We woke up yesterday expecting a simple fall economic statement. Instead, we got chaos.
What happened: Chrystia Freeland abruptly resigned as Canada’s finance minister on the day she was meant to deliver her fall economic statement. In a letter posted online, Freeland claims she chose to leave after Prime Minister Justin Trudeau asked her to move to another cabinet role.
- It’s the second unexpected resignation in as many days, with Housing Minister Sean Fraser announcing he will step down to spend more time with his family.
- Freeland said she and the PM had disagreed lately, as she took thinly veiled shots at his policies, calling out “costly political gimmicks” — did she mean the GST holiday?
- It was rumoured that Trudeau was angling to replace her with former Bank of Canada governor Mark Carney, though MP Dominic LeBlanc was swiftly sworn in as the replacement.
Why it matters: Freeland’s resignation has thrown the future of the current government into doubt, with Conservative leader Pierre Poilievre, NDP leader Jagmeet Singh, and several Liberal MPs calling for Trudeau to step down. Sources told CTV News he’s considering it.
Meanwhile: The fall economic statement was tabled. It portrayed the economy positively, even claiming that Canada had achieved a soft landing. However, it also showed that the projected deficit for this fiscal year is $61.9 billion, over $20 billion more than promised.—QH