Speech from the throne

Dalton McGuinty was back at Queen’s Park Thursday. It’s the first time the former premier has stepped into the legislative chamber since he resigned his seat. He was there to watch the Lieutenant Governor deliver his last speech from the throne — and to cheer on the majority Liberals. But not all was rosy for the party now back with a majority.

We already know what’s in the July 14th budget — $29 billion for transit, money to create job incentives — and the promise to get rid of the deficit by 2018. Well, it’s that defecit that has one credit agency concerned about Ontario today.

It was supposed to be a celebratory day. The Liberals so comfortable with their majority win, even former leader Dalton McGuinty was invited back, although his name was taboo during the election campaign.

Premier Kathleen Wynne: “I was happy to see Dalton here.”

McGuinty was a fellow at Harvard for the past year, but he watched from afar: “We did not do minority government well in Ontario, I place the responsibility for that at the feet of the opposition.

But not all was well among the Liberals, when in the morning, credit agency moodies changed Ontario’s outlook from stable to negative, based on the 12.5 billion dollar defecit.

Finance Minister Charles Sousa: “The bankers aren’t freaking out.”

Interim PC leader Jim Wilson: “I’m sure we’ll have a credit downgrading soon which will increase debt $500 million.”

The Tories say the throne speech shows Ontario is falling even further in the hole.

Today’s new promises are going to mean higher taxes for everyone.

The NDP says the opposite, that the Liberals are headed for massive layoffs and selling of assets.

NDP leader Andrea Horwath: “This is an austerity plan dressed to look like something else.”

The premier calls it — the activist centre: “They’re not right or left, they’re ideas that will resonate with people. And we haven’t said we’re not going to be active in people’s lives.”

The Liberals are already saying that there is no money for wage increases so expect some fireworks when public sector contracts come up for renewal.