As everything gets more expensive for Canadians, MPs get big pay hike

MPs take a generous pay hike while Trudeau raises costs on the rest of us.

Get the latest from Brian Lilley straight to your inbox

Article content

As of April 1, it costs more to fill your tank and more to buy a drink after work, but you know who won’t notice, federal MPs who just got a big raise.

Advertisement 2

Article content

Yes, Canadians are the ones being treated like fools every single year.

Article content

I wish all of these cost increases were just bad jokes, a lame attempt at April Fools’ humour, instead they are annual realities.

The federal carbon tax just increased from $65 a tonne to $80 a tonne and despite all the evidence presented to him, Prime Minister Justin Trudeau is still telling you that you are better off. Trudeau, facing huge pressure from across the country not to raise the carbon tax, has been leaning heavily on the refunds and claiming eight out of ten families will get back more than they pay.

The Parliamentary Budget Officer has shown that once you factor in the total cost, the opposite is true, most pay more. Trudeau ignores that report and claims his tax has nothing to do with inflation, so let’s present a concrete example of why the PM is detached from reality.

Article content

Advertisement 3

Article content

Amanda, a reader in Ontario, emailed me her natural gas bill for March with a pre-tax total of $198.77. Of that charge, $52.66 or 26% of the total bill was the carbon tax charge, which of course, then had the HST charged on the carbon tax.

After the $6.84 of HST charged on the carbon tax, Amanda’s total carbon tax cost is $59.50.

There is no rebate on the HST that she paid on the carbon tax.

In addition, after the tax increase, the cost for the same amount of natural gas used will go up by $12.11 to $64.77. Meanwhile, the HST will also rise from $6.84 to $8.42 for a total carbon tax charge of $73.19.

In one month, that’s a significant increase of $13.69 or 23%, but Trudeau says there is no impact on inflation.

The annual tax increase on beer, wine and spirits isn’t as significant but given that it has been going on since 2017, it has had a significant impact. Since 2021, the annual tax increase has resulted in a cumulative and compounded increase of 10.5% on beer alone.

Advertisement 4

Article content

That gets charged to the producers, who then pass it on to consumers or the bars and restaurants that rely on these sales to operate. This results in higher prices for everyone involved, which of course means inflation.

What is more infuriating is that taxes already make up about 50% of the cost of alcohol in Canada and the federal government just adds more every single April 1.

This is on top of the increase to payroll taxes that saw smaller paycheques coming home after Jan. 1. It comes before the 33% increase to the airport security charge that will come into play on May 1.

And somehow, despite the carbon tax hike, the alcohol tax hike, three payroll tax hikes, and an airport tax hike, the Trudeau government will claim they aren’t contributing to inflation.

We apologize, but this video has failed to load.

About the only people who can afford this and not notice the price increases will be Canada’s MPs, who got a significant pay increase of 4.4% on Monday. MPs will see their base pay rise by $8,500 from $194,600 to $203,100 while the prime minister will see his pay increase by $17,000 from $389,600 to $406,200.

When you get generous pay increase like that, paying all of these extra nickel-and-dime costs the federal government is imposing is pretty easy.

For the rest of us, it eventually puts the squeeze on family budgets.

[email protected]

Article content

Leave a Comment