The 2025-2026 New Brunswick Budget
Deputy Premier and Finance Minister Rene Legacy delivered his first budget since his government, led by Premier Susan Holt, assumed office last fall. Despite election-time predictions of surplus budgets, this year’s fiscal framework now predicts being in a deficit situation for four years. The projected deficit for this the 2025-26 fiscal year is $549 million. This amount could be $50 million higher if a newly formed contingency fund must be drawn on, due to US tariffs.
The Finance department projects anemic real GDP growth of 1.1 per cent for 2025. Revenues are projected to be $13.8 billion, and spending is projected to be $14.3 billion. The projected deficit for 2025-26 is $549 million.
Particular spending plans include:
Prioritizing Health Care
The government is prioritizing healthcare and investing nearly $293 million more than last year in the healthcare system.
To improve access for the up to 180,000 New Brunswickers on a wait-list for a primary care provider, $30 million is being invested in community care clinics. The government has committed to creating at least 30 local family health teams across the province over the next four years; funding for 2025-26 will support current team-based clinics and the establishment of at least 10 more during the fiscal year.
Other healthcare investments include:
- $28.4 million to transform, modernize and integrate fragmented and outdated health-care technology systems to streamline operations, improve access to patient information, and enhance quality of care (including $19.4 million to fund the ongoing transformation of the clinical information system).
- $15.9 million in physician remuneration, for physicians to maintain their community-based practices.
- $2 million to expand recruitment of qualified health-care professionals from across Canada and around the world.
- More than $1.9 million to increase access to fertility treatments, funding one round of in vitro fertilization treatment per household.
- $462,000 to implement HPV tests as a primary screening test for cervical cancer.
- An additional $150,000 to help break down barriers to midwifery training and certification and support the profession’s growth to address the high demand for services.
Youth and Education
To provide the support students and teachers need and help stabilize classroom learning environments, the government is investing an additional $32.4 million for educational assistants and behavioural intervention mentors.
Other investments include:
- An additional $19 million for a school lunch program, using local foods where possible.
- $10 million to ensure children and youth with exceptional needs and trauma receive consistent levels of high-quality support.
- Nearly $8.7 million to support early detection and intervention in matters where the well-being of children or youth may be at risk, using the child-centred approach at the core of the Child and Youth Well-Being Act.
- $200 million over five years as part of a larger program to subsidize more than 17,000 child-care spaces across various programs.
- An increase of nearly $16.4 million for more teachers to help address growth in student enrolment.
- $4 million to increase teacher recruitment and retention and address the shortage of teachers.
- An increase of just over $2.1 million for academic support teachers.
Supporting Aging New Brunswickers
The government is investing $22 million for nursing homes and specialized beds to support the province’s aging population and keep wait-lists from growing.
Other investments include:
- $10 million to make home care more affordable and help people stay in their home longer.
- $2 million to implement a dementia strategy and action plan.
- An additional $1.5 million to continue implementing the five-year Aging with Dignity action plan as part of a bilateral agreement with the federal government.
- Expanding the respiratory syncytial virus (RSV) immunization program, making free vaccines available to New Brunswickers aged 75 and older.
Housing
To address the significant housing challenges New Brunswickers face, the government is investing an additional $36.6 million in the New Brunswick Housing Corporation.
Investments include:
- An increase of nearly $21.1 million for the direct-to-tenant rental benefit, supporting an additional 2,500 households per year.
- An additional $4.6 million for the Affordable Rental Housing Program.
- Nearly $3.3 million in public housing to support necessary repairs and modernization and improvement projects.
- A further $2.3 million to support the three per cent rent cap and create an outreach and awareness program for tenants and landlords.