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‘A Very Surprising Number’: Federal Government Aims to Find $25B in Savings over Three Years

CANADA, JUL 8 – The federal government targets $25 billion savings with phased 15% budget cuts over three years, risking thousands of public service jobs, according to union and government sources.

  • On Wednesday, Prime Minister Mark Carney announced phased federal spending cuts totaling 15% over three years, aiming for $25 billion in savings.
  • Driven by long-term fiscal commitments, the government continues the Refocusing Government Spending initiative halted by prorogation and seeks to create a pool of savings for reallocation.
  • PSAC National President Sharon DeSousa warns that public service cuts threaten service quality and livelihoods, calling for government-worker collaboration amid union concerns over job losses and service impacts.
  • Departments must submit spending plans by August 28, with a new 'red tape review' launching and ministers given 60 days to report progress, as the government plans to implement significant cuts.
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Mark Carney's Liberal government is calling on federal departments to cut spending by 15% by 2028-2029.

·Montreal, Canada
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  • 53% of the sources lean Left
53% Left

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TVA Nouvelles broke the news in Montreal, Canada on Tuesday, July 8, 2025.
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