The Candice Malcolm Show - March 23, 2022


Are massive tax hikes coming? (Ft. Pierre Poilievre)


Episode Stats

Length

16 minutes

Words per Minute

167.6194

Word Count

2,727

Sentence Count

155

Misogynist Sentences

1


Summary


Transcript

00:00:00.000 Did Justin Trudeau and Jagmeet Singh form their coalition pact to avoid fiscal collapse?
00:00:05.260 Does it mean that huge tax increases are coming?
00:00:08.520 MP Pierre Polyev is here to discuss.
00:00:10.580 I'm Candice Malcolm, and this is The Candice Malcolm Show.
00:00:23.760 Hi, everyone, and welcome to the podcast.
00:00:25.920 My guest today is Conservative MP Pierre Polyev.
00:00:28.620 Pierre has served as an MP in the Ottawa-based riding of Carleton since 2004 and is one of
00:00:33.560 the candidates running to be the next leader of the Conservative Party of Canada.
00:00:36.940 So each of the candidates has joined my True North colleague, Andrew Lawton, on his show
00:00:41.120 in the last few weeks, including Pierre, and I really encourage you to go and check out
00:00:44.640 all of those interviews here on our channel.
00:00:46.880 Now, today, I want to discuss something a little different.
00:00:49.320 I want to talk about the latest coalition pact, whatever you want to call it, between the
00:00:53.840 Liberals and the NDP and what it will mean in Parliament.
00:00:56.400 So, Pierre, thank you so much for joining us today.
00:00:59.480 Great to be with you, Candice.
00:01:01.680 So let's talk about the biggest news in Canadian politics right now.
00:01:04.660 Let me hear your opinion on this formal governing agreement between the Liberals and the NDP until
00:01:09.500 2025.
00:01:10.960 Nobody voted for it.
00:01:12.500 People who voted NDP thought they were advancing an independent opposition party.
00:01:17.640 People who voted Liberal didn't realize that they were going to get NDP, far-left, extreme
00:01:24.960 radical policies.
00:01:26.900 So there will be a lot of betrayed voters for both of those parties.
00:01:31.420 And what does it mean for the country?
00:01:33.240 I think it means that the government will double down on massive deficits, money printing, and
00:01:40.100 as a consequence, very high inflation.
00:01:43.720 As you know, the cost of government is driving up the cost of living.
00:01:47.960 More dollars chasing fewer goods always leads to higher prices.
00:01:51.480 That's why we have 30-year highs in inflation and all-time highs in housing inflation.
00:01:55.620 House prices have doubled in just six or seven years.
00:01:58.700 That's what I call Justin-flation.
00:02:02.360 There'll be more of that.
00:02:03.880 But we're going to fight back as leader.
00:02:06.480 I'm going to mobilize the Canadian people to pressure more reasonable Liberal MPs and
00:02:13.080 more working-class-oriented NDP MPs to turn against this backroom deal and ultimately pull
00:02:20.920 apart the coalition, bring down the government in a confidence vote, and win the following election.
00:02:26.820 Well, that sounds like quite the plan, and I think there'd be many conservatives that
00:02:31.980 would be excited about that.
00:02:33.600 I want to ask you specifically, Pierre.
00:02:35.520 So 18 months ago, I had you on the show.
00:02:38.020 It's September 2020, and we talked about the finances of the country at that time.
00:02:42.380 Now, you must have a crystal ball somewhere because you predicted that Justin Trudeau would
00:02:46.000 trigger an election and that he desperately needed a majority government.
00:02:50.420 And you said that was for two reasons.
00:02:52.100 One, because his spending was mathematically impossible to maintain, and that in order to maintain it,
00:02:56.680 he would need to have some kind of a massive tax increase.
00:02:59.180 And second of all, because the ethics commissioner was going to expose some ugly truths about his
00:03:04.220 government.
00:03:05.020 And so I'm wondering, you know, he did trigger that election.
00:03:07.900 He thought he was going to win.
00:03:09.120 He didn't.
00:03:10.080 But it seems like with the deal that he came up with on Tuesday morning, he sort of managed
00:03:14.900 to create a majority government out of nothing.
00:03:17.160 So I want to revisit those predictions that you made.
00:03:20.120 But do you think that part of the reason this coalition is in place now is because of the
00:03:26.340 possibility of tax increases?
00:03:28.480 And what would that look like?
00:03:30.340 And then also, what is the update with the ethics commissioner?
00:03:33.160 I know they were investigating the WE scandal.
00:03:35.600 Where are we with that?
00:03:38.460 OK, let's start with the economy.
00:03:40.880 We now have about $3.50 of debt for every dollar of GDP in Canada.
