Canada’s 2025 budget redirects government spending toward housing, infrastructure, and innovation.
Canada’s government has presented the Budget 2025 to the House of Commons on 4 November 2025. It emphasised a strategy to build major infrastructure, housing, and key industries to support economic growth and long-term prosperity.
The government is shifting spending away from internal operations toward investments in workers, businesses, and nation-building projects.
Budget 2025 reflects a Comprehensive Expenditure Review focused on modernising government, increasing efficiency, and improving public services. It introduces CAD 60 billion in savings and new revenues over five years, while making large-scale investments in housing, infrastructure, defence, productivity, and competitiveness. Overall, the plan aims to support CAD 1 trillion in total investments over five years through smarter public spending and stronger capital investment.
Among other proposed measures, a 5-year Personal Support Workers Tax Credit would provide up to CAD 1,100 per year for eligible workers in provinces without federal wage agreements.
The budget proposes enhancing tax incentives for Canadian builders to conduct research and development and making it seamless for them to apply to these essential tax credits that drive innovation and productivity. It is also expected to introduce initiatives aimed at boosting business investment and advancing clean energy development.
