Montreal’s 2025 Budget Criticized for Tax Hikes and Financial Mismanagement
Montreal’s City budget for 2025 totals $7.28 billion, marking a four percent increase from last year. This spending increase reflects a rise of $2.1 billion since 2017. Alan DeSousa, the Official Opposition spokesperson for financial matters, criticized the budget, calling it a “bad Christmas present.”
DeSousa highlighted that the current administration, Projet Montréal, has raised citizens’ taxes by 38 percent over eight years. He noted that inflation was only 25 percent during this period, resulting in an additional tax bill of $1,384 for residents. He stressed the need for smarter spending rather than increased spending, warning that the city’s growing debt would burden future generations.
St-Laurent, where DeSousa serves as borough mayor, experienced a notable tax increase of 7.7 percent for non-residential properties. Lachine’s tax increase was even higher at 9.6 percent. DeSousa expressed concern that such hikes could deter investment in the community.
What are the main criticisms Alan DeSousa has regarding the proposed Montreal budget for 2025?
Interview with Alan DeSousa: Critique of Montreal’s 2025 City Budget
Interviewer: Thank you for joining us, Alan DeSousa. Montreal’s proposed budget for 2025 has sparked significant debate. To start, can you explain why you feel this budget is a “bad Christmas present” for the citizens of Montreal?
Alan DeSousa: Thank you for having me. The budget, totaling $7.28 billion, represents a 4% increase from last year, which is alarming given that citizens have already faced a tax hike of 38% over the past eight years. This massive increase far outpaces general inflation, which was only 25% during the same timeframe. I believe this is a burden that residents should not have to bear, especially during these economically challenging times.
Interviewer: You mentioned that the average tax bill has risen by $1,384. How do you see this affecting everyday citizens?
Alan DeSousa: It’s a considerable financial strain for many families. This increase in taxes, without a corresponding increase in services or infrastructure that directly benefits residents, means that citizens are essentially paying more but not receiving more in return. This could lead to a loss of trust in our local government and its ability to manage taxpayers’ money wisely.
Interviewer: Can you elaborate on the implications of the tax increases noted in boroughs like St-Laurent and Lachine?
Alan DeSousa: Absolutely. In St-Laurent, we’ve seen a tax increase of 7.7% for non-residential properties, while Lachine faced an even steeper hike at 9.6%. Such drastic increases are likely to deter businesses from investing in or staying within these communities. This not only affects local economies but also employment opportunities for residents. It’s a detrimental cycle that needs to be addressed.
Interviewer: Another concern you’ve raised is the growth of municipal staff. Can you provide context on this?
Alan DeSousa: Since Projet Montréal took power, we’ve seen an explosion of over 3,500 additional employees in the municipal workforce. What’s particularly concerning is the 36% increase in managerial positions compared to just a 1.5% increase in blue-collar workers. This disproportionate staffing not only raises questions about the efficiency of our city’s operations but also reflects a misalignment in priorities. We need to focus on effective service delivery rather than bloated bureaucracies.
Interviewer: Lastly, can you discuss the allocation towards homelessness and housing in this budget?
Alan DeSousa: Quite frankly, it’s unacceptable. Only 0.1% of the entire city budget is earmarked for tackling homelessness and housing issues. In a city facing such profound challenges with affordable housing and homelessness, this minimal investment shows a clear neglect of urgent social priorities. We urge the current administration to reassess their spending priorities, focusing more on the needs of our vulnerable populations.
Interviewer: Thank you for your insights, Alan. It seems there is a call for considerable re-evaluation of budget priorities moving forward.
Alan DeSousa: Thank you. Yes, it’s critical that we redirect our efforts toward smarter spending that genuinely benefits our citizens and prepares for a sustainable future.
The Opposition also raised alarms about the substantial growth in municipal employees since Projet Montréal took power. There are over 3,500 additional staff, including a 36 percent increase in managers compared to only a 1.5 percent increase in blue-collar workers.
Lastly, the group criticized the low investment in homelessness and housing, stating that only 0.1 percent of the city’s budget is allocated to these issues. The Opposition urges a reevaluation of spending priorities to better support the community.