2015 Ontario Budget
Chapter II: Ontario’s Economic Outlook and Fiscal Plan

Section F: Details of Ontario’s Finances

Fiscal Tables and Charts

This section provides information on the Province’s historical financial performance, key fiscal indicators, and details of Ontario’s fiscal plan and outlook.

TABLE 2.21 Medium-Term Fiscal Plan and Outlook
($ Billions)
  Interim
2014–15
Plan
2015–16
Outlook
2016–17 2017–18
Revenue 118.5  124.4  129.4  134.4 
Expense        
Programs 118.8  120.5  120.6  120.0 
Interest on Debt1 10.7  11.4  12.4  13.2 
Total Expense 129.5  131.9  133.0  133.2 
Reserve –  1.0  1.2  1.2 
Surplus/(Deficit) (10.9) (8.5) (4.8) – 
Net Debt 284.1  298.9  311.5  319.5 
Accumulated Deficit 186.3  194.8  199.7  199.7 
1 Interest on debt expense is net of interest capitalized during construction of tangible capital assets of $0.2 billion in each of 2014–15, 2015–16, 2016–17 and 2017–18.
Note: Numbers may not add due to rounding.
TABLE 2.22 Revenue
($ Millions)
  2012–13 Actual
2013–14
Interim
2014–15
Plan
2015–16
Taxation Revenue        
Personal Income Tax 25,574 26,929 29,028 30,377
Sales Tax1 20,957 20,481 21,740 22,982
Corporations Tax 12,093 11,423 10,148 11,342
Education Property Tax2 5,511 5,457 5,632 5,715
Employer Health Tax 5,137 5,283 5,430 5,680
Ontario Health Premium 3,067 3,128 3,350 3,458
Gasoline Tax 2,390 2,363 2,383 2,457
Land Transfer Tax 1,484 1,614 1,758 1,782
Tobacco Tax 1,142 1,110 1,163 1,262
Fuel Tax 710 718 738 752
Beer and Wine Tax 560 557 566 575
Electricity Payments-In-Lieu of Taxes 324 543 209 524
Other Taxes 469 360 509 491
Total 79,418 79,966 82,654 87,397
Government of Canada        
Canada Health Transfer 11,315 11,940 12,413 13,065
Canada Social Transfer 4,591 4,689 4,847 4,976
Equalization 3,261 3,169 1,988 2,363
Infrastructure Programs 116 123 149 308
Labour Market Programs 897 909 909 914
Social Housing 483 474 458 448
Wait Times Reduction Fund 97 96
Other Federal Payments 901 877 949 816
Total 21,661 22,277 21,713 22,890
Government Business Enterprises        
Ontario Lottery and Gaming Corporation 1,816 2,009 1,935 1,920
Liquor Control Board of Ontario 1,721 1,723 1,811 1,880
Ontario Power Generation Inc./Hydro One Inc. 932 1,605 1,565 1,012
Total 4,469 5,337 5,311 4,812
Other Non-Tax Revenue        
Reimbursements 932 962 989 980
Vehicle and Driver Registration Fees 1,125 1,248 1,442 1,592
Electricity Debt Retirement Charge 939 954 948 865
Power Supply Contract Recoveries 1,323 1,296 920 793
Sales and Rentals 1,188 1,160 2,260 2,803
Other Fees and Licences 760 759 914 979
Net Reduction of Power Purchase Contract Liability 263 243 217 172
Royalties 226 242 248 262
Miscellaneous Other Non-Tax Revenue3 1,065 1,467 901 845
Total 7,821 8,331 8,839 9,291
Total Revenue 113,369 115,911 118,517 124,390
1 Sales Tax revenue is net of the Ontario Sales Tax Credit and the energy component of the Ontario Energy and Property Tax Credit.
2 Education Property Tax revenue is net of the property tax credit component of the Ontario Energy and Property Tax Credit and the Ontario Senior Homeowners' Property Tax Grant.
3 Relatively high Miscellaneous Other Non-Tax Revenue in 2013–14 reflects the gain on the sale of the Province's shares of General Motors Company and higher recoveries of prior-year expenditures.
Note: Numbers may not add due to rounding.
TABLE 2.23 Total Expense
($ Millions)
