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Cost of living pressures continue in Saskatchewan as provincial election draws closer

Kelly Gallagher / March 24, 2023

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The Saskatchewan Party government released its 2023-24 budget this week. The biggest news coming from it was the government announcing a $1 billion surplus.

Resource revenue in the province has climbed significantly over the past year which has helped government coffers grow, hence the surplus.

Understandably, being dependant on a resource-based economy leaves governments vulnerable to market conditions from budget cycle to budget cycle. Expanding provincial economic growth through increased trade and value-added initiatives is the future of economic stability for the province.

The government therefore determined that the best action to take was to dedicate all of the surplus to paying down the debt because resource revenue will always fluctuate, and this may not happen again next year. This will, according to the government, save $44 million a year in interest payments which can go to programs and services rather than the banks.

While paying down the debt is commendable, pocketbook issues impacting the average taxpayer went unheeded. The government promoted that there were no tax increases in the budget, which is true.

However, with the exception of anyone who has not been paying attention, the Saskatchewan public is facing the same inflationary pressures that the rest of the world is experiencing.

Taxes may not have increased, but the cost of living has gone up through increases to just about everything including the government-controlled power and gas utilities. Every person who fills up their vehicle or goes grocery shopping is reminded of the  financial struggle that inflation has imposed on their world.

As a society, it is prudent to pay off our debt. However, the economic issues that hit closer to home always dominate the political discourse. Next year is an election year and the call for tax relief will only grow louder.

Filed Under: Politics, Saskatchewan politics Tagged With: inflation, Saskatchewan budget

Kelly Gallagher

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