Mixed Messages and Clarifications From First Week of New Cabinet

Ministers applaud after Prime Minister Mark Carney signs a document at the end of a meeting of the federal cabinet, in the West Block on Parliament Hill in Ottawa on May 14, 2025. The Canadian Press/Justin Tang

News Analysis

Prime Minister Mark Carney appointed a mix of old and new faces to his cabinet this week, and both had a hand in raising some controversy when talking to media, with some issuing clarifications later.

After an election heavily focused on bringing back affordability for Canadians and building the country’s economic potential, what some ministers said about pipelines and housing generated mixed reactions.

The new cabinet was sworn in on May 13 at Rideau Hall, with a total of 29 ministers, including Carney as prime minister, supported by 10 secretaries of state.

The next day, the 39 top officials had their first cabinet meeting on Parliament Hill. As is customary, some stopped to speak with the large group of reporters amassed outside the cabinet room looking for clues on the direction of government policy.

While some remained careful in their comments, and stressed the importance of “getting back to work,” like Minister of Women Rechie Valdez, others went further by taking a diverging stance from the prime minister’s when responding to questions.

That was the case for Canadian Identity Minister Steven Guilbeault, who was reconfirmed in the role this week after first taking on the portfolio in March. Guilbeault had previously overseen the Canadian Heritage portfolio, but he is more widely known for his role as minister of environment and climate change in recent years.

Before the cabinet meeting, Guilbeault was asked by reporters to react to Alberta Premier Danielle Smith saying he’s “anti-pipeline” and to give his opinion on how to deal with the issue of national unity.

“On pipelines, people should remember that we bought a pipeline, Trans Mountain, and that is only used right now at about 40 percent capacity,” Guilbeault replied. “So I think before we start talking about building an entire new pipeline, maybe we should maximize the use of existing infrastructure.”

Smith responded later that day that Trans Mountain is almost at capacity, and called on new Environment Minister Julie Dabrusin to “disavow” Guilbeault’s comments. Data from the Canada Energy Regulator shows the pipeline was at 76 percent capacity in December 2024. The pipeline’s operator also said in February it was looking to expand capacity by up to a third.

Then-Minister of Environment and Climate Change Steven Guilbeault responds to a question during a news conference in Ottawa on June 14, 2023. Adrian Wyld/The Canadian Press

Guilbeault’s comments came the day after Carney had told CTV News in an interview that he’s in favour of building new pipelines if there’s a “consensus.” “Because I understand the need for that consensus, I’m a prime minister who can help create that consensus,” he said.

Carney also opened the door to reviewing legislation such as the Impact Assessment Act to help projects get approved faster. The legislation has been opposed by some provinces, including Alberta and Saskatchewan, saying it drives away resource development projects due to its regulatory burden.

Guilbeault said on the matter that “these are important conversations that we will need to have in the coming weeks.”

Guilbeault had endorsed Carney in the Liberal Party leadership race, saying he was the right candidate to fight climate change. Carney has been a strong proponent of climate change policies, including carbon taxes, but he has also described himself as a “pragmatist.”

His first act as prime minister was to set the consumer carbon tax rate to zero. Guilbeault had championed the carbon tax during his tenure as environment minister and was one of its strongest defenders.

Housing Minister Issues Clarification

Alongside resource projects, housing was also a key topic discussed during the election campaign. Carney put out an elaborate platform, promising to involve the federal government in home building with an objective to bring new housing starts to nearly 500,000 a year. He also promised to remove the GST on new homes under $1 million.

With this focus on boosting housing affordability, new Housing Minister Gregor Robertson made headlines on May 14 by saying housing prices don’t need to go down, but rather, supply should go up.

When asked by reporters on his way to the cabinet meeting if he thinks home prices need to go down, he replied: “No, I think that we need to deliver more supply, make sure the market is stable.”

Minister of Housing and Infrastructure and Minister responsible for Pacific Economic Development Canada Gregor Robertson poses for a photo after a cabinet swearing in ceremony at Rideau Hall in Ottawa, on May 13, 2025. The Canadian Press/Spencer Colby

“The Government of Canada has not been building affordable housing since the 90s, and we created a huge shortage across Canada, that’s where the big need is right now,” he said.

