23.11.2025

Halifax Considers Major Budget Cuts Amid Tax Hike

Members of Halifax’s budget committee got their first chance to discuss the fiscal plan on Wednesday

Members of the Halifax budget committee convened on Wednesday to discuss the fiscal plan for the upcoming 2026/27 budget. The initial projections provided by staff indicate a substantial budget increase of $88.9 million, which would necessitate an increase of 10.5 percent in the average property tax bill for residents.

Halifax Mayor Andy Fillmore emphasized that affordability is the primary concern for the community, especially in light of rising costs. He expressed that the proposed 10.5 percent tax increase, combined with possible rate hikes from regional utility providers such as Halifax Water and Nova Scotia Power, is "simply too high for residents." He reiterated the importance of ensuring that every decision made by the committee reflects the economic realities faced by residents.

During the meeting, Mayor Fillmore introduced a motion that was adopted by the budget committee. This motion instructs staff to pursue additional cost savings within the proposed budget. As part of this initiative, staff will examine potential reductions, including a 10 percent cut to program grants, a one-third decrease in the Climate Action Tax, and the implementation of a staffing freeze across municipal services.

Fillmore stated, "Nothing is off the table." He expressed confidence that through constructive dialogue around the Council table and a focus on delivering essential services, the committee could make decisions that strike a balance between fiscal responsibility and compassion for residents’ needs.

As discussions around the budget continue into the new year, community members are encouraged to engage with the committee's deliberations and express their concerns regarding the financial implications of the proposed budget. The decisions made in the coming weeks will have a significant impact on the city’s financial landscape and the affordability of living in Halifax.