Ministry Expense 2012–13 Actual 2013–14 Interim 2014–15 Plan 2015–16
Aboriginal Affairs1 65 63 68.6 74.5
Agriculture, Food and Rural Affairs1 1,016 864 924.9 1,028.8
Attorney General 1,683 1,813 1,780.3 1,779.8
Board of Internal Economy2 197 199 300.9 210.5
Children and Youth Services 3,911 3,997 4,173.9 4,315.7
Citizenship, Immigration and International Trade 161 152 155.9 158.6
Community and Social Services 9,696 9,977 10,568.6 11,114.9
Community Safety and Correctional Services1 2,309 2,380 2,496.1 2,466.6
Economic Development, Employment and Infrastructure / Research and Innovation1 998 992 1,111.6 1,219.9
Education1 23,142 23,645 24,594.2 25,230.7
Energy1 340 311 316.9 322.9
Environment and Climate Change1 485 480 485.6 503.3
Executive Offices 30 30 44.6 33.8
Finance1 806 845 821.3 860.9
Francophone Affairs, Office of 5 5 5.6 8.4
Government and Consumer Services 596 594 596.6 601.9
Health and Long-Term Care 47,594 48,933 50,172.7 50,770.9
Labour 281 303 307.7 310.5
Municipal Affairs and Housing1 830 845 884.5 920.0
Natural Resources and Forestry1 694 720 724.4 720.2
Northern Development and Mines 718 719 757.4 756.7
Tourism, Culture and Sport1 1,424 1,337 1,256.5 1,274.3
Training, Colleges and Universities 7,337 7,572 7,741.6 7,809.7
Transportation 2,478 2,823 2,965.6 3,456.8
Treasury Board Secretariat1 588 232 424.1 490.2
Interest on Debt3 10,341 10,572 10,675.0 11,410.1
Other Expense1 4,863 5,962 5,094.9 5,541.5
Program Review Savings Target (490)
Year-End Savings4 (1,000.00)
Total Expense 122,589 126,364 129,450.1 131,902.0
1 Details on other ministry expense can be found in Table 2.24, Details of Other Expense.
2 The 2014–15 amount includes projected expenses for the 2014 general election.
3 Interest on debt is net of interest capitalized during construction of tangible capital assets of $232 million in 2012–13, $134 million in 2013–14, $193 million in 2014–15 and $170 million in 2015–16.
4 As in past years, the Year-End Savings provision reflects anticipated underspending that has historically arisen at year-end due to factors such as program efficiencies, and changes in project startups and implementation plans.
Note: Numbers may not add due to rounding.
TABLE 2.24 Details of Other Expense
($ Millions)
Ministry Expense 2012–13 Actual
2013–14
Interim
2014–15
Plan
2015–16
Aboriginal Affairs        
One-Time Investments Including Settlements –  12 3.3
Agriculture, Food and Rural Affairs        
Time-Limited Investments in Infrastructure 19  132 40.5 12.5
Time-Limited Assistance –  17 6.5
Community Safety and Correctional Services        
Time-Limited Support for 2015 Pan/Parapan American Games Security 5 45.6 182.7
Economic Development, Employment and Infrastructure / Research and Innovation        
Federal–Provincial Infrastructure Programs –  235.2
Education        
Teachers' Pension Plan1 895  873 571.0 71.0
One-Time Savings — Labour Savings (1,296)
Energy        
Ontario Clean Energy Benefit 994  1,006 1,080.0 860.0
Environment and Climate Change        
Time-Limited Investments 78 
Finance        
Ontario Municipal Partnership Fund 592  569 541.5 512.5
Power Supply Contract Costs 1,323  1,296 920.0 793.0
Municipal Affairs and Housing        
Time-Limited Investments in Municipal Social and Affordable Housing 158  155 153.3 160.3
Time-Limited Investments 42  208 7.3
Natural Resources and Forestry        
