Freeland to release fall economic and fiscal update on Dec. 14

Finance Minister Chrystia Freeland will release her fall economic and fiscal update on Dec. 14.

The announcement comes as inflation continues to plague the economic recovery in Canada and other developed countries, with the price of everything from food to energy rising at rates not seen in decades.

It also comes as Freeland faces a struggle to get her bill extending pandemic supports through Parliament before the Christmas break.

Talks have been underway between the government and opposition parties to expedite Bill C-2, which was introduced last week in the Commons and would provide more than $7 billion in additional pandemic benefits.

The NDP and the Conservatives insist they will not fast-track the legislation through the Commons and have called on the Liberals to swiftly reform parliamentary committees so that MPs can study the bill.

A motion was passed in the House of Commons earlier today that would see the Commons finance committee reconstituted to consider Bill C-2 no later than Monday, Dec. 6.

As a part of the motion, Freeland is to appear before MPs during the consideration of Bill C-2 to make a statement and take questions from MPs for no less than two hours.

The Conservatives say they want Freeland to appear before committee to answer questions about existing pandemic supports going to criminals and prisoners.

The New Democrats say they want changes to the legislation to protect workers who can't claim employment insurance and don't qualify for the proposed lockdown benefit. The party also wants the Liberals to make changes to prevent clawbacks of the Guaranteed Income Supplement for low income seniors who accepted pandemic benefits over the past 18 months.

Freeland is also facing difficult economic circumstances. Statistics Canada says Canada's inflation rate jumped to a new 18-year high of 4.7 per cent in October, led by sharply higher prices for energy.

A year ago, the inflation rate in Canada was 0.7 per cent.

When the cost of energy is taken out of the calculation — leaving just the overall cost of consumer goods such as food, shelter, clothing, housing, health care and recreation — the inflation rate drops to 3.3 per cent.

While that number is still above the Bank of Canada's inflation target of 2 per cent, it's well below the 6.2 per cent inflation being experienced in the United States.

The rising cost of goods is only one problem facing Freeland as she prepares for next year's budget.