Ernie Eves - The Harris Years

The Harris Years

Eves is a long time close friend of fellow northern Ontario MPP Mike Harris. In 1990, Eves backed Harris' bid for the party leadership. In 1995, after being elected on the "Common Sense Revolution", a Reagan-style program of tax cuts and government cutbacks, Eves was appointed Harris' Minister of Finance and Deputy Premier.

In Finance, Eves supervised significant cuts to taxes and public spending, particularly in the field of social assistance. Provincial income taxes were cut by 30% and welfare rates were reduced by 22%, resulting in 500,000 people being cut from the Ontario welfare rolls. There were also cuts to education and health services. The Harris government justified these measures as necessary to eliminate the provincial deficit.

After initially adopting a policy of restraint toward health care costs, Eves' later budgets increased health spending. He eventually succeeded in balancing the budget early in the government's second term.

As Minister of Finance, Eves also oversaw two controversial privatization initiatives: the long-term lease of the Bruce nuclear generating station to British Energy and the 99-year lease of Highway 407 to a consortium of mainly foreign investors.

Upon his retirement, Eves claimed that the impact of his 22% reduction in welfare rates "kept him up at night." There have also been reports that Eves was conflicted about the risks of adding $22 billion to the provincial debt by cutting taxes before balancing the budget. Some believe that Eves was responsible for restraining some of Harris' more radical initiatives during their time in office.

Despite the close friendship and similar backgrounds and beliefs of Harris and Eves, the two have very different public personae. While Harris tried to be the embodiment of a grass-roots politician, Eves was just the opposite. He was always meticulously well-turned-out in expensive suits, with court-filings revealing he spent $25,000 a year on clothing, $5,000 a year on jewelry and cufflinks and $700 a month on dry cleaning. Eves also sported a slicked-back hair style that reinforced his image as a "slick" politician.

Eves' personal life in the last few years of the Harris government was tumultuous. His son, Justin, was killed in a traffic accident in Parry Sound, and soon after his long-standing marriage broke down. Eves began a relationship with a fellow cabinet colleague, Isabel Bassett, and he and his wife separated. On February 8, 2001 Eves decided to resign from his post of Finance Minister to seek opportunities in the private sector. He became vice-chair of the investment bank Credit Suisse First Boston and senior partner at a prominent Toronto law firm.

In a March 2001 by-election, he was replaced as MPP for the riding of Parry Sound—Muskoka by Norm Miller, son of former Premier Frank Miller.