-- CTF Warns Canadians To Beware Of Too Good To Be True Liberal Promises --

OTTAWA: The Canadian Taxpayers Federation (CTF) urged Canadians to be cautious in assessing the Prime Minister's statements this past weekend concerning debt reduction and tax cuts.

"We view the Prime Minster's remarks to the Canadian Chamber of Commerce with great suspicion," noted CTF Federal Director Walter Robinson. "If the Government is serious about debt reduction and tax relief, it must commit to a
real debt reduction plan and provide taxpayers with meaningful
tax relief instead of the shell game they have seen so far."

Robinson went on to state, "it is true that the government is reducing market debt but they have done this by increasing our
non-market debt. This happens when the feds borrow money from federal pension plans and the CPP to meet our debt obligations. It's similar to using your Visa to pay the MasterCard bill."

The Prime Minister also committed to reducing debt-to-GDP levels from the current level of 70% to 55% by the year 2002. Again, Robinson was less than impressed. "These are merely words from a Prime Minister who doesn't have the greatest track record of keeping his promises. If he is indeed serious about this commitment, he should immediately instruct Finance
Minister Paul Martin to introduce debt reduction legislation that would make debt reduction the law of the land. Mr. Martin's forthcoming appearance before the House of Commons Finance Committee this October is the ideal opportunity for the government to clearly show its resolve in tacking the national debt!"

Robinson reserved his harshest words for the tax cuts promise.

"It is extremely disingenuous for the PM to boast of the tax cuts they have supposedly given to Canadians. Their $7.7 billion of tax relief over the next three years is nothing more than a shell game. The combined effects of bracket creep, closure of loopholes in the name of so-called "fairness" and the 73% hike in CPP premiums have obliterated any effects of Jean and Paul's so-called tax cut."

"To be fair, the Prime Minister's speech is somewhat encouraging. But a speech is nothing more than words on paper. We will continue to fight to ensure that these words become policy and law and more dollars are left in taxpayers' pockets," concluded Robinson.