Mayor releases 2026 Proposed Tax Budget

HAMILTON, ON – Mayor Andrea Horwath today released the Mayor’s Report and 2026 Proposed Tax Budget for the City of Hamilton. The Proposed Budget is guided by clear direction to maintain affordability and responsible financial decisions to protect City services and infrastructure while investing in what matters most to the community – now and over the long-term.

The 2026 Proposed Tax Budget has a 4.25 per cent residential tax increase and reflects a disciplined approach to managing costs while maintaining the services residents rely on every day. It maintains core City services, invests in renewing and enhancing infrastructure, supports public safety and emergency services, advances housing and homelessness supports, supports transit and transit expansion, and supports local employment and strengthens the development sector. 

“Hamiltonians are feeling the pressure of rising costs, and affordability is top of mind,” said Mayor Andrea Horwath. “This Proposed Budget reflects the priorities we heard from residents; protecting the services people rely on every day, setting a clear limit on the tax increase, and continuing to invest in roads, transit, and community safety. It is a practical, disciplined budget that balances today’s affordability pressures while planning responsibly for the future.”

Recognizing the ongoing cost pressures facing residents and businesses, the City has taken a rigorous and transparent “hold-the-line” approach to affordability, balancing today’s needs with long-term sustainability. Key cost factors, such as inflation, increased service demand and infrastructure needs, are clearly outlined to help residents understand where investments are needed. 

At the same time, staff have undertaken a line-by-line budget review to identify efficiencies, manage expenditures and streamline operations to ensure value for money. The Proposed Budget also reflects feedback from public engagement, ensuring public dollars are used carefully and where they have the greatest impact.

• Essential city services: maintaining the everyday services Hamilton residents depend on.
• Affordability and sustainability: responding to current cost pressures while protecting long-term financial stability, including careful financial planning and use of financial bridging strategies to fund infrastructure renewal and development, and helping to lessen the impact on property taxes. 
• Infrastructure renewal: investing $626 million in infrastructure to maintain state-of-good-repair, including roads, sidewalks, bridges and other community assets.
• Transit and transportation improvements: improving mobility and supporting growth through investments in the maintenance and storage facility, new and replacement buses and transportation upgrades.
• Public safety: supporting emergency and long-term care services, such as Macassa Lodge Redevelopment and new Fire, Police, and Paramedic facilities.
• Housing and homelessness support: continuing investments in housing stability and supports.
• Modernizing city services: digital resiliency upgrades to make city systems more secure and improve the customer experience.
• Growth and local employment: enabling responsible growth and supporting the local economy through economic development initiatives, including commercial district revitalization.

“This budget reflects what we heard from our community and the decisions we are making to support residents and the services they count on every day,” said City Manager Marnie Cluckie. “By responding to affordability pressures, steadily investing in infrastructure and protecting core services, we are ensuring Hamilton remains a city where everyone can live, work and thrive.”

Together, these investments reflect a balanced approach by responding to affordability pressures today while protecting the City’s ability to deliver services and infrastructure sustainably into the future.

City Council will have 30 days to review the Mayor’s Proposed Tax Budget, propose amendments, deliberate and vote on amendments. Staff will provide a detailed presentation and overview of the Mayor’s Proposed Budget starting on January 23. Final adoption of the tax budget is expected in February or March 2026. 

All meetings are livestreamed on the City’s YouTube channel. Residents can visit hamilton.ca/2026Budget for the full schedule, access to budget materials, helpful resources and details on how to register for delegations or listen to presentations.