‘People’s victory’ means pain ahead

NDP leader Adrian Dix couldn’t contain his glee at the result of the harmonized sales tax referendum. Bill Vander Zalm is thrilled too, still apparently unaware that he has taken money away from the poor and given it back to his fellow wealthy B.C. residents.

Bill Vander Zalm hops in his Mercedes S550 after his victory news conference in Vancouver Friday. He probably still believes he has helped the poor.

VICTORIA – NDP leader Adrian Dix couldn’t contain his glee at the result of the harmonized sales tax referendum.

He seemed positively giddy that the provincial budget will forgo $3 billion in revenue over the next few years, and clearly relishes the prospect of getting back to the legislature in October to resume his demands for more spending in every ministry of the B.C. government.

He can start soon, standing in passionate solidarity with B.C.’s 40,000 public school teachers as they strike to press their demands for huge increases in salary and benefits that already exceed what most private sector workers will ever see.

Bill Vander Zalm was thrilled too, beaming that famous smile as he climbed in his long black Mercedes to resume his comfortable retirement. He never expected to be able to leave the province in a mess one more time, but fate has been kind to him. He probably still believes he has helped the poor, as he claimed in his nonsensical rants against the HST.

This is the “people’s victory” that Dix crowed about. B.C. and the rest of the country are entering a perilous time where retired people outnumber the young and pension plans, private and public, grow increasingly fragile. And in classic baby-boomer style, our political response is self-centred and unrealistic.

An efficient tax system that ends the advantage given to services over goods, while raising revenue to lift up the poorest people, is now a dirty word. Any kind of meaningful tax reform will be politically radioactive for years to come.

Resource industries, the movie business and other private sector job generators can now plan for a significant B.C. disadvantage in 2013. Ontario can celebrate. Meanwhile, demand for government services to take care of the great grey blob that is my generation can only soar.

It’s not just old people outnumbering the young. I mentioned a while back that Canada has already passed another significant milestone. Statistics Canada reported in May on the people fortunate enough to have employer-supported pension plans in addition to government pension. And it turns out that 2010 was the first year in the country’s history where more public sector workers enjoyed this benefit than private sector workers.

Author Mark Steyn talks about this problem in relation to the troubles in Europe. He refers to the “Government Party,” which is the ever-growing public sector, and the “Dependency Party,” which is everyone on pensions and welfare. When those two “parties” constitute a majority, they can force the government to satisfy their demands without regard to economic reality.

This is what has happened in Greece. It is very close to happening in other European countries, and today B.C. is a step closer to it.

When the verdict came in on the HST referendum, Finance Minister Kevin Falcon talked about going around to consult the public on how to reinstate the provincial sales tax. He vowed that B.C. will somehow still balance its budget in two years, and seemed to leave the door open to some minor modifications of the sales tax system.

Premier Christy Clark quickly shut that door. It would be “disrespectful” to do anything other than bring back the post-war PST in all its rustic beauty, with the little boutique exemptions like bicycles and Toyota Priuses that have been attached by politicians over the years.

Self-employed business people can now look forward to collecting and remitting two separate taxes again.

There will be a cost to this “people’s victory.” It will involve reducing public services, raising taxes or both.

Tom Fletcher is legislative reporter and columnist for Black Press and BCLocalnews.com

twitter.com/tomfletcherbc

Just Posted

State of local financial crisis declared in Fort St. James

The District will have a job fair on July 31 to help workers find transitioning jobs

Update: Severe thunderstorm watch upgraded to warning for Cariboo North including Quesnel

Potential for strong wind gusts, large hail and heavy rain in the afternoon

Northern B.C.’s Ridley coal terminal sold, Canada divests, First Nations to own portion

Ten per cent of shares transferred to the Lax Kw’alaams Band and the Metlakatla First Nation

Vanderhoof Clippers are working towards getting a booth rebuilt at the Arena

Terry Lazaruk, president of the club said they haven’t been able to host sanctioned meets due to the lack of a proper timing booth

Skeena mainstem closed to recreational sockeye

Escapements expected to be below 800,000 threshold

Rents in most Canadian cities are unaffordable for lower-income earners: study

Roughly one-third of households, or 4.7 million, are renters

B.C. mom to go to Europe court in hopes of getting alleged abducted daughter back

Tasha Brown alleges her estranged wife abducted their daughter Kaydance Etchells in 2016

‘Benzos’ and fentanyl a deadly cocktail causing a growing concern on B.C. streets

Overdoses caused by benzodiazepines can’t be reversed with opioid-overdose antidote naloxone

Scheer on Trump: It’s ‘offensive’ to question the family background of critics

Trump is being called a racist for saying that the four congresswomen should go back where they came from

Instagram expands Canadian pilot removing ‘like’ counts to more countries

Social media giant plans to roll out the test in Australia, New Zealand, Brazil, Japan, Italy and Ireland

Pamela Anderson adds star power to B.C. Green Party town hall

Celebrity attended Nanaimo meeting with representatives from U.S.-based environmental group

Olympic softball qualifier gets $150K boost from provincial government

2019 Americas Qualifier to be held in Surrey from Aug. 25-Sept. 1

Gas price inquiry questions Trans Mountain capacity, company denies collusion

The first of up to four days of oral hearings in the inquiry continue in Vancouver

Will you be celebrating national hotdog day with any of these crazy flavours?

The popularity of hotdogs spans generations, cultures

Most Read