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Quebec favoured, Ontario alleges.

The America's Intelligence Wire

| May 03, 2006 | COPYRIGHT 2003 Financial Times Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

(From Financial Post)

Byline: RICK RYCROFT

OTTAWA - The Harper government's plan to attack the fiscal imbalance, as presented in yesterday's federal budget, was quickly panned by the Ontario government as favouritism toward Quebec.

Ontario Minister of Intergovernmental Affairs Marie Bountrogianni noted that the bulk of the increased equalization payments -- about $255-million -- was going to Quebec.

"It's a small increase relative to the $11-billion that's already paid out. Having said that, 40% of that is Ontario's money," she told reporters at Queen's Park.

Ms. Bountrogianni then took a shot at Prime Minister Stephen Harper's…

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