Ontario's deficit grows to $16.9 billion as the trade war drags on

2026-27 deficit

16.9 $ billion

The fall economic statement projects a $16.9-billion deficit for 2026-27, up from the $13.8 billion in the March budget. Some of the increase goes to a larger reserve fund.

Balance is pushed back a year, to a $200-million surplus in 2029-30, after deficits of $12.7 billion and $6.7 billion. The spring budget had projected a $600-million surplus in 2028-29.

Steel exports to the U.S. fell 50.6 per cent in the first eight months of 2026 compared with 2024, from $8.4 billion to $4.1 billion. Real GDP is projected to grow just 0.5 per cent this year.

And us?

From May 1, 2027, the monthly Ontario Electricity Rebate will be capped at 1,200 kWh for residential customers. The average home uses 700 kWh.