Emergency Forest Firefighting 180  92 79.4 69.8
Tourism, Culture and Sport        
Time-Limited Investments to Support 2015 Pan/ Parapan American Games 358  332 468.6 904.6
Treasury Board Secretariat        
Operating Contingency Fund –  50.0 550.0
Capital Contingency Fund –  100.0
Pension and Other Employee Future Benefits 1,519  1,265 1,128.0 1,090.0
Total Other Expense 4,863  5,962 5,094.9 5,541.5
1 Numbers reflect Public Sector Accounting Board pension expense. Ontario's matching contributions to the plan grow from $1,393 million in 2012–13 to $1,593 million in 2015–16.
Note: Numbers may not add due to rounding.
TABLE 2.25 2015–16 Infrastructure Expenditures
($ Millions)
Sector Total Infrastructure Expenditures 2014–15 Interim1 2015–16 Plan
Investment in Capital Assets2,3(i) Transfers and Other Infrastructure Expenditures4 Total Infrastructure Expenditures3(ii)
Transportation        
Transit 2,919 2,659 546 3,205
Provincial Highways 2,361 2,466 2,466
Other Transportation, Property and Planning 863 751 120 871
Health        
Hospitals 3,575 2,425 243 2,668
Other Health 359 70 206 276
Education 1,904 1,885 57 1,941
Postsecondary        
Colleges and Other 380 347 15 362
Universities 168 214 214
Social 241 27 315 342
Justice 220 91 152 243
Other Sectors5 689 418 861 1,279
Subtotal 13,680 11,138 2,728 13,866
Less: Federal and Municipal Contributions 348 75 255 330
Total 13,332 11,063 2,473 13,536
1 Includes Provincial investment in capital assets of approximately $9.5 billion.
2 Includes $170 million in interest capitalized during construction.
3 Includes approximately $2 billion in third-party investments in hospitals, colleges and schools. Excluding this amount: (i) provincially funded investment in capital assets is approximately $9.1 billion; and (ii) total infrastructure expenditure is approximately $11.9 billion.
4 Includes transfers to municipalities, universities and non-consolidated agencies.
5 Includes government administration, natural resources, culture and tourism sectors.
Note: Numbers may not add due to rounding.
TABLE 2.26 Ten-Year Review of Selected Financial and Economic Statistics1
($ Millions)
  2006–07 2007–08 2008–09 2009–102 2010–11
Revenue 97,120 104,115 97,532 96,313 107,175
Expense          
Programs 86,020 94,601 95,375 106,856 111,706
Interest on Debt3 8,831 8,914 8,566 8,719 9,480
Total Expense 94,851 103,515 103,941 115,575 121,186
Reserve
Surplus/(Deficit) 2,269 600 (6,409) (19,262) (14,011)
Net Debt4 153,742 156,616 169,585 193,589 214,511
Accumulated Deficit 106,776 105,617 113,238 130,957 144,573
Gross Domestic Product (GDP) at Market Prices 574,292 597,803 604,282 595,433 629,500
Primary Household Income 382,688 401,978 413,032 413,152 425,140
Population — July (000s) 12,662 12,764 12,883 12,998 13,135
Net Debt per Capita (dollars) 12,142 12,270 13,164 14,894 16,331
Household Income per Capita (dollars) 30,224 31,493 32,061 31,787 32,367
Interest on Debt as a per cent of Revenue 9.1 8.6 8.8 9.1 8.8
Net Debt as a per cent of GDP 26.8 26.2 28.1 32.5 34.1
Accumulated Deficit as a per cent of GDP 18.6 17.7 18.7 22.0 23.0
1 Revenue and expense have been restated to reflect a fiscally neutral accounting change for the revised presentation of education property taxes, as described in the 2010 Ontario Budget; a fiscally neutral accounting change related to the reclassification of government agencies and organizations as described in the 2011 Ontario Economic Outlook and Fiscal Review; and a fiscally neutral reclassification of a number of tax measures that are transfers or grants, as described in the 2012 Ontario Budget.
