Prime Minister Mark Carney has initiated a comprehensive review of all regulations across departments, fulfilling a pledge made during the federal election campaign. Shafqat Ali, president of the Treasury Board, emphasized the importance of regularly reassessing regulations for the well-being of Canadians. Declaring that reducing unnecessary bureaucracy is crucial for unlocking Canada’s economic potential, Ali underscored the significance of this initiative.
Carney stated that his government is committed to spending less and investing more to enhance efficiency, effectiveness, and attract private capital for economic growth, aiming to position Canada as a leader among G7 nations. The announcement instructed each minister to scrutinize regulations and propose measures to cut red tape. A newly established Red Tape Reduction Office will oversee the process, with organizations having 60 days to conduct reviews and report progress to Ali.
The Liberal Party’s platform specified that relevant federal departments, such as Transport Canada and Natural Resources Canada, must review and report on steps to eliminate outdated rules within the 60-day timeframe. Carney reiterated the need to control government spending, distinguishing between operational and capital expenses. The platform also outlined plans to reduce spending growth, eliminate waste, and leverage technology for a balanced budget within three years.
Finance Minister François-Philippe Champagne requested ambitious savings proposals from cabinet members to undergo a comprehensive expenditure review, aiming to manage public sector spending effectively. The initiative aims to address concerns raised by the NDP regarding potential cuts to public services, with the Treasury Board emphasizing the need for federal regulators to publicly disclose progress and priorities after the review period.
Citing data from the Canadian Federation of Independent Business, the Treasury Board highlighted the significant financial burden imposed on businesses due to regulatory compliance, amounting to an estimated $51.5 billion last year, with a substantial portion attributed to red tape. The announcement did not specify financial targets but emphasized the importance of transparency and accountability in the regulatory review process.