Finance Minister Chrystia Freeland is resigning from cabinet amid a dispute with Justin Trudeau about how to handle the country’s finances.
In a letter to Trudeau posted on social media, Freeland said rather than be shuffled to another cabinet position, she will be resigning, claiming the two were constantly “at odds about the best path forward for Canada.”
“On Friday, you told me you no longer want me to serve as your Finance Minister and offered me another position in the Cabinet,” the letter said. “Upon reflection, I have concluded that the only honest and viable path is for me to resign from the Cabinet.”
Freeland said she will stay on as a member of Parliament and seek re-election.
Freeland, who’s served as finance minister since 2020, noted that in the face of Donald Trump’s proposed 25% tariffs, Trudeau’s government must focus on “eschewing costly political gimmicks” which Canadians “can ill afford.”
This comes after news that Freeland was cancelling Trudeau’s announced $250 cheque distribution scheme.
In the letter, Freeland said the move to hand out the costly rebates could “make Canadians doubt that we recognize the gravity of the moment.”
The Working Canadians Rebate would cost taxpayers $4.675 billion.
Freeland said Canada needs to push back against “America First” economic nationalism to fight for Canada’s economy.
“I know Canadians would recognize and respect such an approach. They know when we are working for them, and they equally know when we are focused on ourselves,” Freeland wrote in the letter. “Inevitably, our time in government will come to an end. But how we deal with the threat our country currently faces will define us for a generation, and perhaps longer.”
According to CBC journalist Ashley Burke, when Freeland was asked if she would deliver the fall economic statement, she said “what happens with the FES is a question for the PM’s office.”
Trudeau’s housing minister, Sean Fraser, told reporters Monday morning that he will not seek re-election in the next federal election and will also be leaving cabinet. Fraser cited “family reasons.”
There have been several reports that Trudeau is actively courting former Bank of Canada governor Mark Carney to join his cabinet.