2 Starting in 2009–10, investments in minor tangible capital assets owned by the Province were capitalized and amortized to expense. All capital assets owned by consolidated organizations are being accounted for in a similar manner.
3 Interest on debt is net of interest capitalized during construction of tangible capital assets of $232 million in 2012–13, $134 million in 2013–14, $193 million in 2014–15 and $170 million in 2015–16.
4 Starting in 2009–10, Net Debt includes the net debt of hospitals, school boards and colleges, consistent with Public Sector Accounting Board standards. For comparative purposes, Net Debt has been restated from 2006–07 to 2008–09 to conform with this revised presentation.
Sources: Statistics Canada and Ontario Ministry of Finance.
TABLE 2.26 Ten-Year Review of Selected Financial and Economic Statistics1
($ Millions)
  2011–12 2012–13 Actual 2013–14 Interim 2014–15 Plan 2015–16
Revenue 109,773 113,369 115,911 118,517 124,390
Expense          
Programs 112,660 112,248 115,792 118,775 120,492
Interest on Debt3 10,082 10,341 10,572 10,675 11,410
Total Expense 122,742 122,589 126,364 129,450 131,902
Reserve 1,000
Surplus/(Deficit) (12,969) (9,220) (10,453) (10,933) (8,512)
Net Debt4 235,582 252,088 267,190 284,137 298,864
Accumulated Deficit 158,410 167,132 176,634 186,336 194,848
Gross Domestic Product (GDP) at Market Prices 658,635 679,616 695,705 720,981 751,287
Primary Household Income 444,343 460,133 473,702 489,987 509,079
Population — July (000s) 13,264 13,410 13,551 13,679 13,810
Net Debt per Capita (dollars) 17,762 18,798 19,717 20,772 21,642
Household Income per Capita (dollars) 33,501 34,312 34,957 35,821 36,864
Interest on Debt as a per cent of Revenue 9.2 9.1 9.1 9.0 9.2
Net Debt as a per cent of GDP 35.8 37.1 38.4 39.4 39.8
Accumulated Deficit as a per cent of GDP 24.1 24.6 25.4 25.8 25.9
1 Revenue and expense have been restated to reflect a fiscally neutral accounting change for the revised presentation of education property taxes, as described in the 2010 Ontario Budget; a fiscally neutral accounting change related to the reclassification of government agencies and organizations as described in the 2011 Ontario Economic Outlook and Fiscal Review; and a fiscally neutral reclassification of a number of tax measures that are transfers or grants, as described in the 2012 Ontario Budget.
2 Starting in 2009–10, investments in minor tangible capital assets owned by the Province were capitalized and amortized to expense. All capital assets owned by consolidated organizations are being accounted for in a similar manner.
3 Interest on debt is net of interest capitalized during construction of tangible capital assets of $232 million in 2012–13, $134 million in 2013–14, $193 million in 2014–15 and $170 million in 2015–16.
4 Starting in 2009–10, Net Debt includes the net debt of hospitals, school boards and colleges, consistent with Public Sector Accounting Board standards. For comparative purposes, Net Debt has been restated from 2006–07 to 2008–09 to conform with this revised presentation.
Sources: Statistics Canada and Ontario Ministry of Finance.

