Ontario Newsroom

One Year Later - Ontario's Economy Is Turning The Corner

Archived News Release

One Year Later - Ontario's Economy Is Turning The Corner

McGuinty Government's Plan Creating Jobs For Families, Stability For Our Economy

Ministry of Finance

Ontario's economy is turning the corner and jobs are coming back for our hardworking families.

When the global recession hit, Ontario took action to provide businesses with the tools they need to be more competitive - at home and internationally.  Ontario's Tax Plan for Jobs and Growth - including the HST - has led to investments that are helping create thousands of Ontario jobs.

Ontario's new competitive tax system has already delivered results:

  • 74,000 net new jobs have been created in Ontario since the HST was introduced a year ago
  • Real Gross Domestic Product (GDP) increased 2.8 per cent in 2010, and for 2011, the most recent forecast from RBC predicts Ontario will have its highest growth rate since 2000
  • The unemployment rate has declined to 7.9 per cent - compared to 9.4 per cent at the height of the global recession.

The HST - along with other measures in Ontario's Tax Plan for Jobs and Growth - is stabilizing our economy and creating new jobs, while protecting the public services like schools and hospitals that Ontario families count on.

Quick Facts

  • Leading Canadian tax expert Jack Mintz has estimated that the reduced tax burden on new business investment will lead to an additional $47 billion in capital investment in Ontario, almost 600,000 net new jobs and higher annual incomes of up to 8.8 per cent by the year 2020.
  • According to the Financial Times' fDi Intelligence think-tank, Ontario ranked second in North America as a destination for foreign direct investment (FDI) projects. Relative to population, Ontario was the top North American jurisdiction for FDI projects in 2010 with 10 projects per million people.
  • Tax reforms have also helped Ontario families - making things a little easier by providing $12 billion in tax relief over three years. And 93 per cent of Ontario taxpayers pay less income tax than a year ago.

Additional Resources

Quotes

“”

“When we introduced the HST, we thought it was the single most important thing we could do to help Ontario's economy grow, and that is proving to be true. The time to invest in Ontario has never been better. Our competitive tax system is attracting investors from around the globe, creating jobs.”

Dwight Duncan

Minister of Finance

“The HST has given our businesses the advantage they need to help our province stay strong and prosperous, while 83 per cent of what Ontarians buy is unaffected by HST. Our plan is the right plan to help Ontario's economy become more competitive.”

Sophia Aggelonitis

Minister of Revenue

“More than half of all the new jobs created in Canada this year have been created right here in Ontario. I think we're all in agreement now. The harmonization of the sales taxes is definitely having a positive effect on our economy.”

Sandra Pupatello

Minister of Economic Development and Trade

Media Contacts

Share

Tags

Business and Economy Government Home and Community Jobs and Employment Taxes and Benefits Consumers Francophones Newcomers People with Disabilities Seniors Women