FREDERICTON (GNB) – The provincial government has tabled its 2025-26 budget, with a focus on investments in health care, education, housing and economic resilience.
“This is a budget that reflects the changing economic environment and the need to respond strongly to our challenges, while keeping our promise to New Brunswickers to invest in areas that will make a meaningful difference in their daily lives,” said Finance and Treasury Board Minister René Legacy. “We will not keep putting off critical investments that are desperately needed now.”
Economic and fiscal conditions
The department projects real GDP growth of 1.1 per cent for 2025.
“The economic realities we face have changed significantly over the past few months,” said Legacy. “Even amid the uncertainty caused by ongoing trade and tariff threats, we remain committed to investing in New Brunswickers and their priorities while maintaining strong fiscal management.”
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.
New Brunswick’s projected net debt-to-GDP ratio of 26.6 per cent is still estimated to be the lowest in the country east of Saskatchewan.
“In order to balance the challenging fiscal realities we face with the needs of New Brunswickers, there is going to need to be transformational change across government,” said Legacy. “This means doing things differently and ensuring that the programs and services that New Brunswickers expect and deserve are delivering results.”
Responding to challenges resulting from tariffs
To address challenges resulting from tariffs imposed by the United States, the government has established a support package of $112 million. This includes a new $25-million investment in a program offered through Opportunities NB and other existing program funds to ensure businesses can be competitive and to spur productivity, enabling a retooling of the New Brunswick economy for the future.
A $50-million contingency is also being introduced to reflect the uncertainty of tariffs and the potential effect they may have on New Brunswickers and the province’s economy.
Prioritizing health care
The government is prioritizing health care and investing nearly $293 million more than last year in the health-care 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 health-care 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.
Legacy said the budget lays the foundation for transformational and lasting change in New Brunswick.
“In all of my conversations with New Brunswickers over the past number of months, there was never a doubt about what matters most: the people,” said Legacy. “Making sure a parent can get timely access to a doctor for their sick child, that teachers know they are appreciated and have the supports to prove it, and that everyone who wants to build a successful future in this province can have a home, raise a family and grow old with dignity; these things are achievable if we commit now to driving the transformational change necessary to deliver progress on what matters most, for now and for generations to come.”
The budget speech and other relevant documents are available online.
18-03-25
Business Truth & Reconciliation