Doug Ford government spent $3.5B less than expected in first half of 2022-23, budget watchdog finds

Premier Doug Ford's government spent $3.5 billion less than expected in the first half of this fiscal year, says the province's budget watchdog.

In a 12-page report released Tuesday, the Financial Accountability Office said the Progressive Conservatives spent $80.5 billion between April 1 and Sept. 30.

But the Tories had budgeted to spend $84 billion in that period.

Treasury Board President Prabmeet Sarkaria stressed this is a snapshot in time" of expenditures.

It does not take into full consideration the investments that have been made and are going to be fully realized," Sarkaria said in the legislature.

We put $5.2 billion more than last year in health-care spending, the largest increase in the entire country," the minister said.

NDP MPP Catherine Fife (Waterloo) said it's unconscionable that, in the middle of a health-care crisis, the Ford government is choosing to underspend on health care by almost $900 million."

Indeed, overall health spending in the first two quarters was $859 million less than expected - a 2.4 per cent decrease.

Similarly, education spending was $413 million less, a 3.3 per cent decrease.

Children and social services spending was $244 million less, a 2.7 per cent decrease; colleges and universities spending was $99 million less, a three per cent decrease; and justice spending was $59 million less, a 2.2 per cent decrease.

Other program spending was $1.75 billion less than budgeted for, a 12.5 per cent decrease.

But the FAO, an independent officer of the legislature, stressed the province's overall spending plan for 2022-23 remained intact at $193 billion.

That suggests the second two quarters of the fiscal year will see increased expenditures.

Sarkaria said the actual amount spent in 2022-23 will be released in the province's public accounts next September.

Every step of the way this government has put forward record and historic spending into health care as we saw last year," he said.

Liberal MPP Stephanie Bowman (Don Valley West) said it appears to me that the government is sandbagging" by promising record spending and then not following through.

Their program plans just don't align with their spending plan," said Bowman.

Green Leader Mike Schreiner expressed outrage at the findings.

How this can happen at a time when our health-care system teeters on the brink of total collapse - when children are being transported hundreds of kilometres for urgent surgery because pediatric surgical wards are overflowing - is a complete neglect of duty," said Schreiner.

The FAO found that spending was up 4.7 per cent, or $3.6 billion, so far this fiscal year compared to the first half of 2021-22 at the height of the COVID-19 pandemic.

Two weeks ago, Finance Minister Peter Bethlenfalvy projected the government would have a $12.9-billion deficit this fiscal year.

That followed a surprise $2.1-billion surplus in 2021-22 as Ontario emerged from the pandemic.

The Tories are forecasting an $8.1-billion deficit in 2023-24, but that should drop to a $700-million deficit in 2024-25, suggesting they could balance the books in time for the June 2026 provincial election.

Robert Benzie is the Star's Queen's Park bureau chief and a reporter covering Ontario politics. Follow him on Twitter: @robertbenzie