Find $15B in spending cuts by October, Anand tells federal ministers

The Liberals pledged to reduce discretionary spending on government consulting, professional services and travel by 15 per cent or $7.1 billion over five years.

Treasury Board President Anita Anand is tasking federal cabinet ministers with finding $15.4 billion in government spending cuts by a deadline of Oct. 2.

A spokesperson for Anand says the government wants to refocus underutilized funds on critical services such as health care — and it doesn’t expect to cut any public-service jobs.

Monica Granados says the savings would meet a commitment in this year’s federal budget to reduce overall government spending by $14.1 billion from 2023 to 2028, and by $4.1 billion annually after that.

The Liberals pledged to reduce discretionary spending on government consulting, professional services and travel by 15 per cent or $7.1 billion over five years.

The government also promised to save $7 billion over four years on operations and transfer payments.

A letter from Anand to cabinet ministers, which was first reported on by The Globe and Mail, also asked ministers to engage with Crown corporations in their portfolios to find similar savings targets.

“I ask that you engage with those in your portfolio as soon as possible to provide leadership in achieving our government’s goal of sound economic and fiscal stewardship,” Anand said in the letter obtained by The Canadian Press.

The government said in its 2023 budget that comparable restrictions on spending by Crown corporations would lead to savings of $1.3 billion over four years and $450 million annually thereafter.