Government of Newfoundland and Labrador

Budget 2026

Budget Highlights

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Budget 2026: Opportunity for All of Us, eases affordability pressures and helps Newfoundlanders and Labradorians keep more of their hard-earned money. This is in addition to the Provincial Government’s recent announcement that $45 million would be provided to minimize the impact of Newfoundland Power’s rate increase planned for July 1, 2026. Together, these actions will ensure a future is created where opportunity can thrive.

What is Budget 2026 doing for all of us?

Putting People First with Lower Taxes and Affordability Measures

  • No new taxes or fees for residents.
  • Increasing the basic personal amount exempt from income tax to $15,000, allowing people to keep more of what they earn.
  • Increasing the Seniors’ Benefit by 20 per cent, benefitting nearly 50,000 seniors.
  • Providing the Newfoundland and Labrador Child Benefit to 3,000 additional children, and increasing support to the 3,000 children already receiving the benefit.
  • Saving consumers $12 million annually by extending the Home Heating Supplement Program for those with an adjusted family income of $150,000 or less that use furnace or stove oil to heat their homes.
  • Doubling the Volunteer Firefighter and Search and Rescue Tax Credits to $6,000.
  • Saving consumers $67 million annually by permanently reducing the gas tax.
  • Saving consumers $25 million by extending the reduction in registration fees for passenger vehicles, light-weight trucks and taxis by 50 per cent in 2026.

Providing Better Health Care

  • Investing a total of $5.4 billion in better health care.
  • Almost $75 million for the continuation of health care infrastructure projects including the Health Sciences Centre Emergency Department redevelopment, Janeway redevelopment, Downtown Health and Well-Being Centre, and the Stephenville / Bay George Long-Term Care replacement.
  • New health care infrastructure projects including Conception Bay South Urgent Care facility, St. Clare’s Mercy Hospital, and expansion of MRI services.
  • Almost $50 million for more long-term care beds, dementia beds, and acute care beds throughout the province. This includes $21 million to renovate additional space within the former Western Memorial Hospital to create 45 new long-term care beds.
  • Approximately $19 million to enable 100 per cent coverage of eligible medical travel costs. This includes $3.7 million in new funding.
  • $6.5 million for a provincial nursing travel team to reduce reliance on agency nurses.

Strengthening Justice and Public Safety

  • $9 million annualized to enhance policing by hiring 46 additional officers over the next two years. This investment will support hiring 21 new RNC officers and 25 new RCMP officers.
  • More than $7 million in additional funding to assist volunteer firefighters in responding to emergencies.
  • $3 million for 24-hour snow clearing, including the expansion to more routes.
  • Approximately $2.4 million to create new court staff positions to enhance court operations.
  • More than $1 million to create 14 new positions in Public Prosecutions, which includes six new Crown Attorneys, as well as funding for digital modernization to better manage criminal matters before the courts.

Investing in the Future Through Jobs, Infrastructure, Industry, and Community

  • $1.1 billion in responsible infrastructure investments to strengthen health care facilities, schools, housing, roads, and municipal infrastructure.
  • Almost $625 million for educators and teaching and learning assistants, a $29 million increase, which will support the addition of 94 teachers and 20 teaching and learning assistants.
  • Almost $33 million to support child care spaces, including approximately 1,200 spaces in progress and the creation of an additional 400 spaces.
  • $14.5 million for tourism marketing and air access, showcasing the province as a must-visit tourism attraction.
  • A 2026 tuition freeze at Memorial University and the College of the North Atlantic to support students in obtaining high-quality post-secondary education.
  • More than $184 million to support municipalities through programs and initiatives that help them grow stronger and more vibrant.
  • Reducing the Small Business Tax Rate to 2 per cent as of January 1, 2026, 1.5 per cent on January 1, 2027, and 1 per cent on January 1, 2028, to support over 6,000 small businesses in the province.

Looking Ahead

  • Your government is committed to fiscal responsibility and spending smarter.
  • Budget 2026 covers the province’s finances for the next year, but your government’s work does not end there.
  • Future results are dependent on economic conditions and revenue growth.