Support from Gaming

Proceeds from gaming activities in Ontario continue to support Provincial priorities. The Ontario Lottery and Gaming Corporation Act, 1999, requires that net Provincial revenue generated from lotteries, Ontario Lottery and Gaming Corporation (OLG) operated casinos, slot facilities and resort casinos support services, organizations and provincial priorities, such as the operation of hospitals, municipalities, amateur sports, Ontario First Nations, problem gambling prevention, treatment and research, and funding for charitable and not-for-profit organizations.

TABLE 2.27 Support for Health Care, Charities, Problem Gambling and Related Programs, Municipalities and Ontario First Nations
($ Millions)
  Interim
2014–15
Plan
2015–16
Revenue for Provincial Purposes    
Operation of Hospitals 1,640 1,638
Ontario Trillium Foundation 115 115
Problem Gambling Prevention, Treatment and Research 38 38
Ontario Amateur Sports 10 10
General Government Priorities, Including Horseracing Support 131 119
Subtotal — Net Profit to Province from OLG 1,935 1,920
Support for Municipalities and Ontario First Nations1    
Municipalities and First Nations Host Payments2 114 114
Ontario First Nations3 122 121
Total Support from Gaming 2,171 2,155
1 Operating expenses of the Ontario Lottery and Gaming Corporation (OLG) include payments to host municipalities and Ontario First Nations payments under the Gaming Revenue Sharing and Financial Agreement.
2 Includes Ontario Lottery and Gaming Corporation (OLG) operated casinos, slot facilities and resort casinos municipality host payments, the Rama First Nations Fee for Casino Rama and the Mississaugas of Scugog Island First Nation for Great Blue Heron Casino.
3 Revenues paid to First Nations resulting from the Gaming Revenue Sharing and Financial Agreement.
Note: Numbers may not add due to rounding.

Chart Descriptions

Chart 2.23: Composition of Revenue, 2015–16

This chart shows the composition of Ontario’s revenue in 2015–16, which totals $124.4 billion. The largest revenue source is Personal Income Tax revenue at $30.4 billion, accounting for 24.4 per cent of total revenue. This is followed by Sales Tax at $23.0 billion, or 18.5 per cent of total revenue, and Corporations Tax at $11.3 billion, or 9.1 per cent of total revenue. Total tax revenue accounts for $87.4 billion, or 70.3 per cent of total revenue. The other major non-taxation sources of revenue are Federal Transfers of $22.9 billion, or 18.4 per cent of total revenue, Income from Government Business Enterprises at $4.8 billion, or 3.9 per cent of total revenue and various Other Non-Tax Revenues at $9.3 billion, or 7.5 per cent of total revenue.

Return to Chart 2.23

Chart 2.24: Composition of Total Expense, 2015–16

This chart shows the share of total expense and dollar amounts by sector in 2015–16. Total expense in 2015­–16 is $131.9 billion.

The largest expense is the Health Sector at $50.8 billion, accounting for 38.5 per cent of total expense.

The remaining sectors of total expense include the Education Sector at $25.2 billion or 19.1 per cent; the Postsecondary and Training Sector at $7.8 billion or 5.9 per cent; the Children’s and Social Services Sector at $15.4 billion or 11.7 per cent; the Justice Sector at $4.4 billion or 3.4 per cent; and Other Programs at $16.8 billion or 12.8 per cent. Interest on Debt, included as part of Total Expense, is $11.4 billion or 8.7 per cent.

Note that the Education Sector excludes the Teachers’ Pension Plan. Teachers’ Pension Plan expense is included in Other Programs.

Return to Chart 2.24

Chart 2.25: Composition of Program Expense, 2015–16

This chart shows the share of program expense and dollar amounts by sector in 2015–16. Program expense in 2015­–16 is $120.5 billion. Program Expense equals total expense minus interest on debt expense.

The largest expense is the Health Sector at $50.8 billion, accounting for 42.1 per cent of program expense.

The remaining sectors of program expense include the Education Sector at $25.2 billion or 20.9 per cent; the Postsecondary and Training Sector at $7.8 billion or 6.5 per cent; the Children’s and Social Services Sector at $15.4 billion or 12.8 per cent; the Justice Sector at $4.4 billion or 3.7 per cent; and Other Programs at $16.8 billion or 14.0 per cent.

Note that the Education Sector excludes the Teachers’ Pension Plan. Teachers’ Pension Plan expense is included in Other Programs.

Return to Chart 2.25