00:03:46.340 That number fluctuates between $3.50 and $4.00.
00:03:49.780 That's near record highs.
00:03:52.520 That means for every one percentage point increase in interest rates across the economy
00:03:57.780 that we have to pay 3.5% of our economy in interest rates, in interest payments.
00:04:08.020 So just to give you a very practical example of what that means.
00:04:11.680 So the average typical home, according to the Canadian Real Estate Association, costs $868,000.
00:04:18.280 There are about a fifth of households have only 1% down for purchases in the last two years.
00:04:26.740 And about half are variable.
00:04:29.860 So if you've got a variable rate mortgage with 1% down, and you have about an $850,000 mortgage,
00:04:35.300 if rates go up by just 1%, your annual mortgage payments are $8,500 higher, $8,500 more in annual recurring mortgage payments.
00:04:50.500 Many families would clearly go bankrupt, given that there are, what, a half of Canadians only have $200 left in the bank account at the end of each month.
00:04:58.920 So I think you could have a serious household finance crisis.
00:05:03.940 On top of that, that same percentage point increase in interest rates adds $12 billion in annual costs to the federal government.
00:05:12.560 So that means that the last thing Trudeau wants is for this financial reality to come to the surface,
00:05:21.800 you know, and then have the opposition vote him down and hold him accountable for having caused it.
00:05:27.120 So this could give him, you know, two or three years while Canadians are suffering under the hell of higher rates and inflation to avoid democratic accountability.
00:05:37.760 And as you said, if he runs out of money with the help of the NDP, he might be able to get through a very unpopular tax increase
00:05:44.860 that he would not have been able to pass in a normal minority parliament.
00:05:49.860 So we don't know for sure exactly what they're going to do.
00:05:52.860 It is possible that he would save tax increases for an eventual, in his eyes, future majority.
00:05:59.940 But it is possible that Jagmeet is going to back him up and get that passed.
00:06:06.360 And, you know, Candace, one of the worst things about these coalition governments is that the more unpopular they are,
00:06:13.420 often the longer they last because the coalition participants don't want to face the music with the voters.
00:06:19.080 So they bind together and hold themselves in office.
00:06:22.500 And that's why we need to have a strategy to pull it apart one MP at a time.
00:06:27.100 On the ethics front, I mean, I think that the bigger issue is where is the RCMP?
00:06:33.000 Not so much the ethics commissioner, but where is the RCMP on the WE scandal?
00:06:38.340 And on the SNC-Lavalin scandal, the Mounties said they were looking into both and we haven't heard anything back.
00:06:47.460 So we hope that that hasn't just gone into the law enforcement black hole again,
00:06:51.600 and that there is some legal accountability for what happened in both of those cases.
00:06:57.160 We know in both scandals, laws were broken because the ethics commissioner found Morneau guilty
00:07:02.360 and found Trudeau guilty for the SNC scandal.
00:07:07.660 Now it's time for the RCMP to come clean on whether or not criminal code violations occurred as well.
00:07:14.920 Well, it seems like Justin Trudeau always has a way to avoid accountability.
00:07:18.660 And I think that's one of the loudest complaints that I hear from True North viewers.
00:07:22.320 I want to ask you about the priorities that the NDP and the Liberals have presented,
00:07:26.020 because maybe they sound good on paper, the idea of universal pharmacare, universal dental care.
00:07:31.720 When I hear about that, it strikes me as so painstakingly out of touch,
00:07:36.240 given the financial situation in this country, given the performance of our health care system over the past two years.
00:07:41.800 It seems to me that we need serious change on this front,
00:07:44.600 not just adding in more goodies, more entitlements to a broken system, essentially.
00:07:50.420 I'm wondering what your thoughts are on that.
00:07:52.880 Well, the pharmacare idea sounds terrific until you scratch the surface.
00:07:56.720 A lot of people will be far worse off in drug coverage if this plan goes ahead.
00:08:02.220 Remember, 91% of Canadians have some kind of coverage, most of it through private sector employer-based plans.
00:08:08.580 The very poor usually have coverage through their provincial social services.
00:08:13.560 And many people purchase their own private insurance for supplementary drug plans already.
