Gail Shea says Robert Ghiz needs to take responsibility for the province's financial troubles.Gail Shea says Robert Ghiz needs to take responsibility for the province's financial troubles. (CBC)

Gail Shea, the National Revenue Minister and P.E.I. MP says it's time for Premier Robert Ghiz to take responsibility for the province's financial troubles.

Shea responded to a speech Ghiz made late last week, saying cuts to the GST and capping equalization transfers have been a blow to the province.

"Nothing could be further from the truth," said Shea. "Transfers to the province of P.E.I. is at an all-time high and it will continue to grow. I want to correct that record today."

The Ghiz government is cutting hundreds of jobs and reducing spending

"The issue that the premier has - it's not a transfer from the federal government problem - it's a spending problem," she said.

The province is also losing hundreds of federal jobs, mostly through cuts at Veterans Affairs Canada.

"Yes, we've had to take some difficult decisions as well and we have to take responsibility for those," said Shea.