WINNIPEG – Manitoba Premier Wab Kinew is leaving the door open to financial support for people affected by possible tariffs and other actions that may be taken by United States president-elect Donald Trump.
Kinew is also promising help for small businesses hit by his government’s property tax increase.
In a year-end interview with The Canadian Press, Kinew said the provincial government is willing to consider aid if Trump enacts harmful policies after being sworn in on Jan. 20.
Trump’s threats include 25 per cent tariffs on all imports from Canada and Mexico unless the two countries stop illegal border crossings and prevent illicit drugs from entering the U.S.
“If there is a need to help people with economic uncertainty in a post-Jan. 20 Manitoba, I would think that some affordability measures would make sense,” Kinew said.
“I don’t want to commit to any specific measures, but just to say that we are thinking about what is an affordability tool or maybe a few affordability announcements we could make if there is economic uncertainty for the average family.”
Kinew has called on the federal government to respond to Trump’s demands for tighter border security and has promised to have Manitoba conservation officers help as extra eyes and ears at the border.
Affordability has been a key issue for Kinew’s New Democrats since they won the October 2023 election, although their efforts have, at times, been met with controversy.
They suspended the provincial fuel tax for a year to save motorists money and said it would help reduce grocery prices. Food prices in Manitoba, however, climbed faster than the national average during the tax holiday and led all other provinces in November, Statistics Canada data suggests.
The government promised a one-year freeze on electricity rates in 2025, even as Crown-owned Manitoba Hydro and the provincial government are both in the middle of consecutive deficits.
The government is also revamping the education property tax system as an affordability measure for people in lower-value homes, although the government would rake in more money overall due to increases on businesses, cottages and higher-value homes.
A new flat $1,500 tax credit on primary residences in 2025 is replacing a system of rebates and credits enacted by the former Progressive Conservative government.
As a result, people who own lower-value homes will pay less and owners of higher-value homes will pay more. Commercial property owners, who have been receiving 10 per cent rebates, are not eligible for the new credit.
Kinew is promising some sort of help in the new year for small businesses that are losing their rebates.
“I think some of what we’ll probably look at are, again, some of the steps on tax credits and rebates and stuff like that,” Kinew said.
“But some of them might also be targeting help for businesses in areas that they’ve been asking.”
Help for security systems might be increased as part of the plan, Kinew said.
The government launched a rebate program in the summer, offering up to $300 for security cameras, motion detectors and other items. Some groups complained that it’s a small portion of the cost of securing a business property.
“I think something in that space is interesting to us,” Kinew said.
Any new provincial aid may be constrained by the government’s ongoing deficits.
The province’s recent mid-year fiscal update showed the deficit is running $513 million higher than originally forecast in the budget. The government has promised to balance the budget by 2027.
This report by The Canadian Press was first published Dec. 31, 2024.
