Prime Minister Mark Carney's government has tabled Budget 2026, titled "Masters of our Destiny."
It includes $400 billion in capital investments over six years, as well as $22 billion for new "affordability measures." Deficits, while still high, are lower than projected thanks to higher than anticipated revenues.
But what's in it for British Columbia?
Perhaps most notable are a number of measures to strengthen Canada's forestry sector. Chief among them, $4 billion over six years, starting in 2027-28, on a cash basis, to create a new Forestry Sector Accelerator to "make investments in new large-scale facilities and in major transformations of existing facilities, including biorefineries, biofuel facilities, and other facilities producing higher-value and innovative forest products."
A further $2 billion has been allocated over six years, starting in 2027-28 to help businesses in the forest sector "modernise facilities and equipment, improve productivity, and expand production of higher-value products, as well as to support research, development, and demonstration projects," as well as $500 million to "improve fibre supply chains and support provinces, territories, Indigenous partners, and industry in advancing forest management and stewardship, and deploying new technologies and practices."
Also revealed in Budget 2026 was the Tla’amin Nation Tree Farm project, which will assist the Tla’amin Nation in acquiring 100% ownership of Western Forest Products' Stillwater Forest Operation via a $64 million loan guarantee. Ottawa argued the move would provide "stable revenues and creat[e] local economic opportunities."
This is far from the only move aimed at increasing First Nations' involvement in the economy. Canada has offered to sell a 15% stake in Trans Mountain Corporation to 128 Indigenous groups in BC and Alberta. According to the budget, the government "also remains committed to pursuing a similar opportunity in relation to the Pacific Link project as it moves forward."
Budget 2026 also includes $50 billion to double Canada's electricity generation — including a number of projects in BC — as well as $140 billion to protect, conserve, and restore wild Pacific salmon in BC and the Yukon.
Also relevant to BC is the newly-announced Canadian Earthquake Insurance Facility, which would "provide emergency funding of up to $50 billion to the property and casualty insurance sector following an extreme earthquake, supporting victims by increasing insurers’ ability to pay claims and promoting financial stability."
On the artificial intelligence front, Ottawa has promised support for TELUS’s data-centre projects in Vancouver.
Budget 2026 also introduced new measures aimed at simplifying requirements for licensed cannabis producers — of which BC has many. Ottawa has proposed a Common Cannabis Excise Duty Stamp for all provinces and territories with the same excise duty rate. That includes BC, Québec, New Brunswick, Prince Edward Island, Nova Scotia, Newfoundland and Labrador, Yukon, and the Northwest Territories. Alberta, Saskatchewan, Ontario, and Nunavut would be invited to join in as well.
If implemented, it would reduce the number of unique cannabis excise duty stamps from 13 to six, thus "reducing the compliance burden on licensed producers of cannabis."
A large portion of the budget discusses projects deemed to be in the national interest. In BC, those are Roberts Bank Terminal 2, the Port of Vancouver Gateway Strategy, the North Coast Transmission Line, LNG Canada Phase 2, Ksi Lisims LNG, and the Red Chris Mine Expansion.
It also includes funding promises for smaller projects, including $1.5 billion over five years for the George Massey Crossing Project. It was noted that "final financial commitments are to be determined, up to a maximum envelope of $3 billion."
Via the Build Communities Strong Fund, funding will also be provided for the Chinese Canadian Museum's Wing Sang building rooftop garden revitalization in Vancouver, Mackie and Hawthorne Park fieldhouse replacements in Delta, Hume Park Master Plan implementation in New Westminster, Chimney Heights Park in Surrey, and the Cowichan Valley Basket Society in Duncan.
Ottawa has vowed to "end homelessness within 10 years," and is putting up nearly $30 billion to do so — with assistance from provinces and municipalities. Money will be spent on "bring[ing] housing together with health, mental health, addictions, and social supports," building new supportive and transitional housing," and fund facilities that "provide care before people reach a crisis point."
To read the full budget, click HERE.
