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PBO flags gaps in fiscal update

Cheryl Bowman, The Rural Alberta Report

May 4, 2026 at 1:00:15 p.m.

PBO flags gaps in fiscal update

Canadian Politcs

Canada's new parliamentary budget officer is raising concerns about the federal government's spring economic update, saying key spending plans lack the detail needed for proper parliamentary oversight.


Annette Ryan, who took over the role last month, said the update does not provide enough information on how new spending commitments will be measured or what results Canadians should expect. She said Parliament needs clearer benchmarks to assess whether government programs are delivering value.


The criticism comes days after Finance Minister François-Philippe Champagne tabled an economic statement that projected a smaller deficit than previously forecast, helped by stronger revenues and higher commodity prices. The update also included tens of billions of dollars in new spending and tax measures over the coming years.


Ryan said the lack of measurable targets makes it more difficult for parliamentarians to hold the government accountable. Without clearer performance indicators, it becomes challenging to determine whether spending is achieving its intended outcomes or simply adding to Ottawa's long-term fiscal burden.


Her office also noted that the projected deficit for the current fiscal year is substantially higher than estimates released by the Parliamentary Budget Officer earlier this year, reflecting the scale of new spending announced in the update. The government is forecasting a deficit of $66.9 billion for 2025-26, lower than its previous projection but still a significant shortfall.


The spring economic update included major new commitments tied to skilled trades, housing, infrastructure, defence and industrial development. While the government says the measures are intended to strengthen economic growth and improve affordability, Ryan indicated that better disclosure will be necessary as those programs move forward.


Ottawa is moving ahead with another round of large-scale spending while economic growth remains modest and global uncertainty persists, placing added focus on how effectively those funds are tracked and evaluated.


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