2026 Ontario Budget delivering on a plan to protect Ontario Workers and families by building a more competitive, resilient and self-reliant economy
News March 26, 2026
TORONTO- Will Bouma, MPP for Brantford-Brant, is pleased with the fiscally responsible budget that was delivered on March 26th, by Minister of Finance Peter Bethlenfalvy. In the midst of tariffs and global uncertainty, the government continues to deliver on its plan to protect Ontario by building the most competitive, resilient, and self-reliant economy in the G7. Under the leadership of Premier Doug Ford, Ontario is providing relief through significant tax cuts contained in the next phase of Ontario’s Tax Action Plan. The 2026 Budget furthers the government’s plan to attract jobs and investment, lower costs for workers and businesses, keep life affordable for families and individuals, and make targeted investments in key public services that support the province’s long-term prosperity.
“Ontario is navigating economic challenges with a pragmatic and prudent fiscal plan,” said Finance Minister Bethlenfalvy. “To help the province navigate these times and come out stronger, we are investing in strategic priorities such as energy, critical minerals, key infrastructure, and critical technologies that will make our economy stronger, while cutting red tape and creating the conditions for businesses to grow, supporting workers and strengthening Ontario’s economy.”
Despite the challenging global economic circumstances, Ontario’s 2026 Budget reflects the benefits of the province’s resilience and prudent fiscal management to date.
“The 2026 Budget is an essential continuation of our government’s plan under the direction of Premier Ford to protect Ontario and make it the best place to live, work, play, and raise a family in Canada,” said MPP Will Bouma. “This budget puts families and businesses first and ensures that businesses in Brantford-Brant remain competitive and protected for years to come, especially in the face of tariffs from the United States.”
The government’s approach maintains a path to balance over the next 3 years as part of its fiscal plan and Ontario is one of the only provinces in this position.
As part of the many measures the government will be implementing, Ontario will be providing relief for home buyers by removing the full 13 percent of the Harmonized Sales Tax (HST) for all eligible buyers of new homes valued at 1 million dollars. This rebate will maximize at 130,000 dollars.
The government is also ensuring that small businesses continue to stay competitive and resilient by proposing to cut the small business corporate income tax rate from 3.2 percent to 2.2 percent effective July 1st. Over 375,000 Ontario small businesses would benefit from this additional 1.1 billion in
Corporate Income Tax (CIT) relief over the next three years. The province is also expanding our 4-year investment in the Primary Care Action Plan to 3.4B from 2025 to 2029, furthering our government’s commitment to connecting everyone in Ontario to a family doctor.
In terms of hard numbers, Ontario’s 2025-26 deficit is projected to be 12.3B – an improvement of 2.3B compared to the outlook published in the 2025 budget. Ontario’s real GDP rose by an estimated 1.2 percent in 2025 and is projected to rise by 1 percent in 2026, 1.7 percent in 2027, 1.8 percent in 2028, and 2.0 percent in 2029. Ontario’s 2025-26 net debt-to-GDP ratio is now forecast to be 36.8 percent, a decrease of 1.1 percentage points from the 37.9 percent forecasted in the 2025 budget, which is primarily due to a lower-than-projected deficit.
Ontario has a strong track record of prudent financial management and continues to work to protect the path the balance by 2028-29 by pursuing opportunities to modernize programs, improve efficiencies, reduce red tape and ensure taxpayer dollars are being used responsibly.
This budget will also ensure that the government will be able to unleash Ontario’s economy, protect the province, and continue to allow all Ontarians to prosper.
Quick Facts:
- Ontario is providing further relief for home buyers by removing HST for all eligible buyers of new homes valued up to $1 million.
- Ontario is proposing to cut the small business corporate income tax rate from 3.2% to 2.2%
- The provincial government is intending to lower the cost of capital investments by allowing businesses to accelerate the income tax deduction for the cost of depreciable assets.
- The government is establishing the Protect Ontario Account Investment Fund, in which the province will invest up to $4 billion to attract investment from pension funds and other private capital.
- The province is expanding Ontario’s four-year investment in the Primary Care Action Plan to $3.4 billion from 2025 to 2029, furthering the province’s plan to connect everyone in Ontario to a family doctor or primary care.
- Ontario is providing an additional $300 million over six years through the Community Sport and Recreation Infrastructure Fund, to help meet the needs of growing communities. This fund supports the upgrade or construction of new sport and recreation facilities in Ontario.
- Ontario’s 2025-26 deficit is projected to be 12.3B – an improvement of 2.3B compared to the outlook published in the 2025 budget.
- Ontario’s real GDP rose by an estimated 1.2 percent in 2025 and is project to rise by 1 percent in 2026, 1.7 percent in 2027, 1.8 percent in 2028, and 2.0 percent in 2029.
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