Federal budget sees increases to alcohol and tobacco taxes

(CP) - Taxes on alcohol and tobacco are going up this morning, as laid out in the Trudeau government's latest budget.

Also on the rise, but next year, will be Employment Insurance premiums.

Ottawa has also announced it's scrapping the 71-year-old Canada Savings Bond program and the public transit tax credit.

About 11-billion dollars will go to cities and provinces for affordable housing over 10 years as part of the second wave of the government's infrastructure program.

Ottawa did not make any changes to income tax rates amid uncertainty about the future of rates south of the border.

The federal deficit is down 2.1-billion dollars from the last fiscal update to 23-billion dollars, and is projected to reach 28.5-billion at this time next year.