The government has increased program spending by nearly $10 billion since its original plan in 2022.
alberta budget
When resource revenue is relatively high, the government faces pressure to increase spending.
If it held the line on spending, the government could have run a $6.7 billion surplus in 2023/24.
Program spending is projected to be $4.2 billion higher in 2023/24 than budgeted just a few months ago.
Successive governments have perpetuated the boom-bust cycle of provincial finances.
The province will run a projected $12.3 billion budget surplus this fiscal year.
Due to tax hikes in Ottawa and Edmonton, the province's top combined income tax rate increased to 48 per cent.
Governments in Alberta have a long history of increasing provincial spending during periods of high resource revenue, which inevitably leads to deficits once resource revenues decline.
The province will run a $13.2 billion projected surplus in 2022/23 due largely to resource revenue.