Robertson later sought to clarify his comments. He said on the X platform the question he had answered was about “reducing the price of a family’s current home, which for most Canadians, is their most valuable asset.”

“The question wasn’t ’should homes be more affordable?' Of course they should,” he added.

Robertson served as Vancouver mayor from 2008 to 2018 and he said the city had led the country in co-ops, rental-only zoning, and social housing. He also mentioned launching Canada’s first empty homes tax, which he said created thousands of rental units.

Conservatives, in turn, have criticized his tenure as mayor, saying home prices increased substantially during his time in office. The average price for a home in Vancouver during Robertson’s tenure increased by around $1.5 million, according to data from the Canada Mortgage and Housing Corporation.

In reaction to comments made by ministers in the media scrums around cabinet, a Liberal strategist said it will take time for ministers to settle in their roles.

“It generally takes Ministers a few weeks to get up to speed on their new portfolios which tend to both complex and nuanced by definition,“ Charles Bird, principal at Earnscliffe Strategies, told The Epoch Times in an email. ”For successful Ministers, preconceived notions quickly give way to a more fulsome understanding of the dynamics at play and a willingness to engage stakeholders and to hear different perspectives.”

Budget Plan

Minister of Finance and National Revenue François-Philippe Champagne on Parliament Hill in Ottawa on May 14, 2025. The Canadian Press/Justin Tang

Another cabinet member who made waves around the cabinet meeting on May 14 was Finance Minister François-Philippe Champagne. Asked by reporters if he would table a budget before Parliament goes on break for the summer, he listed a chain of events which didn’t include presenting a budget.

He said there would be a “middle class” tax cut"—referring to the government’s plan to cut the lowest income tax bracket by 1 percent, the speech from the throne which outlines the government’s agenda, and a Fall Economic Statement.

“Canadians have seen the priorities that we have outlined during the campaign. Priorities are not going to be different,” Champagne said.

Since creating budgets are among the most important tasks of a government, Champagne’s announcement must have been in full coordination with Carney. But it was the item most heavily criticized by the Opposition this week, with Conservatives saying it contradicts Carney’s position during the election that it’s important to have a plan.

“Mr. Carney said during the election campaign that he had a plan, and he took great delight in saying that a slogan is not a plan. Well, a budget is a plan,” Conservative Leader Pierre Poilievre told reporters in Ottawa on May 15. He added not having a budget sends a “bad signal” to investors and credit rating agencies.

Scotiabank Vice President and economist Derek Holt wrote in a May 15 note that Canadians have a “right to know the state of the government’s finances” and “how bad they are now,” otherwise it’s like they gave Liberals a “blank cheque” in the latest election.

In a media appearance on CTV News, Champagne said that with the Liberals’ planned tax cut and the upcoming throne speech and Fall Economic Statement, there will be “no surprises” for Canadians on what the government plans to do.

Former Minister Issues Clarification

Liberal MP Nathaniel Erskine-Smith speaks in Ottawa on Nov. 15, 2022. The Canadian Press/Patrick Doyle

There was another Liberal MP who issued a clarification after generating many headlines with his comments on social media.

After Carney announced his new cabinet on May 13 and left former Housing Minister Nate Erskine-Smith out of cabinet, the Toronto MP said on social media that that it’s “impossible not to feel disrespected.”

Erskine-Smith had announced early last year that he wouldn’t seek re-election, but he changed his mind after former Prime Minister Justin Trudeau assigned him as housing minister late last year. Carney kept Erskine-Smith in that post in his first cabinet announced on March 14.

In an interview with CBC News on May 15, Erskine-Smith said that in his May 13 social media post, he had also congratulated the new cabinet members, and that he hopes his comments aren’t taken “out of context.”

“That overall statement I hope was positive, and just a note for certain colleagues, I mean, there are great people around that cabinet table,” he said.