Prime Minister Mark Carney stands next to King Charles after the King delivered speech from the throne in the Senate in Ottawa, on May 27.Blair Gable/The Associated Press
The first Throne Speech under Prime Minister Mark Carney reflected his broad aspirations to unleash economic growth by breaking down trade barriers and building more of everything – all in expedited fashion.
But it also marked a notable shift from the first Throne Speech under Justin Trudeau a decade ago, where the former prime minister laid out his plans to expand the country’s social safety net by introducing the Canada Child Benefit and enhancing the Canada Pension Plan.
While both Throne Speeches mentioned a “middle-class” income-tax cut, the speech delivered Tuesday by King Charles III did not promise new social programs or spending that would directly flow to Canadians.
Instead, the King said the government’s “core mission” will be building the strongest economy in the G7, while pledging the “largest transformation in the Canadian economy since the Second World War.”
The contrast reflects how the Liberal agenda has seemingly shifted under Mr. Carney from Mr. Trudeau’s time in office, with today’s federal government narrowing its focus on the country’s economic performance as it faces debilitating tariffs from its largest trading partner, the United States.
Michael Dobner, national leader of economics and policy practice at PwC Canada, said that “the music coming out of Ottawa” is a lot more business-friendly under Mr. Carney.
“This government seems to be talking about increasing the cake while the previous government was talking about cutting the existing cake in a more equal manner. So this is a big shift in government priorities,” Mr. Dobner said in an interview.
The government’s renewed emphasis on the economy has been well received by the business community, which is urging swift action amid heightened uncertainty.
Business Council of Canada president Goldy Hyder said in a statement that the plan outlined in Tuesday’s Throne Speech was “ambitious,” but that the challenge ahead for the government will be to turn that ambition into “tangible, urgent action.”
Tuesday’s Throne Speech echoed many of the priorities Mr. Carney campaigned on, including doubling the rate of homebuilding, limiting energy projects to a single review, and spending less on government operations.
Canada’s changing relationship with the U.S. and shifts in global trade were front and centre in the speech as well, as tariffs threaten to send the economy into a recession in the coming months.
Perhaps one of the starkest pivots made under Mr. Carney is on natural resources as he vows to make Canada an “energy superpower” in both clean and conventional energy, something that the King also mentioned in the Throne Speech. Climate change was mentioned, but only in passing.
With the federal government’s priorities clearly laid out, Mr. Carney has acknowledged that its success will be measured in results, including the prices Canadians pay and the income they earn.
Mr. Dobner said that although Mr. Carney’s economic goals are geared toward the long term, the government can begin to show results within months if it tackles things such as reducing permitting timelines and simplifying the regulatory framework.
“That will translate into support from the public, because you will actually see a change in investment flows, which were not coming to Canada in sufficient numbers over the last few years,” Mr. Dobner said.
The Logic recently reported that Industry Minister Mélanie Joly has been given 60 days to cut red tape in her department, which houses many of the government’s innovation programs.
Mr. Carney will also be meeting with premiers next week in Saskatoon after he asked them to submit infrastructure wish lists for their provinces.
