The federal government will join the group of provinces and territories advancing the passport model for securities regulation.

Finance minister Jim Flaherty issued a statement at the conclusion of a meeting between him and his provincial counterparts meeting on Friday, saying, “Ministers also agreed to accelerate progress on more collaborative and efficient securities regulation and enforcement in Canada, with a focus on performance and outcomes.”

“At the invitation of provincial and territorial finance ministers, the Government of Canada indicated it is prepared to join the Council of Ministers of Securities Regulation in order to push for progress towards a common securities regulator,” he added.

Flaherty also noted that the discussions focused on three areas in particular: strengthening the economic union, tax collaboration, and shared priorities such as support for infrastructure, post-secondary education and training, and important national transfer programs, including Equalization and Territorial Formula Financing.

He said that three joint working groups of officials from the federal government and interested provinces have been established to examine how the ministers from all jurisdictions can make progress on: improving international competitiveness by strengthening internal trade and labour mobility, and improving regulatory efficiency; collaboration on the Working Income Tax Benefit, tax harmonization, the recommendations of the Expert Panel on Financial Security for Children with Severe Disabilities, and implementation of the proposed distribution tax on publicly traded income trusts and other flow-through entities; and, reducing the paper burden on businesses.

The results of the work on tax harmonization, labour mobility and reduced paper burden will be presented to the ministers at their next meeting, expected in June 2007. “As part of my pre-budget process, I look forward to receiving reports early in 2007 on joint work on the implementation of the WITB and the recommendations of the Expert Panel on Financial Security for Children with Severe Disabilities,” he added.

“We also continued our dialogue on Canada’s New Government’s plan to restore fiscal balance,” he said. “On Equalization and TFF, all ministers reiterated their support for returning these programs to principle-based formulas. Provincial and territorial Ministers also stressed the importance of obtaining certainty with respect to 2007-08 payments to facilitate their budget planning. There was extensive and useful discussion on the importance of predictable, long-term funding for post-secondary education and training, and how governments can most effectively ensure that Canada continues to have one of the best-educated and most highly skilled workforces in the world.”