00:08:20.860 Finally, then there are also the small minority of very wealthy people who just pay out of pocket.
00:08:27.000 So the number of people who don't have some coverage and can't afford to pay for their medicine is well below 10%.
00:08:35.060 And the answer would be to give them some targeted assistance with their needs,
00:08:40.540 rather than creating a national governmental program that would ultimately incentivize employers to dump their private plans.
00:08:47.920 And this is where it's going to become extremely unpopular, especially with unionized blue-collar workers.
00:08:54.280 If their employers say, well, we're paying for a government plan through taxes,
00:08:58.800 so we're not going to provide you with the workplace plan,
00:09:02.960 then these workers could end up stuck with an inferior government plan that has a smaller formulary,
00:09:11.060 higher deductibles, and much less responsive.
00:09:15.460 And you could find the NDP and liberals face a massive backlash from their own voters,
00:09:21.500 not just because it costs $20 billion to institute this new national bureaucracy,
00:09:26.960 but because people actually get worse drug coverage.
00:09:30.820 And so I'm in favor of keeping our market-based system with possibly some incentives to cover the very small minority of people
00:09:39.420 who don't have coverage now.
00:09:41.600 That is far superior.
00:09:43.280 You remember when Kathleen Wynne brought in this program provincially for people under the age of 26?
00:09:49.980 You know how she paid for it?
00:09:51.020 She actually cut the drugs that were covered for children's cancers at the children's hospitals.
00:09:58.280 So we had doctors at the Ottawa Hospital here for children having to call drug companies
00:10:04.500 and ask for donations of drugs to save the lives of kids who were literally on their deathbed,
00:10:10.120 because Gwynne actually cut off these kids from cancer drugs so that she could pay for a governmental program
00:10:17.700 to help 22-year-olds get acne medications over at their local drugstores.
00:10:24.200 So again, they sound wonderful when they're announced,
00:10:28.420 but in practice, they can not only be extremely expensive,
00:10:32.220 but very detrimental to the health and the coverage of Canadians.
00:10:37.460 Oh, that's truly awful.
00:10:38.340 I'm so sorry to hear that.
00:10:39.860 I had a question about the trucker convoy,
00:10:42.700 because it seems to me that what we experienced this year in this country
00:10:45.580 was essentially a huge working-class uprising and backlash against the governing elites.
00:10:51.980 And it seems that the NDP was once the party that represented those sorts of people.
00:10:56.220 Well, no longer.
00:10:57.060 I mean, first we saw Justin Trudeau refuse to meet with them,
00:11:00.060 call them every name in the book.
00:11:01.380 Jagmeet Singh essentially kind of went along with that.
00:11:03.480 And now here we have the NDP essentially just joining the liberals,
00:11:06.660 turning their back completely on those people.
00:11:09.980 What does that mean to hardworking people in this country
00:11:13.680 that don't feel that they have representation in the NDP left-wing socialist party anymore?
00:11:20.180 Well, they're coming to vote for me.
00:11:22.500 That's why I'm attracting massive crowds.
00:11:25.340 You know, I've had rallies with over a thousand people,
00:11:27.660 and it's mostly working-class folks.
00:11:30.340 I was traveling through Quebec.
00:11:31.920 I had 250 people in Laval, a place where we typically finish third or fourth.
00:11:36.700 Huge crowds in Trois-Rivières, Quebec City, Montreal,
00:11:40.020 all populated with working-class people,
00:11:43.100 many of whom tell me they never even voted in their lives.
00:11:45.680 But as you say, there is a working-class uprising in this country.
00:11:52.700 People who've been cast aside,
00:11:54.720 they've been told to shut up and do what they're told
00:11:57.600 and let the powerful elites in Ottawa run their lives for them.
00:12:03.220 And they're saying, no, they've had it.
00:12:05.140 These are the people who do the nation's work.
00:12:07.480 They build our roads.
00:12:08.660 They deliver our goods.
00:12:09.940 They feed our families.
00:12:10.980 They build our structures, our homes, our office buildings.
00:12:16.440 And they get very little credit.
00:12:18.380 And they've been under attack for years now.
00:12:21.280 The entire monetary system is designed right now
00:12:23.820 to destroy the purchasing power of their wages
00:12:26.660 while inflating the asset values of the billionaire class.
00:12:30.800 Now the Liberals and NDP want to stand with the billionaire class
00:12:33.800 and the managerial elite against these working people.
