HALIFAX — Nova Scotia is forecasting a deficit of $264.3 million for the current fiscal year — about $14.6 million less than the figure estimated in last spring’s budget.

Finance Minister Allan MacMaster says the slight improvement from the $278.8-million deficit estimated in the budget for the 2023-24 fiscal year is due to increased tax revenue.

Provincial revenues are up by $492.7 million from the budget estimate, to $14.8 billion, mainly due to more money collected from income taxes.

Expenses are up $440.2 million, to $15.3 billion, due primarily to spending on health care, targeted cost-of-living support and debt servicing.

The government has spent a further $154.4 million that wasn’t included in the March budget, bringing the total extra spending for the current fiscal year to $777.5 million.

MacMaster says the pace of spending on items not included in the budget is not expected to reach last year’s record total of $1.7 billion.

This report by The Canadian Press was first published Dec. 18, 2023.

The Canadian Press