TORONTO, May 2, 2013 /CNW/ - The 2013 Ontario Budget is a mixed bag for
business, according to the Ontario Chamber of Commerce (OCC).
The OCC applauds progress on some measures that will improve Ontario's
overall competitiveness. These include maintaining the current
Corporate Income Tax rate, extending the Capital Cost Allowance for
Manufacturers, movement on Pooled Registered Pension Plans (PRPPs), and
new investments in transportation infrastructure.
Some measures are more disappointing. There is no clear plan on how
government will cut program costs. The OCC firmly believes that
government must transform service delivery and adopt new business
models in order to protect access to public services.
Earlier this month, the OCC and Certified General Accountants of Ontario
called for more private sector delivery of government services as a way
to constrain costs and put Ontario back on the path to fiscal
Further, the OCC is concerned about the government's move to interfere
in pricing on auto insurance. There must be clear evidence of collusion
or monopoly in the marketplace to justify this type of government
intervention. The unintended consequences of this move could be harmful
to the industry and ultimately consumers.
"This year's budget shows progress on many issues that matter to our
members," says Allan O'Dette, President & CEO of the Ontario Chamber of
Commerce. "We applaud progress on Pooled Registered Pensions Plans, and
holding the line on Corporate Income Tax will keep us competitive."
O'Dette also notes that "OCC members also realize the need for new
revenue tools to fund transportation improvements in the GTHA. However,
their support is not unconditional." "We need to see clear evidence
that revenue tools will be dedicated to transportation improvements and
that government is working hard to make service delivery more
efficient," he adds.
Next week, the OCC and GTHA chambers of commerce and boards of trade
will release the results of extensive consultations on revenue tools.
The OCC is also concerned that the deficit for 2013-14 is projected to
be approximately $2 billion higher than in 2012-13.
"It looks like some important decisions have been deferred. We are
looking for the government and opposition to work together to deliver a
plan for transforming the way government works," O'Dette says.
About the Ontario Chamber of Commerce (OCC): The OCC is a network of 160
local chambers of commerce and boards of trade in the Province of
Ontario, representing 60,000 businesses of all sizes, in all economic
sectors and from every area of the province.
SOURCE: Ontario Chamber of Commerce
For further information:
or to schedule an interview, contact:
Neville McGuire, Manager of Media and Communications
P: 416-482-5222, ext 2410