Building strong at home.
Diversifying our partnerships abroad.
Budget in brief
Canada has what the world wants and what it takes to chart our own course. That is how we can become maîtres chez nous: masters of our destiny.
Read the Budget in brief
Canada is #1 in the G7 for foreign direct investment inflows per capita
Canada is #1 in the G7 for tax competitiveness for new business investment
Canada has the lowest net debt-to-GDP ratio in the G7
Canada is projected to grow the second-fastest in the G7 in 2027
Chapter 1
Canada's Investment Supercycle
Chapter 2
A more competitive and connected Canada
Chapter 3
A more affordable life
Chapter 4
A strong and united Canada
Chapter 5
A safe and sovereign Canada
Chapter 6
A more efficient government
Transcript
Introduction
Mr. Speaker, pursuant to Standing Order 83(1), I would like to table, in both official languages, the budget documents for 2026, including the notices of ways and means motions.
The details of the measures are contained in these documents.
Pursuant to Standing Order 83(2), I am requesting that an order of the day be designated for consideration of these motions.
Canada will meet the moment from a position of strength
Mr. Speaker,
It is Budget Day, and I will try to make this speech only half as long as last year's...but with the same level of optimism and ambition, while bringing more good news to Canadians.
The moment is serious. Canadians know it. Our new government knows it. The moment demands an ambitious plan to be masters of our destiny; maîtres chez nous.
Canadians know that we are living through extraordinary times. The rules we counted on no longer seem to hold.
The global trading system that brought stability for decades is being rewritten.
Wars and geopolitical competition are reshaping supply chains.
Artificial intelligence is transforming our economies at breakneck speed.
For many Canadians, this uncertainty affects them daily.
It means wondering whether their job or their children's jobs will be secure.
Whether their business can survive another shock.
Whether they will be able to afford a home, raise a family, or build the life they have worked so hard for.
But Canada has met moments like this before.
And as the Prime Minister reminded the nation and the world, "Nostalgia is not a strategy."
As Canadians, we know how to turn global volatility into national opportunity.
Let's remember that we're a nation of builders.
We built railways from coast to coast and a seaway connecting our industries to the rest of the world.
We founded leading universities, research centres, businesses, and public institutions—pillars of knowledge and drivers of prosperity.
We leveraged Canadian ingenuity to fight for freedom during both world wars and to explore outer space.
We built a country in which generation after generation could aspire to something better.
And every time the world changed, Canadians adapted. We do not retreat. We lead with purpose, determination, and ambition.
In the face of adversity, we're seizing opportunities and working together to rebuild stronger.
Mr. Speaker, I sincerely believe that in a few years, Canadians will see this moment as another turning point in our history.
Our ambition is clear:
- To accelerate growth through an investment supercycle.
- To make life more affordable for Canadians.
- And to defend our sovereignty while celebrating our rich cultural heritage.
One thing is clear, Mr. Speaker: our country is more united than ever in the face of these challenges.
As Lester B. Pearson said in this House on November 28, 1967, "the future of Canada, Mr. Speaker, will be decided in Canada, by Canadians."
That is the essence of who we are as a people.
This is the essence of being masters of our destiny; maîtres chez nous.
Mr. Speaker, we have the strength to build, the discipline to deliver, and the values to take care of each other.
Canada enters this defining moment in history with every reason to be confident:
- We have one of the most highly educated workforces in the world.
- We have the energy and critical minerals the world needs.
- We are leaders in key industries like artificial intelligence, quantum technologies, nuclear energy, mining, agriculture, agri-food, and advanced manufacturing.
- We have preferential market access to 1.5 billion consumers, and we will soon double that number, to reach 3 billion consumers.
- And we have the strongest fiscal position in the G7 – with the lowest net debt-to-GDP ratio, and are projected to have the second-fastest-growing economy in the G7 in 2027.
But our greatest strength, as the Prime Minister said, is something that cannot be found on a balance sheet: trust.
Trust is what defines Canada in an uncertain world.
To inspire trust, you need a solid foundation.
Through fiscal discipline, Budget 2026 keeps us on track to meet both fiscal anchors:
- By balancing day-to-day operating spending with revenues by 2027-28, a full year ahead of schedule; and
- By keeping the deficit-to-GDP ratio on a declining path, while unlocking Canada's full growth potential.
We are seeing what happens around the world when governments lose their fiscal room to manoeuvre.
Choices become harder.
In Canada, our fiscal strength is giving us the freedom to live our lives as we choose; to be masters of our destiny.
