This past Wednesday, the Government of Ontario issued an update on its
Jobs and Prosperity Fund.
The fund, which was proposed in 2012 and passed in 2014, was, according to the government, created to streamline and improve Ontario's suite of private sector support programs.
The $2.5-billion the provincial government allocated to the fund is currently being split between three streams: a new economy stream which, among other things, is meant to help private sector companies improve their research and development capacity; a strategic partnerships stream that is aimed at finding and building partnerships between the government and the innovative entrepreneurs, companies and organization that call Ontario home; and a food and beverage stream that is meant to help the province's food manufactures improve their productivity and help them gain access to new markets.
“The Jobs and Prosperity Fund gives us the flexibility to offer strategic incentives, where necessary, to secure anchor investments in key sectors,” said Brad Duguid, Ontario's Minister of Economic Development, in an email interview.
Despite providing no concrete numbers, Duguid says the grants have already created results. “We’re already seeing the benefits that this fund will bring — our investments through JPF in companies such as Cisco, OpenText, Ford and Honda. These investments have already helped to create and retain thousands of good paying jobs in Ontario, and billions of dollars in private sector investment.”
Prior to the 2014 election, former Progressive Conservative Leader Tim Hudak criticized the program and other similar Liberal initiatives as “corporate welfare”. The program is set to last 10 years.
Source: Government of Ontario