Funds for housing, child care, jobs training expected in Federal budget

(CP) - The Trudeau Liberals are set to unveil their second federal budget on Wednesday, March 22nd, with key planks that touch on infrastructure and child care.

But observers are wondering whether tax measures in the document will make Canada more, or less, competitive with our southern neighbour.

Several sources and reports suggest the budget is expected to include money for affordable housing, child care and jobs training.

Others warn the budget will disappoint on foreign aid.

Finance Minister Bill Morneau told a conference in Germany last week the fiscal plan will focus on helping Canadian workers continually upgrade their skills in an economy where the skills that are in demand are changing rapidly.

But business groups, and the Opposition Conservatives, have urged the Liberals not to raise taxes further in this budget.

They're worried that might put Canada at a disadvantage at a time when Donald Trump appears ready to steer the U-S toward what the president has described as ``massive'' tax cuts for the middle class.

Morneau has been overseeing a review of federal tax credits, with a goal of eliminating targeted tax breaks.

Critics say cutting those credits would amount to a tax hike.