00:12:37.780 Well, I've got news for them.
00:12:38.760 These people deserve a strong voice.
00:12:41.840 And I am that voice.
00:12:43.160 And they will be part of a future conservative government
00:12:46.460 that stands on their sides,
00:12:48.080 puts them back in control of their lives
00:12:49.900 by making Canada the freest nation on earth.
00:12:53.040 So how do you dismantle that system, Pierre?
00:12:54.640 I mean, I've heard you talk about how 40, 50 years ago,
00:12:58.020 a working-class person could afford to buy a house,
00:13:00.300 whereas today their children, grandchildren,
00:13:02.100 who are Canadian college-educated,
00:13:04.500 cannot afford to buy that same sort of house.
00:13:07.100 How do you turn that around?
00:13:08.280 How do you get things back to the way that they were
00:13:10.160 back when a single-income family could afford to buy a home
00:13:15.180 in the suburbs or in the cities in Canada?
00:13:17.940 Well, we have to bring back hard money.
00:13:19.660 You know, the reason that...
00:13:21.600 What has happened here is like...
00:13:22.760 I told the story of...
00:13:24.020 Many of your viewers might not have seen it,
00:13:25.520 but of an Italian family that came to Ottawa in 1974.
00:13:31.260 And from the wages of the father who worked paving roads
00:13:37.020 and the mother who was making sandwiches at seniors' homes,
00:13:40.440 they were able to buy a handsome bungalow in downtown Ottawa
00:13:45.020 for about $40,000 or $50,000, something like that.
00:13:48.240 And they paid it off in seven years.
00:13:50.160 You know, they grow their own food in the backyard
00:13:52.160 and never went to restaurants.
00:13:54.620 Paid it off seven years, right?
00:13:55.940 Their grandkids now, all these years later,
00:14:00.720 would not be able to afford that house,
00:14:03.340 even though their grandkids are going to be university-educated
00:14:06.800 and supposedly living in a country
00:14:09.460 that has had a half century to advance and grow.
00:14:13.060 We should be able to afford better houses 50 years on
00:14:16.980 than we did back then.
00:14:18.920 And yet, there is no way that that house,
00:14:21.640 which is well over a million dollars now,
00:14:23.880 could ever be owned by someone just coming out of university
00:14:26.780 with a degree in liberal arts
00:14:29.460 or even in business or engineering.
00:14:32.180 So what is happening is in the early 70s,
00:14:34.960 government started printing massive quantities of cash
00:14:38.120 in order to fund their spending.
00:14:39.420 That led to inflation, especially asset price inflation.
00:14:43.180 And so the cost of things like houses
00:14:45.360 has outgrown the wages of the working people.
00:14:49.200 So I'm going to reinstate hard money,
00:14:52.060 give the Bank of Canada, again,
00:14:53.700 the singular purpose of keeping inflation low and very low.
00:14:56.840 And I'll be very specific about that.
00:14:59.300 But also, we need to, instead of creating cash,
00:15:01.500 we need to start creating more of what cash buys.
00:15:03.660 We need to incentivize our municipalities
00:15:05.680 to spill the speed of building permits.
00:15:07.700 Right now, it takes seven to 10 years
00:15:09.240 from the time you buy the land
00:15:10.540 to the time you build on it.
00:15:11.640 We have the lowest per capita number of houses
00:15:14.160 of any country in the G7,
00:15:15.840 even though we have the most land.
00:15:17.840 And so I'm going to be taking a very strong stand
00:15:21.200 to require incompetent big city mayors
00:15:26.920 to get out of the way
00:15:28.260 and speed up building permits,
00:15:31.340 allow for more land for housing
00:15:33.060 so that we can build millions of affordable homes
00:15:35.880 for our young people.
00:15:36.900 So that the dream that that Italian family,
00:15:40.300 I mentioned, who came here almost a half century ago,
00:15:44.040 can live on for their grandkids.
00:15:47.860 Well, that sounds like a plan, a wonderful plan.
00:15:50.720 And I think that what's very clear, Pierre,
00:15:52.440 is that we just need change from the Trudeau government,
00:15:55.880 the spending, the out of control,
00:15:58.220 big growth of government system.
00:16:00.780 And it seems like there's lots and lots of ideas
00:16:03.480 over on the conservative side.
00:16:04.500 So appreciate your time this morning, Pierre.
00:16:06.140 Thanks for joining the program.
00:16:08.060 Excellent. Great to be with you.
00:16:09.180 All the very best to you and your family.
00:16:11.320 Thank you so much.
00:16:12.200 That's Pierre Polyev, MP for Carleton.
00:16:14.340 I'm Candice Malcolm,
00:16:15.000 and this is The Candice Malcolm Show.