Economy

Canadian PM Trudeau Faces Setback as Key Ally Withdraws Support, Reports Reuters

By David Ljunggren

OTTAWA – Canadian Prime Minister Justin Trudeau faced an unexpected challenge on Wednesday as the small party that had been supporting his minority Liberal government decided to withdraw its automatic backing. This development forces Trudeau to seek new alliances in order to maintain governance.

Trudeau has vowed to persist in his leadership and advocate for social programs, dismissing speculation about early elections following a statement from Jagmeet Singh, the leader of the left-leaning New Democratic Party (NDP). Singh announced that he was ending a prior agreement made in 2022 with Trudeau.

The withdrawal of support from the NDP puts Trudeau in a precarious position, as he now relies on other opposition members to survive confidence votes in Parliament. Current polls suggest that Trudeau’s party would face significant defeat if an election were held immediately, although under Canadian law, a federal election is required to take place by the end of October 2025.

"I hope that an election does not occur until the next fall, as we continue to deliver for Canadians in the meantime," Trudeau remarked to reporters while visiting a school to discuss an expansion of lunch programs.

"I urge the NDP to focus on how we can continue to provide for Canadians, as we have over the past years, instead of getting caught up in political games."

Trudeau, who has been in office since November 2015, has faced increasing criticism from the opposition Conservative Party, especially regarding inflation and the current housing crisis.

With NDP support in the past, Trudeau’s administration had advanced several social programs aimed at alleviating the rising cost of living. However, Singh has expressed mounting frustration with Trudeau, particularly regarding the government’s handling of high grocery prices.

"Justin Trudeau has consistently shown that he prioritizes corporate interests over the needs of people," Singh declared in a social media video, also announcing his intent to run for prime minister in the next election. "The Liberals have let the citizens down and do not deserve another chance."

REDEFINING AUTONOMY

Polling data suggests that the voter discontent affecting Trudeau is also impacting the NDP, which, despite having influenced the introduction of measures like a national dental program, currently sits in third place among political parties.

The initial 2022 agreement between the NDP and the Liberals assured the latter’s governance until mid-2025 in exchange for increased social spending. Political analysts indicate that the NDP should work to reestablish its independence prior to the election.

"Some voters may perceive that the NDP is not merely an ally of the Liberals but is actively competing with them," noted Fred Cutler, an associate professor at the University of British Columbia.

Conservative leader Pierre Poilievre called for an early election, criticizing what he termed a Liberal-NDP coalition that he claims is causing rising prices for Canadians.

The House of Commons is set to resume sessions on September 16, allowing the Conservatives to introduce a vote of confidence. Trudeau’s government might still prevail if the NDP chooses to abstain during such a vote.

An announcement from the NDP indicated that the party would evaluate its support of the Liberals on a case-by-case basis during confidence votes, leaving the door open for continued support if it becomes necessary for Trudeau.

A significant moment for Trudeau’s government will arrive with its budget update later this year; if that update fails to pass, it could precipitate a new election.

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