44th Parl. 1st Sess.
December 11, 2023 11:00AM
Madam Speaker, competition is at the front and centre of everyone's minds right now, especially when Canadians are paying the highest grocery bills ever in the history of this nation. Even the report that came out last week said that grocery bills in 2024 are going to go up still another $700 per family, and they are struggling now just to buy the basic necessities.
Could the member please tell the House what exactly this bill would do to lower that $700 bill per family next year?
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Madam Speaker, before I begin, I would like to ask for unanimous consent to share my time with the hon. member for Lévis—Lotbinière.
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Madam Speaker, I can speak for 20, 30 or 40 minutes about this important topic. I am happy to stand in the House today on the report stage of Bill C-56.
We have been talking about competition quite a bit in the House, including the need for competition and the lack of competition. We know that Canada has a competition problem. We see it in every sector that Canadians are a part of, including cell phones, banking, groceries, wireless and Internet. There is not really any sector in the Canadian economy that is not dominated by oligopolies and monopolies.
When this bill came along, we looked at it favourably because certain aspects were going to be improved. Mostly we looked at it favourably because there were Conservative aspects that were part of it, including my private member's bill, which was read into the act. Of course, I have a new private member's bill. We are all happy for that, and we are moving on.
The crux of the bill, the affordable housing and groceries act, is really anticlimactic in that, when this bill receives royal assent and becomes law, it will not really change the fact that Canadians are still paying the highest grocery fees and are in the worst housing crisis in this country's history. That is because the bill does promise to make some changes to the Competition Act. This bill would do some minor tinkering around the edges for what we need to have changed in the Competition Act. However, it does not do the real hard work. It does not have the courage to change the real things that need to happen to change competition in Canada.
The bill would enact Competition Act changes. It would certainly make some provisions and changes to the abuse of dominance. It looks at illuminating the efficiencies defence, which was in my private member's bill that came forward. It looks at how market studies should be handled by the Competition Bureau itself.
However, when it comes to the real aspects that are hurting consumers at the grocery store right now, where they are paying 20% more for groceries after eight years of the Liberal-NDP government, it does not tackle the biggest aspect, which is the carbon tax. The carbon tax is added to the farmer, to the trucker, to the manufacturer, to the cold storage facility, so it is added one, two, three, four times to the consumer bill and passed on to the consumer.
It certainly does not tackle the fact that, when it comes to housing in Canada, we are building fewer homes now than we did in 1972, when we have over 40 million Canadians in this country right now. It certainly does not tackle the fact that, because of high inflation after eight years, the costs of everything have gone up, including building materials and labour for homes. The fact is that over the years, we have built up a big barrier of what we call Nimbyism, protecting our backyards from others so that we cannot build homes.
Consumers are stretched. Mortgage renewals are coming due. Over 70% of Canadians with a fixed mortgage will have to renew their mortgage over the next two years, this during the fastest run-up of interest rates in the whole history of this country.
The carbon tax had unintended consequences, and consumers are screaming. They were promised that they would get more back in rebates than they put in. However, the unintended consequences have been that those carbon taxes have added costs to grocery bills. Those added costs are on the price of almost everything that Canadians are paying. They see the rebate in their hands, compared to the bills they are paying each and every day, and Canadians are smart. They now know that they are paying way more in those carbon taxes than they are getting in rebates. After eight years of the Liberal-NDP government, Canadians cannot afford any more.
We have looked at competition, and we have looked at the two parts of the act that we need to solidify. One is to put a stranglehold on how big the big, bossy, dominant conglomerates, oligopolies and monopolies can get in Canada. Canadians have had enough, whether it is cell phone bills, where we have three companies that control 90% of all cell phones in Canada, which are the most expensive three carriers out of 128 carries in 64 countries, or whether it is groceries, where we used to have competition in Canada. Eight grocery stores used to run and compete with one another, driving prices lower. It is now down to only three Canadian companies competing with two American conglomerates. They used to all be Canadian competitors. We used to be able to go to different stores. Now Canadians find that they oftentimes going to the same competitors.
Obviously, prices have not gone down, and this is only after the last eight years with a Competition Act that was outdated. It has certainly outlived its prime, since the Competition Act was created based on the 1960s industrial policy, which said, “We want Canadian companies to get as big as possible to compete internationally.” It is actually in the purpose clause of the Competition Act right now to make Canadian companies as big as possible so that they can compete internationally. This is what we deem as competition. When it comes to competition, we want more companies to compete, not internationally but to compete for Canadians' dollars. Canadian companies should not be able to make all of their money on the backs of hard-working Canadians; Canadian companies need to compete with one another for Canadians' hard-earn tax dollar.