With solid revenue growth, and a shift toward capital investment and clear strategies, we are in a position to transform our economy toward stronger growth and productivity.
Budget 2026 is the next step of our ambitious plan to:
- Help businesses of all sizes invest and grow
- Help Canadians get ahead; and
- Build a strong sovereign Canada
Strategic investments in growth
Let me start with the first pillar: economic growth. Investing in our future means having an ambitious growth agenda.
We need the mines, the transmission lines, the ports and trade corridors, the nuclear reactors, the electric dams, the AI infrastructure, and the factories that will power our future.
First and foremost, we need Canadian workers and Canadian companies building them. And we need to build them faster.
That is why our new government will propose amendments to the Impact Assessment Act to bring greater legal certainty and predictability to projects, consistent with a "one project, one decision, one year," process, while maintaining environmental protections and upholding Indigenous rights.
Last year, Budget 2025 laid out a generational plan to Build Canada Strong.
This plan is working and is already paying dividends.
We are already moving major projects forward, with 28 nation-building initiatives referred to the Major Projects Office, including projects in energy, critical minerals and transportation. And with Budget 2026, we are building on that progress.
For too long, a lack of access to growth capital has held Canadian companies back. Too often, Canadian talent and Canadian ideas have had to look elsewhere to scale.
Budget 2026 changes that with the most comprehensive revamp of business incentives in generations.
At the heart of it, is the new Productivity Mega Deduction, which will boost Canada's Investment Supercycle.
Businesses, both large and small, will be able to immediately deduct the full cost of most new investments.
Over the next 10 years, this should expand Canada's productive capacity by adding about $22 billion a year to GDP and supporting up to 80,000 jobs.
The Productivity Mega Deduction is available to a manufacturer buying more efficient machinery; like the shoemaker Pajar, that I visited in Montréal yesterday!
A farmer purchasing newer silos and combine harvesters.
A mine adopting new technology to reach deposits.
Let me be clear.
We are making it easier for businesses to choose Canada.
And we are also making Canada the global partner of choice.
- And we're not stopping there. With the Canada Growth Incentive, we are backing Canadian innovators and startups so that they grow their businesses here at home;
allowing builders and key employees to keep more of the benefits when a business succeeds. - With the enhanced Small Business Rollover, we are making it easier for successful entrepreneurs to reinvest in the next generation of Canadian businesses.
- By expanding the Scientific Research and Experimental Development program to support commercialisation, we are helping Canadian ideas become reality.
- By pursuing a balanced immigration policy, we are attracting the talent that our growing industries need, supporting communities and families, and retaining the Canadian tradition of welcoming those fleeing conflict, while ensuring we keep immigration levels at a sustainable level.
- And through the most ambitious effort in decades to simplify Canada's tax system, we are making it easier to invest, grow, and do business in Canada.
Mr. Speaker, not every Canadian business is in a position to invest today. Many have been hit hard by unjustified U.S. tariffs.
Steelworkers in Hamilton. Aluminum workers in Saguenay. Forestry workers in British Columbia. Auto workers in Windsor and Oshawa are affected and understandably worried.
Canada's new government has one simple message for them today:
We will be there for you with whatever it takes for as long as it takes.
To date, we've provided $44 billion to help our workers, unions and businesses protect jobs, retool, and find new markets.
And the measures in this Budget will help them further to adapt and compete for the long term.
Our message to Canadian businesses is simple: We are behind you.
- Going through a difficult time? We'll be at your side for as long as it takes.
- Have a great idea? Bring it to life here.
- Ready to grow? We're here to support you.
- You're a successful entrepreneur? Reinvest in the next generation of small and medium Canadian businesses.
I come from a family of entrepreneurs, and this budget is designed to help young people succeed in the new economy.
Electrifying Canada
I'm also from Shawinigan, a town that was at the cutting edge of economic development 125 years ago. Shawinigan showed Canada what is possible when energy meets ambition.
Our ancestors harnessed the power of the Saint-Maurice River to build entire industries, create thousands of jobs, and foster the economic prosperity of their region and province—and of our country.
The same ambition guides our electrification strategy today.
Because the countries with abundant electricity will be the leaders of the 21st century.
As we electrify our economy, demand for electricity will increase.
Canada has a head start: our grid is already 80% clean, and our electricity is among the most affordable in the G7.
And we're working with provinces, territories, and Indigenous partners to double Canada's grid capacity by 2050.
- We will connect provincial grids.
- We will build thousands of kilometres of transmission lines.
