Hon. Yonah Martin (Deputy Leader of the Opposition): My question is for the Government Leader in the Senate.

Last week, the Senate Banking Committee heard from Kevin Page, the former Parliamentary Budget Officer, who told the committee that an expected winter recession will hurt small businesses significantly. In fact, the combination of three factors will hurt small businesses, the backbone of the Canadian economy: a recession, high interest rates and inflation. Those mean higher costs for businesses and less money for consumers.

Mr. Page confirmed this, saying:

. . . That will hurt small businesses significantly because, with these higher interest rates, people will not want to use credit to go out and spend.

This recession will be caused by high interest rates, which are the direct result of the reckless spending by the Liberals. Leader, what is the government’s plan to help small businesses that will suffer in 2023?

Senator Martin: In addition to higher costs caused by inflation and higher interest rates, the government will hurt small businesses by increasing energy costs and payroll taxes. It seems the government is either deaf to the demands of the business community or has no interest in helping small businesses.

Leader, why won’t the government cancel its planned hikes of carbon and payroll taxes that will hurt small businesses?

Senator Martin: Government leader, not everyone has an inflation-proof job. The number of Canadian families seeking debt relief is increasing. In September alone, the number of insolvencies rose by 3.1% — and they are not alone.

In the third quarter, the total number of Canadian business insolvencies increased by 48.5% compared to last year: almost 50%. Increased borrowing costs, inflation, production and labour issues, as well as a government that won’t cap its own spending have created the perfect storm. Leader, when will the government cap their spending and cancel their planned tax hikes?

Senator Martin: While Canadians will struggle to heat their homes, the impact of rising fuel costs and, by extension, food prices in Indigenous communities will be staggering. Food prices in remote Indigenous communities are already up to 2.5 times higher than the national average, and rising fuel prices will compound inflation’s toll on Indigenous families. While the minister monitors the situation, Indigenous families will have to get by with less food and heat this winter.

Senator Gold, what plans does the government have to address the increased pressure facing Indigenous communities this winter?

Hon. Yonah Martin (Deputy Leader of the Opposition): My question is for the government leader. Canadians who use natural gas or electricity to heat their homes can expect their bills to rise between 50% to 100%, on average, this winter. Some consumers could see their bills rise by as much as 300%. While the war in Europe and seasonal demand are two of the factors driving up costs, so, too, are inflation and increases in the federal carbon tax.

Leader, with respect to the latter, will the government ensure Canadians will be warm this winter and freeze their tax hike?

Hon. Yonah Martin (Deputy Leader of the Opposition): Minister, Canadians from coast to coast to coast are being crushed under the mounting pressure of grocery costs with food prices outpacing the general inflation rate for several months in a row.

On Tuesday, Statistics Canada reported that grocery prices have risen 10.8% since last year, the fastest pace we have seen in over 40 years. As Minister of Crown-Indigenous Relations, you are undoubtedly aware this pressure is felt all the more pointedly by Indigenous communities living in remote regions of the country. According to the non-profit Canadian Feed the Children, the 9% surge in food prices most of the country is grappling with will actually feel like 20% for remote Indigenous communities. This is unacceptable.

Yesterday, you issued a statement in which you summarized the work you did for Canadians and Indigenous communities over the summer. However, there was not a single mention of food security and grocery prices, even though food inflation is currently —

Hon. Yonah Martin (Deputy Leader of the Opposition): Honourable senators, my question for the government leader concerns the escalating cost of living for Canadians. Yesterday’s Consumer Price Index numbers clearly show that the price for food has risen at the fastest pace in the last four decades. Conservatives have spent the last 24 months warning the government about inflation and the consequences of out‑of‑control spending. Yet the Prime Minister continues to spend and costs continue to rise. Now Canadians face a 10.8% increase in the cost to feed their families. Leader, when will the government finally realize they were wrong all along and cap government spending?

Hon. Yonah Martin (Deputy Leader of the Opposition): Honourable senators, my question for the government leader concerns the high cost of living.

May’s record inflation of 7.7% is the biggest year-over-year increase since January 1983 — almost 40 years ago. Statistics Canada reported that Canadians paid 48% more for gas in May of this year than they did just one year prior.

Many countries have helped their citizens deal with high energy costs. On Sunday, South Korea announced that starting on July 1 and until the end of the year, taxes on gas and diesel will be further reduced to help ease the burden on consumers; a fuel tax cut took effect in Germany on June 1; and the Netherlands lowered their gas tax in April, also through to the end of the year. These are just a few examples, leader.

Canadians are finding it increasingly difficult to make ends meet. The Liberal government could do something about this by providing tax relief on gas. Will you do so?

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Senator Martin: Yesterday American President Joe Biden announced his support for a three-month suspension of federal gas and diesel taxes and encouraged U.S. states to remove their own taxes on fuel. President Biden said he supports doing this to give working families some breathing room.

In contrast, our Minister of Finance seems to think she has done enough to fight inflation in Canada and has nothing new to offer families struggling to get by. In the other place on Tuesday, when Minister Freeland was asked to cut taxes at the pumps, she once again did not give a direct answer.

Leader, how much higher does inflation have to go before the Trudeau government will help Canadians having difficulty paying for gas just to drive to work?

Hon. Yonah Martin (Deputy Leader of the Opposition): Government leader, today, I’m going to give you an opportunity to provide a better answer than you did yesterday when I asked you about the lack of details on changes to the First-Time Home Buyer Incentive. Last month’s budget provided no details on how the NDP-Liberal government will change this program or when these changes will be in effect.

This is a serious matter for Canadians. April’s record inflation, which Senator Plett referred to earlier, was largely driven by the cost of groceries and the cost of shelter. In fact, Statistics Canada revealed that in April, shelter costs rose at their highest pace since 1983 — almost 40 years ago.

Leader, when will Canadians learn how you will change the First-Time Home Buyer Incentive and on what date those changes come into effect?