It’s no accident that our provincial economy has gone from being one of the weakest in Canada to one of the strongest anywhere today. Our province is more competitive and more attractive to new investment and job creation, because every year our government has lowered costs on our economy. We have put more money back in taxpayers’ pockets and reduced costs on families and small businesses alike.

Right now, as everyone struggles to make ends meet, lowering costs is even more crucial. That was the heart of the Premier’s economic strategy last Fall. It is a central component of our Platform. For more details on the government’s economic plan, see www.gov.bc.ca/economic_plan

As the table above shows, the new tax reductions introduced last fall mean that citizens earning $20,000 a year will now pay 75 per cent less provincial income tax than they did under the NDP, while middle income earners will pay at least 37 per cent less. The Opposition voted against virtually every one of these tax reductions.

We have established new options to allow people facing financial hardship to defer their property taxes. That can save homeowners thousands of dollars in the next two years when they need their money most. All British Columbians received a $100 Climate Action dividend last year. As well, they received an accelerated five per cent income tax reduction. But the plan recognizes that one-size-fits-all solutions don’t work in a province the size of BC.

A new Northern and Rural Homeowner benefit provides an added $200 saving on property taxes for residents of the north and rural areas. It will help offset the added costs that northern and rural residents face with regard to the revenue neutral carbon levy. The low income climate action tax credit of $100 per adult and $30 per child will also increase by five per cent on July 1, 2009.

There are new savings and incentives to promote energy efficiency, hefty rebates for old vehicles, and sales tax exemptions on fuel efficient vehicles that can save people thousands of dollars on new cars and trucks. We have acted to protect families’ RRSPs from creditors and created new security for deposits in credit unions. Next year, we will introduce a new voluntary, defined contribution pension plan for all citizens who currently lack that option and want to participate in a private pension plan.