[UPDATED] Dhanpaul: Expect late salaries, pensions for Xmas

Opposition Senator Vishnu Dhanpaul has warned that the upcoming holiday season could be miserable for civil servants and citizens dependent on public assistance, due to the "collapse" of the 2025/2026 budget.

At a media conference on November 6, Dhanpaul said the opposition had cautioned about the $59.2 billion fiscal package falling apart before the end of January 2026 during their contributions in the budget debate in Parliament.

Dhanpaul, a former finance minister and permanent secretary, said the writing was already on the wall as these payments were late over the last few months.

“Starting from this month, the government is going to be cash-strapped. Cash flow is going to be a problem,” Dhanpaul said.

Finance Minister Davendranath Tancoo recently apologised to workers at state entities for delays in monthly salary payments.

In response to a question from Diego Martin North/East MP Colm Imbert in the House of Representatives on October 31, Tancoo said issues affecting payment should be resolved by November 3.

Dhanpaul expects Tancoo to come to Parliament soon to bridge the fiscal shortfall.

He questioned whether the government's decision to base its fiscal 2026 budget on an oil price of US$73.25 per barrel and natural gas at $4.25 per million British thermal units (MMBtu) was a ploy to gain access to the Heritage and Stabilisation Fund (HSF).

Dhanpaul labelled the budget deficit as “deceptive” as it does not include money for the promised ten per cent salary hike for public servants and other increases in expenses.

While Dhanpaul said he has no problem with public servants getting more money, he said it should not hurt the country in the long run.

He called on the finance minister to come clean about the government’s plans to meet all of its lofty promises.

Dhanpaul said the government was unclear in its budget accounting, which could see the deficit pass the projected $3.865 billion.

Dhanpaul noted it is not the first time a government has had a budget derailed as it occurred under the leadership of both Patrick Manning and Dr Keith Rowley.

Dhanpaul said a derailed budget usually comes with cuts across expenditure.

If the government comes to Parliament for more money, he said it could result in a downgrade in TT’s investment grade.

In response to Dhanpaul’s claims, Tancoo accused the opposition of trying to create “division, fear and panic” in the population.

“The PNM had no solutions to offer the country for a decade. They have no solutions now,” he said.

This story has been adjusted to include additional details. See original post below.

Opposition Senator Vishnu Dhanpaul has warned that the upcoming holiday season could be miserable for civil servants and citizens dependent on public assistance, due to the "collapse" of the 2025/2026 budget.

At a media conference on November 6, Dhanpaul said the opposition had cautioned about the $59.2 billion fiscal package falling apart before the end of January 2026 during their contributions in the budget debate in Parliament.

Dhanpaul, a former finance minister and permanent secretary, said the writing was already on the wall as these payments were late over the last few months.

He expects Finance Minister Davendranath Tancoo to come to Parliament soon for more money to meet the shortfall.

Newsday has tried to contact Tancoo for a response to Dhanpaul’s claims.