What the latest federal budget means for Calgary

Ottawa has unveiled its latest federal budget, which includes more than $39 billion in net new spending over the next six years.

Among the new expenses:

• $1.5 billion pharmaceutical startup;
• $6.1 billion for new disability benefits; and
• $2.5 billion in new carbon credits that will benefit nearly 600,000 small businesses.

While there have been rumors of a potential wealth tax to offset the new spending, the government is instead increasing the capital gains tax rate.

12.6 percent of corporations feel the impact.

“We are concerned about the level of corporate taxation because it limits our ability to invest in innovation,” said Ruhi Ismail-Teja, vice-president of policy and external affairs for the Calgary Chamber of Commerce.

“It limits our ability to invest in decarbonisation and limits our ability to continue to invest in the workforce and hire.”

Also on Tuesday, the plan is to open federal lands for new homes.

Ottawa is leasing a property in Calgary's Curry to housing providers to build about 100 homes.

$228 million going to Calgary through Ottawa's Housing Accelerator Fund.

That money was previously pledged and is contingent on adopting redistricting rules that the council will discuss next week.

The mayor is satisfied with the housing money.

“This budget seems to have a lot of focus on housing. They also seem to be interested in investing in the infrastructure that communities need to grow,” Mayor Jyoti Gondek said.

“Once again, there is no talk of a better, more sustainable solution to how the federal government funds municipalities.”

The Premier says this is a high-spending budget that won't help Albertans with affordability.

“It means higher debt, it means higher financial bills. They talk about intergenerational fairness in the budget – it's not fair, it's about overspending today and forcing future generations to pay it back,” said Premier Daniel Smith.

The province accuses Ottawa of fueling the inflationary crisis through overspending and excessive regulation.