TORONTO - Mayor Olivia Chow says the 2026 city budget will deliver more affordability for Torontonians:
“Families are feeling the squeeze from the high cost of living. That’s why I’m focused on making life more affordable for Toronto families. Our 2026 budget delivers real savings: free healthy meals for every child in our public schools, TTC fares frozen for the third straight year - resulting in saving a working couple with two kids $1,200 on groceries and transportation costs.
The budget delivers seven-day-a-week library access for more free spaces for families. We’re expanding support for renters and offering grants to help homeowners protect against basement flooding and upgrade aging furnaces.
The 2026 budget continues our progress on making Toronto safer as crime drops. Investments have reduced 911 wait times by 75%, from an over one minute average wait to 15 seconds. Crime continues to come down across the City as we hire more police, firefighters, paramedics and mental health workers to keep people safe.
We’re making Toronto more fair by asking empty home speculators and luxury property buyers - the top 2% of all buyers - to chip in more to make life more affordable.
The 2026 budget continues our work to deliver a more affordable, safe and caring city.”
The budget will be presented at Budget Committee on January 8 for input and recommendations. The budget includes funding for:
AFFORDABILITY
- Saving families $900 on groceries by providing free healthy meals to kids in every school in Toronto. The 2026 budget adds 60,000 more kids in 155 more schools.
- Not raising TTC fares while increasing service for the third year in a row saving a working couple $300 annually. Plus fare capping at 47 rides to start this year, down to 40 rides then it’s free next year. Ride more, pay less.
- Every library open 7 days per week: more free spaces and programs for families during this affordability crunch.
- Savings for homeowners: doubling subsidies for preventing basement flooding, free plumbing assessments and rain barrels. Low cost loans and grants to help replace furnaces with heat pumps as well as free in-home energy consultations.
- More support for renters: More RentSafeTO inspectors to keep apartments safe and more enforcement for the renovictions bylaw, increased funding to the Rent Bank to help working people pay rent if they’re short and prevent evictions, doubling the free air conditioner program to help vulnerable seniors during heat waves, and more.
- Building affordable homes: continuing our progress building housing by breaking ground on thousands of new rental homes in 2026 and continuing to bring the cost of rent down.
- Low property tax increase. After inheriting a $1.8 billion budget hole and spending two years repairing it, Mayor Chow has improved the City’s financial outlook and for the first time in 23 years, Toronto government’s credit rating went up to AA+, saving millions of dollars that can be reinvested to make life affordable for Toronto’s residents.
SAFETY
- Funding for the Police multi-year hiring plan, which includes 720 officers and new Neighbourhood Community Officers in communities.
- Paramedic multi-year hiring plan, which includes over 360 more paramedics and staff.
- More TTC safety workers through police and mental health crisis workers, special constables, homelessness outreach workers and more TTC staff on platforms.
- Supporting youth through more employment, training, mentorship and recreation programs.
In addition to improving the City’s financial footing over two years, Mayor Chow has found new savings and efficiencies in preparation for the 2026 budget. She has unlocked an additional $30 million by bringing the Toronto Parking Authority in-house and eliminating administration duplication, as well as a non-essential hiring freeze.
For more information about the City budget process, see the City of Toronto's budget webpage: https://www.toronto.ca/city-government/budget-finances/city-budget/