“We do need a growing economy,” Prime Minister Justin Trudeau told reporters at the Liberal cabinet retreat in Montreal. But he said the government is focusing on ensuring people have supports and opportunities, incompatible with the cuts which he said the business community and opposition Conservative are proposing. (The Logic)

Talking point: In a letter to Trudeau over the weekend, Business Council of Canada president Goldy Hyder wrote that Ottawa can’t achieve its self-imposed fiscal anchor—a deficit of 1 per cent of GDP from 2026–27—without $12 billion a year in spending cuts, or new taxes. Trudeau didn’t dispute the math, but he did frame the criticism as self-interest. “The business community very much wants to continue to be able to be profitable and growing, and that’s something we all want for the business community,” he said. He went on to note that some in the private-sector had been “iffy” on the Liberals’ child-care plan, which he claimed has created economic benefits. In response to a question from The Logic, Trudeau also said the government is looking at “increasing our productivity in smart and thoughtful ways,” citing Canada’s success  attracting foreign direct investment last year as proof the Liberals’ industrial policy is working.