate competitiveness, immigration reform, and international trade diversification — with the goal of doubling Canada’s non-U.S. exports over the next decade.
“If we don’t act now, the pressures will only grow,” Carney said. “We won’t transform our economy easily or in a few months — it will take some sacrifices and it will take some time.”
The prime minister described Canada’s economic strategy as a response to “a more dynamic, more competitive, more hostile world,” emphasizing that long-term growth depends on innovation and global partnerships.
Budget Talks with Opposition Leaders
Carney’s comments came just hours after he met privately with Conservative Leader Pierre Poilievre, as well as leaders of the NDP, Bloc Québécois, and Green Party, to discuss the upcoming budget — expected to be tabled on November 4.
Poilievre described the meeting as “good” but said Carney made no firm commitments.
“He didn’t commit to anything, so I’m looking forward to seeing what he comes up with,” Poilievre told reporters.
In a letter earlier this week, Poilievre urged Carney to deliver an “affordable budget” that includes broad tax cuts and limits the deficit to under $42 billion. He also called for an end to what he described as “hidden taxes on food,” including carbon taxes on fertilizer and farm equipment.
“Mr. Carney’s spending is totally out of control, and Canadians are paying the price,” Poilievre said.
Minority Liberals Face Budget Pressure
Carney’s minority government will need at least one opposition party’s support to pass the budget — a confidence vote that could trigger a federal election if it fails.
Liberal House Leader Steve MacKinnon admitted this week that securing enough support may be difficult.
“We’re starting to worry about getting the numbers,” MacKinnon said Tuesday, dismissing opposition demands as “ludicrous.”
The Liberals have described the upcoming budget as “generational”, setting the stage for what could be a significant deficit expansion aimed at funding long-term competitiveness and social programs.
Bloc and NDP List Firm Demands
Bloc Québécois Leader Yves-François Blanchet outlined six priorities for his party, including:
Increased federal health transfers to provinces
New infrastructure investments
Expansion of the Rapid Housing Initiative
Interest-free loans for first-time homebuyers
Higher Old Age Security payments for seniors aged 65–75
Blanchet said after meeting with Carney that his party’s demands are “absolute.”
“It’s not our job to help the government; it’s our job to help Quebecers,” Blanchet said. “They should consider what we ask.”
Meanwhile, NDP interim leader Don Davies said his party wants to see “substantial investments in jobs, health care, and housing,” but warned that it’s up to the Liberals to build consensus.
“Whether there’s an election is up to Mr. Carney,” Davies said. “It’s his job to craft a budget that can win support from at least one other party.”
Next Steps for Carney
Before the budget is tabled, Carney will travel to Southeast Asia to attend two multinational summits focused on trade and climate partnerships — part of his broader strategy to diversify Canada’s economic alliances beyond the United States.
As the prime minister put it, Canada’s transformation will not be quick or easy — but necessary.
“We’re building a stronger economy for a changing world,” Carney said. “That means hard choices, shared responsibility, and yes — some sacrifices.”