The breadth of this Competition Act, which needs to be changed, is the premise and the purpose of the Competition Act. Number one, we need to ensure that big-box conglomerates and corporations cannot get bigger on the backs of hard-working Canadians. However, the second and most important aspect of the Competition Act is to ensure that we have competition or that we have start-ups in Canada.
Canada now, according to the BDC, has 100,000 fewer entrepreneurs compared to 20 years ago, despite our population increasing by over 10 million people. Canada has failed to create competition. We can look at one aspect to say that we would really love to make sure that we stifle the top monopolies and oligopolies and make sure that they cannot merge with one another, but the other big problem we have missed along the way is to have start-ups created to compete with one another. It used to be that Canada was the bastion for that, and we were able to find start-ups and have great Canadian companies start up and grow in scale, but for the first time in our history, we have fewer start-ups per capita than ever before, after eight years of this government.
When we talk about new jobs and creating wealth in this country, which is something I am afraid we are going to have to speak about a lot over the next year, we look to small business and start-ups to fulfill that role. Ninety-seven per cent of all new jobs in Canada are created by small business. When we look at the complexity and the value of these small businesses, the men and women who can take a risk and start something new in Canada, right now what we are missing most of all is to ensure that we create those jobs and businesses in this nation.
At the end of the day, we have to really look at what this bill would do and what it would not do. We are certainly going to vote for this legislation. At the end of the day, the Competition Bureau itself has been ignored for the last eight years. Coincidentally, the first time that this government starts talking about it is when the opposition leader names a competition shadow minister for the first time in government, which looks at the importance of what competition can do for the nation and what it means for Canadians. Of course, the first thing it means is prices, and the second thing is our jobs and paycheques. We can create new start-ups and new businesses.
For instance, when we look at the banking sector, the biggest thing we are trying to put forward is consumer-led or open banking. There is an opportunity, where this government has been dragging its feet, to create hundreds upon hundreds of financial tech institutions that can not only create jobs and paycheques for Canadians, but provide options for Canadians of where to put their hard-earned money when it comes to financial services in Canada. I would hope that through this, and we will be talking about it when we get back in January, the government introduces the legislation that it promised in 2018.
More importantly, as Bill C-56, the affordable housing and groceries act, comes forth, Canadians are going to be angry about how anti-climactic it will be. Grocery prices are not going to go down after the bill passes, nor will our housing crisis be solved. It would do something important for the Competition Act, but not nearly enough to undo what has already been done. Most importantly, it would not create the start-ups that have stopped, the start-ups that can drive housing starts and create more options and more food in the value chain.
We need boldness, and we need courage. We need a new government to present policy that would actually create homes and grow food without punishing our farmers in this country. It is time to bring it home for farmers, for our country and for Canadians looking for a home of their own.
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Madam Speaker, let us talk about hypocrisy, then, for a minute. Here are the mergers that have been approved by the Competition Bureau since the Trudeau government has been in power: Air Canada was approved to buy—
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I am sorry, Madam Speaker. I did not even realize I did that.
Here are the mergers that have gone through: Air Canada and Air Transat in 2019, approved by the Competition Bureau; Rogers and Shaw in 2022; RBC approved to buy HSBC in 2023; WestJet buying Sunwing in 2022; Superior Propane buying Canexus in 2018; and Sobeys approved to buy Farm Boy in 2018. The hypocrisy knows no bounds.
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Madam Speaker, housing is very important. Speaking as a former municipal councillor, I know the buck really falls with the municipalities. There is a provincial act that oversees the municipal act itself, but it does come down to the municipalities to be able to push things forward, and that is the Nimbyism I have point out.
I am going to talk about some stats that came out today, and this is after eight years of the government. The Rentals.ca December rent report confirmed that while American rents are beginning to stabilize, Canadian rents remain at record highs. The average rent increased 8.4% this year. “One-bedroom apartment annual rent growth remained strongest”, with an average of $1,943. There are people in Toronto who are renting the other side of the bed; that is how bad it has become.
We believe we need to incentivize but also reward municipalities for pushing through rental and construction as a whole. We believe that as party, and I believe that as a former municipal politician.
There are so many times when it is easy for a municipal politician to vote down a rental agreement or a plan that comes forward. We need to find ways to incentivize municipalities that are getting things done, especially around high-density transit, especially where we need housing and especially where we need rental.
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Madam Speaker, yes, members I have talked to are all looking forward to the rebate when we axe the tax and get rid of all the tax they are paying. Canadians know when they go to the grocery store now that they are seeing the increase because the farmers and the manufacturers and the truckers have all incurred increases and are passing them on. Why are food prices the highest they have ever been in the history of Canada? It is because of the carbon tax. Canadians want that tax off. Let us axe the tax.
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