The death of former finance minister Jim Flaherty brought together politicians of every stripe yesterday, acknowledging a man who led Canada through one of the most difficult economic periods in recent history – and who put demutualization on the national agenda.
“This comes as an unexpected and a terrible shock to Jim's family, to our caucus and to Laureen and me," Prime Minister Stephen Harper told reporters, as his wife Laureen stood at his side.
MPs suspended the House of Commons just before the daily question period Thursday, around 2:15 p.m., as news of Flaherty's death made its way through Parliament Hill.
It was NDP Leader Tom Mulcair who moved for the adjournment.
Flaherty - a Conservative MP for the Toronto-area riding of Whitby-Oshawa and one of Canada's longest serving finance ministers - resigned from politics last month, citing his desire to return to the private sector.
Reports over the last year indicated that Flaherty was suffering from a rare and painful skin disorder, yet he said, upon his resignation on March 18, that his decision to leave politics had nothing to do with his health. (continued.)
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The former politician - who was elected as finance minister in 2006 - was known for the introduction of the Tax Free Savings Account (TSFA) and the Registered Disabilty Savings Fund (RDSP), as well as lowering corporate taxes.
More importantly for the insurance industry, Flaherty laid the groundwork for Ottawa’s new finance minister Joe Oliver to table Bill C-31 into the 2014 Federal Budget – seen as a positive step towards implementing a framework for P&C insurance demutualization.
The Bill includes amendments to the Insurance Companies Act (Canada) (ICA) that are required to broaden the Governor in Council’s authority to make regulations under the act.
In eight years at finance, he reduced the GST, reined in federal spending, brought in an array of boutique tax breaks — mainly aimed at aiding families — and slashed corporate income tax rates.
Never afraid to make the tough decisions, he killed the popular income trust investment vehicle on Halloween 2006, wiping $20 billion from the stock market and contradicting a Harper campaign promise. (continued.)
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Flaherty - born in Lachine, Que. - attended Princeton University and Osgoode Hall at Toronto's York University. He worked as a lawyer for 20 years before entering politics. He served as Ontario MPP from 1995 to 2005, and also held posts as deputy premier, attorney general and minister of labour.
Flaherty is survived by his wife Christine Elliott and his three triplet sons.
