Saskatchewan’s 2026-27 Provincial Budget was tabled by Deputy Premier and Finance Minister Jim Reiter, focusing on affordability, health care, education, community safety, and a focus on “Protecting Saskatchewan” with no cuts and prioritizing a gradual fiscal recovery during uncertain times.
Key measures include maintaining the 1% small business tax, a significant $17.5 billion capital plan, and continued rollout of the Patients First Health Care Plan, alongside targeted increases in health, education, mental health, and social services.
Post budget announcement, one of the world’s largest credit ratings agencies says Saskatchewan is equipped to weather the current global economic uncertainty thanks to its strong economy.
Fiscal Highlights of the 2026-27 Budget
- Projection: Saskatchewan’s budget forecasts a $819 million deficit, a departure from last year’s modest $12 million surplus. With global oil prices rising this deficit will likely be lower than forecasted.
- Revenue: Provincial revenue is projected at $21.4 billion, a small increase of 1.4% from last year.
- Expenses: Total provincial spending is set at $22.2 billion, up 5.71% from 2025-26.
- Provincial Debt: Saskatchewan has the second lowest lowest net debt-to-GDP ratios in Canada at 16.1%, maintaining a strong fiscal position.
Key Budget Commitments
Affordability
This year’s Saskatchewan budget includes over $2.5 billion in affordability measures which includes tax cuts, tax credits, and investments in programs to provide targeted support building on the goals of the Saskatchewan Affordability Act. Key measures include:
- A $500 increase to tax exemptions including the basic personal exception, spousal exemptions, dependent child exemptions, and the seniors supplement.
- 5% increase to the Low-Income Tax Credit and a projection of 54,000 residents paying no provincial income tax
- Doubling of the Active Families Benefits to provide parents with support for sports, recreation, and cultural activities
- A one-time tax credit of $10,000 for fertility treatments
- Addressing homeownership with a first time homebuyers tax credit, PST rebate on new home construction, and the reintroduction of the home renovation tax credit
Protecting Health Care
Budget 2026 is investing in services as recently highlighted in the Patients First Health CAre Plan which was introduced earlier this year. The total health care spend is $8.5 billion, an increase of $393 million from last year. Key priorities are:
- $674 million investment for mental health and addictions, to expand treatment by 500 new spaces by 2027, open a secure youth detox unit and improve access to recovery-focused care
- $636 million for hospitals, long-term care, and other health care infrastructure
- $200 million to fund strengthening the province's healthcare workforce
- $98 million to increase to enhance emergency, acute and critical care by adding hospital beds, strengthening EMS and urgent care centres, and expanding surgical and diagnostic capacity
- $4 million to expand homecare and province wide home care delivery software
Protecting Communities
Budget 2026 sees increased investments in law enforcement and funding for municipalities to promote safer communities:
- $400 million in municipal revenue sharing to increase funding for cities, towns, and rural communities
- 310 million to support RCMP and first nations policing operations
- $86 million investment in Saskatchewan Housing Corporation to promote rental and affordable housing options
Protecting Education
The government is increasing funding for K-12 education by $62 million for a total of $2.5 billion for school operations. The government has also entered into a mulit-year funding agreement with post secondary institutions with a 3% annual funding increase for 4 years.
- $426 million for early childhood education and child care
- Construction of 2 new schools and a major renovation to an existing facility
- $51 million direct to student support for post secondary education
- A 40% increases in capital investments for post secondary institutions
- A focus on training of in-demand jobs particularly health care with funding for 190 new training seats for physicians, NP, and other health care professionals
Protecting our Economy
The budget touted investments to support and attract business, workforce development, and infrastructure to keep the province’s economy growing
- $125 million investment for support and training for unemployed and underemployed job seekers
- Maintaining a 1% business tax
- Continued investment in natural resources development
- $663 million in support for farmers including Risk Management Program, Crop Insurance, research, and animal welfare
- $4.3 billion in infrastructure capital spending, the largest in the province’s history
Conclusion
Saskatchewan’s 2026-27 budget reinforces the province’s balanced approach to fiscal responsibility, affordability, and economic growth. In the face of global economic uncertainty, the government continues to prioritize keeping taxes low and deficits manageable, rather than introducing new costs for residents during an ongoing affordability crunch. This approach continues to resonate with a government focused on stability and long-term growth.
At the same time, the opposition is increasingly seeking to frame affordability as a key wedge issue: raising concerns around inflation relief, rising debt, and cost pressures such as power rates. Opposition Leader Carla Beck has criticized the government for not doing enough to ease cost-of-living pressures, while municipal leaders, despite welcoming increased revenue sharing, note it does not fully address growing infrastructure demands.
Looking ahead, the Government of Saskatchewan remains firmly focused on economic growth and service delivery, with a clear openness to partnering with the private sector. This includes strong interest in innovative health care solutions that can expand capacity and improve access, as well as forward-looking energy opportunities—particularly in areas like nuclear, natural gas, and other reliable power solutions.
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