- We will develop the nuclear energy sector.
- And we will build Canadian, buy Canadian, and create good jobs for Canadians.
This is what it means to be masters of our destiny.
And these measures also prove that we don't have to choose between the economy and the environment. The two go hand in hand.
Our climate plan is built on four priorities:
- Build more clean and affordable power.
- Make it easier for Canadians to switch to electricity.
- Transform how we use energy, so we waste less and do more.
- Innovate and invest in Canadian clean tech, right across the country.
Mr. Speaker, Canada has had to think big in the past.
It's time to think big once again.
Because we want to be masters of our destiny.
Making life more affordable for Canadians
Economic growth gives us the means.
Our plan is to turn that growth into greater opportunity, greater security, and a better life for all.
It is to deliver on what matters most: giving Canadians the opportunity for a better life.
That means lowering the cost of living, making it more affordable to buy a home, and ensuring no Canadian is forced to sleep on the street because they don't have a place to call home.
That is what the second pillar of Budget 2026 addresses: making life more affordable for Canadians.
Budget 2026 provides over $22 billion over five years in new measures to ease the day-to-day financial pressures on Canadians.
- This winter, the new 2027 Canada Groceries and Essentials Benefit Supplement will give more than 12 million Canadians a 50% boost to their benefit, which is $4.1 billion in extra help with groceries and essentials in 2027.
- We are also investing more than $610 million to strengthen and expand Nutrition North Canada, helping lower the cost of food, supporting local harvesting and distribution, and reach more communities across the North.
- We are launching the Build Canada Workers Benefit to support 1.9 million workers, including 180,000 additional recipients. Because hard work should always pay.
- And we are making the Canada Caregiver Credit fully refundable. That means more than $1,000 a year in support for 585,000 caregivers, including 180,000 who will get it for the first time.
And this builds on the help we've already delivered in recent months:
- We've suspended the federal fuel excise tax through January, reducing Canadians' bills at the pump by up to 10 cents per litre on gasoline and 4 cents per litre on diesel.
- We are helping more than one million households retrofit their homes and lower their energy bills, saving a Canadian family an average of $1,400 every year afterwards.
- We are helping first-time homebuyers with the cost of a new home, saving them up to $50,000.
By making life more affordable for Canadians and taking care of each other, we are masters of our destiny.
Mr. Speaker, the measures presented in Budget 2026 could lift hundreds of thousands of people out of poverty in 2027.
The new Canada Groceries and Essentials Benefit Supplement alone could lift 120,000 people out of poverty.
I sincerely hope that all the Members of this House will vote in favour of this budget so that we can show our unanimous support for the Canadians who need it most.
With Budget 2026, we're helping Canadians today and giving them a bridge to a better future:
- By building more housing.
- By producing more renewable energy.
- By increasing competition.
- By building an economy where salaries and opportunities continue to grow.
But Mr. Speaker, this also means facing a harsh reality.
Tonight, thousands of Canadians will sleep in shelters or on the street, with none of the security or stability that adequate housing provides.
We can do better. We must do better. And we will do better.
With Budget 2026, we are putting Canada on a path to end homelessness within 10 years.
- We will renew the Reaching Home program and the Veteran Homelessness Program.
- We will work with provinces, territories, and Indigenous partners to link housing with mental health, addiction, and community care services.
- Through Build Canada Homes, we will build more affordable housing.
The investments we make today will define our society tomorrow.
A society where every Canadian has a safe and affordable home where they can thrive and make their dreams come true.
To truly be masters of our destiny, we must make sure our prosperity benefits everyone.
A safe and sovereign Canada
Finally, Mr. Speaker, being masters of our destiny is about a safe and sovereign Canada, and one where we also celebrate who we are.
Canada is an extraordinary country.
We span three oceans, six time zones, two official languages, and thousands of communities with different traditions and stories.
And yet, we have built something together. Something beautiful. Something inspiring.
We have grown to be a strong and successful nation, one greater than the sum of its parts.
That is worth protecting. And it is worth celebrating.
In 2027, Canada will mark its 160th anniversary.
It will be a moment for Canadians to come together.
To celebrate our communities.
To discover more of our country.
And to pass on what we love about Canada to the next generation.
That is why Budget 2026 will invest in the places and experiences that bring Canadians together.
The community spaces where neighbours meet and newcomers find their footing.
The festivals where communities celebrate their traditions.
The museums, parks, and historic sites where Canadians discover their country.
