Finance Minister John Manley repeated his assertion Friday that the government will not raise taxes nor introduce new ones to pay for a renewal of the health-care system, though he added he'll consider all options.

Canadian Press

OTTAWA — Finance Minister John Manley repeated his assertion Friday that the government will not raise taxes nor introduce new ones to pay for a renewal of the health-care system, though he added he'll consider all options.

"I've only heard that there might be a recommendation to that effect," Manley said after meeting private-sector economists. "I think that Canadians are not anxious to see tax increases.

"We are on a program that we announced before the election in 2000 that we have legislated to reduce taxes. We don't have a plan or an intention to increase taxes."

Manley didn't say where the recommendation might come from, but a Senate committee report on health care is expected next Friday and a major report on health care from former Saskatchewan premier Roy Romanow is scheduled for release next month.

Romanow has indicated there has to be more money for health care, but hasn't said where it should come from.

"I am prepared to look at what's recommended and certainly cabinet will have to discuss it," Manley said.

But he said increasing the GST is out of the question.

"Just so this is really, really clear: If anyone thinks that we have a plan to increase the GST for health or any other purpose, they can forget it. Is that clear?"

When reports surfaced last month that a GST hike was in the cards to help pay for health care, Manley responded by saying he'd rather jump off the Peace Tower than raise the GST.

The Prime Minister's Office has also dismissed the possibility.

Prime Minister Jean Chretien, in his Oct. 1 defence of the speech from the throne, said: "The issue is not whether we will pay more as a society for health. We will. It is about the type of society we want."

The government said in the throne speech it would convene a first ministers meeting as soon as Romanow's report is delivered.

Chretien said then that major, long-term new funding for health care would be included in the next budget, to be tabled early next year.

Manley and Maurizio Bevilacqua, the junior finance minister, met with about a dozen private-sector economists Friday as part of preparations for the budget and for an economic and fiscal update expected by month's end.