[La version française suit le texte anglais.]
PROVINCIAL SPENDING UP $3.1 BILLION IN THE FIRST QUARTER OF 2022-23
COMPARED TO THE FIRST QUARTER OF PREVIOUS YEAR
TORONTO, September 15, 2022 – Today, the Financial Accountability Office of Ontario (FAO) released its Expenditure Monitor 2022-23: Q1 report. This report provides information on spending by the Province over the first quarter of the 2022-23 fiscal year (April 1, 2022 to June 30, 2022).
For the 2022-23 fiscal year, the Province’s spending plan is $193.0 billion. The Province may change its spending plan throughout the year, either by requesting additional spending authority from the Legislature or by reallocating spending among different programs. As of the end of the first quarter, June 30, 2022, the Province had not made any changes to its spending plan.
During the first quarter of 2022-23, the Province spent $39.9 billion, which was $3.1 billion (8.3 per cent) more than was spent in the first quarter of the previous fiscal year. All sectors spent more in the first quarter of 2022-23 compared to 2021-22, with the largest year-over-year spending increase in the health sector ($1,398 million), largely due to higher spending for payments to physicians, public health and hospital infrastructure projects. The Province also spent $480 million more in interest on debt payments in the first quarter of 2022-23, $453 million more in education sector spending for child care and school board operating grants, and $285 million more for children’s and social services programs, including the Ontario Drug Benefit Plan, Autism, Supportive Services and Ontario Works.
In order to manage and monitor its program spending during the fiscal year, the Province divides its spending plan into expected spending by quarter, which reflects historical spending patterns, seasonality and other factors. In the first quarter of 2022-23, the Province expected to spend $40.7 billion but actual unaudited spending was $39.9 billion. This was $776 million (1.9 per cent) less than planned. By sector, first quarter lower-than-planned spending was led by ‘other programs’ (-$889 million), education (-$195 million), postsecondary education (-$146 million) and children’s and social services (-$75 million), offset by higher-than-planned spending in health ($319 million), interest on debt ($176 million) and justice ($35 million).
To learn more, read the full report here.
Quick Facts:
- The Province’s $193.0 billion spending plan includes $4.6 billion in unallocated funds in the Contingency Fund. Unallocated funds are typically used to address spending pressures or program changes during the fiscal year and must be transferred to government programs through Treasury Board Orders. As of the end of the first quarter, there were no transfers from the Contingency Fund to government programs.
- Of the $193.0 billion spending plan, the Province expects to spend $40.7 billion in the first quarter, $43.5 billion in the second quarter, $44.7 billion in the third quarter, and $64.1 billion in the fourth quarter.
- The information in this report is based on the FAO’s analysis of transactions recorded in the Province’s financial accounting system as of June 30, 2022. All figures are unaudited, as final audited figures are not available until the release of the Public Accounts of Ontario after the end of the fiscal year.
About the FAO
Under the Financial Accountability Officer Act, 2013, the Officer provides independent analysis on the state of the Province's finances, trends in the provincial economy, and related matters important to the Legislative Assembly of Ontario. Visit our website and follow us on Twitter and LinkedIn.
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For further information, please contact:
Jessica Martin l 647.527.2385 l jmartin@fao-on.org l fao-on.org