We will also revitalise the arenas and rinks where generations of Canadians have learned to skate, play, and dream.
And we will renew the Canada Strong Pass for another year, so more families can discover their country, and make our national museums permanently free, year-round, for young Canadians.
Because a strong country is one where people feel connected to it, and to each other.
And that connection also comes from the stories we tell.
But today, a large part of what Canadians watch, read, and listen to comes from outside Canada.
Canadian creators are among the best in the world, attracting the attention of increasingly connected consumers.
Our writers, musicians, filmmakers, journalists, and artists are carrying Canada's voice to the four corners of the country.
This is why we want to give them the best chances of succeeding at home.
With Budget 2026, we will:
- Make it easier to discover and borrow books by Canadian authors through a new national digital collection.
- Support the publishers, local journalists, and cultural institutions that bring our stories to life.
- And develop a new tax credit for Canadian creators, which will provide a tax relief of up to $45,000 on income derived from original works.
The unity of our vast country also depends on the ability of Canadians to travel and gather together.
Our railways, roads, ferries, and bridges have always represented more than just infrastructure.
They connect families.
They connect communities.
They connect and unite our vast country.
This is why we're investing in railways and ferries across the country to bring communities together.
Indigenous
Mr. Speaker, building a strong and united Canada also means continuing the important work of reconciliation.
It means ensuring Indigenous communities have the same foundations that every community needs to thrive: safe housing, clean water, good schools, reliable infrastructure, stable and culturally responsive policing services, and the ability to shape their own future.
Budget 2026 will make major new investments in First Nations housing and infrastructure and provide greater funding certainty so communities can plan for the long term.
Because being masters of our destiny must mean having the tools to shape a better future.
Defence
And yes, sovereignty also means being able to defend the country we are so proud to call home.
At a time when the world is more dangerous and divided, Canada is rebuilding its Armed Forces.
We are investing in the capabilities we need to defend our country, particularly in our North and Arctic. And we are strengthening our defence industry here at home, so that Canada makes more of what our Forces, and our allies, need to do the job.
We are taking greater responsibility for our own security, just as we are for our economic future.
Because sovereignty ultimately comes down to the same idea: having the confidence, the capacity, and the freedom to live our lives as we choose; to be masters of our destiny.
And as we speak about the women and men who serve our country, I want to pause to reflect on the tragedy at Wainwright.
I want to draw our attention to those who lost their lives, those who were injured and are recovering. I think I can speak on behalf of all members of this House in saying that our thoughts are with you, your families, and the entire community.
We will honour their courage by providing $25 million to further support members of the Canadian Armed Forces, their families, and local communities affected by this tragedy. We will also provide $3 million directly to the Wainwright Military Family Resource Centre.
Conclusion
Finally, my thoughts are with the people at the heart of Budget 2026.
My thoughts are with Michelle Lafontaine from J'ai mon appart' in Shawinigan, who is with her son Félix on Parliament Hill today. She works with vulnerable adults every day so they can have a place to call their own.
I also think of Rachel Reid, Louise Penny, Barbara Fradkin, and Fred Pellerin, some of Canada's writers and storytellers, who remind us that sovereignty also means having the confidence, and the means, to tell our own stories.
And I think of all the workers who day-to-day are building Canada Strong. You have a great example of those hard-working Canadians on the very first page of the Budget.
To all of them, and to Canadian workers across the country: this Budget is about you and what we can build together.
Mr. Speaker, more than three decades ago, another finance minister came before Parliament at another moment of profound economic change.
His message was that Canada had to confront the world as it is, not as we wished it to be.
Mr. Speaker, this is one of those times. The world around us is changing. We must change to lead with purpose and ambition.
We must have confidence in what Canada can become.
We must build at an unprecedented speed and scale.
We must take care of one another.
We must defend our sovereignty.
With this budget, we will build the strongest economy in the G7.
We will make life more affordable for Canadians.
And we will defend our sovereignty while celebrating who we are.
This is the essence of being masters of our destiny; maîtres chez nous.
So let's seize the moment.
Let's be ambitious.
And let's build Canada strong together.
Long live Canada!
Budget documents
| Web version | PDF download |
|---|---|
| Budget 2026 | (PDF, 10.8 MB) |
| Budget in brief | (PDF, 4.1 MB) |
| Annex 4: Impacts Report | (PDF, 1,253 KB) |
Photo credits
Newfoundland and Labrador Hydro
Image: Homepage banner
Location: Churchill Falls and Gull Island electricity project
Page details
- Date modified: