In the news today: New analysis of federal finances, India says no to Canadian envoys

By Canadian Press on October 22, 2025.

Here is a roundup of stories from The Canadian Press designed to bring you up to speed…

Tax cuts hurt Ottawa’s fiscal position: report

A new analysis of federal finances ahead of the much-anticipated fall budget argues Ottawa’s fiscal position was made worse by its decision to drop counter-tariffs and cut income taxes.

Desjardins deputy chief economist Randall Bartlett says in a new outlook published ahead of the Nov. 4 federal budget that Ottawa’s deficit is likely to be among the largest in recent memory outside of a recession or pandemic.

He estimates the federal deficit will hit $74.5 billion for this fiscal year, $6 billion higher than the parliamentary budget officer’s projections.

Bartlett says higher spending on defence and infrastructure will push the federal government’s deficit up this year, but so too will Ottawa’s decision to cut income taxes over the summer and to drop counter-tariffs on the United States.

India says Canada not cleared to staff up embassy

India’s new envoy to Canada rejected Foreign Minister Anita Anand’s claim that New Delhi has agreed to restore Canada’s full complement of diplomats.

Indian High Commissioner Dinesh Patnaik said Ottawa must first resolve delays in accrediting his diplomatic staff in Canada.

“It’s a reciprocal trust,” Patnaik told The Canadian Press in an interview last Thursday. “Trust has to be built up on both sides.”

His comments come as the Carney government pursues a reset of its relations with India — two years after Ottawa accused New Delhi of playing a role in assassinating a Sikh activist near Vancouver, and one year after the RCMP accused the Indian government of involvement in homicides and acts of extortion and coercion in Canada.

NDP leadership contenders to meet in first forum

The five official candidates for the federal NDP leadership will get their first chance to sell themselves to party members at a forum in Ottawa on Wednesday evening.

The forum is being hosted by the Canadian Labour Congress and will see CLC president Bea Bruske hold one-on-one discussions with each of the candidates.

Documentary filmmaker Avi Lewis, Alberta MP Heather McPherson, union leader Rob Ashton, B.C. city councillor Tanille Johnston and organic farmer Tony McQuail have all been accepted as candidates for the race to replace Jagmeet Singh, who resigned last year after the election.

MP Don Davies is serving as the interim leader in the meantime.

Spotlight moves to legislature in teachers strike

The spotlight is getting ready to shift to the Alberta legislature as a provincewide teachers strike enters its 12th school day.

Premier Danielle Smith’s government is preparing to introduce its throne speech Thursday to begin the fall sitting.

A number of parents groups, who rallied at the legislature the day before the strike began Oct. 6, are urging others to again gather there to support teachers and demand more funding.

Both sides are gearing up for government to introduce legislation next week that would order teachers back to work.

Online tool evaluates workplace accessibility

A new online tool is available to help businesses assess the level of accessibility in their workplace, and make improvements to support employees with a broad range of disabilities.

The free tool known as AccessPath was created by the Canadian Council on Rehabilitation and Work, which launched it this October to coincide with National Disability Employment Awareness Month.

It aims to make businesses aware of barriers facing their current or prospective employees with disabilities and offers solutions to close those gaps.

Recent data from Statistics Canada shows that 49 per cent of employed Canadians with disabilities encounter barriers in their physical workplace.

Whale Sanctuary Project wins Nova Scotia approval

Organizers behind a plan to establish North America’s first coastal refuge for captive whales say the Nova Scotia government has granted them approval to start construction on the province’s eastern shore.

The U.S.-based Whale Sanctuary Project announced Tuesday that Premier Tim Houston’s cabinet had granted the organization a 20-year lease for 83 hectares of Crown lands and coastal waters near Wine Harbour, N.S.

“This is a great day for the Whale Sanctuary Project and for the whales,” the group said in a statement on its website. “We look forward to pressing ahead in every way to establish the whale sanctuary.”

The organization’s online announcement links to a cabinet order on a government website. It confirms the government’s approval, which Houston’s government had yet to announce by late Tuesday.

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This report by The Canadian Press was first published Oct. 22, 2025

The Canadian Press