ONTARIO NEWS RELEASE: A Plan to Protect Ontario

TORONTO — Today, Minister of Finance Peter Bethlenfalvy released the 2025 Ontario Budget: A Plan to Protect Ontario. The 2025 Budget includes measures to protect Ontario workers, businesses and jobs in the face of U.S. tariffs and continued economic uncertainty, with a plan to build an economy that is more resilient and self-reliant. The 2025 Budget furthers the government’s goal to transform Ontario into the most competitive place to invest, create jobs and do business in the G7, while investing even more in health care, education and other critical services.

“Our government is delivering on our mandate to protect Ontario and help workers and businesses weather the storm, while creating the long-term foundations for a strong, resilient and competitive economy,” said Minister Bethlenfalvy. “We’re making the investments in workers, infrastructure and services that will protect Ontario, no matter what.”

Ontario’s finances are in the strongest position they have been in over a decade, reflected by the two credit rating upgrades the province received in 2024. The government’s plan remains prudent and responsible, and Ontario retains a path to balance the budget by 2027–28. The 2025 Budget: A Plan to Protect Ontario moves forward with an ambitious plan to protect Ontario workers, businesses and families by unleashing the economy, getting more shovels in the ground to build infrastructure and putting money back in people’s pockets while delivering better services the people of Ontario can count on.

Highlights include:

• Investing $500 million to create a new Critical Minerals Processing Fund that will help unleash the potential of the province’s mineral sector by attracting investments in critical mineral processing capacity here at home, to help ensure that minerals mined in Ontario will be processed in Ontario, by Ontario workers.
• Supporting new resources and opportunities for Indigenous equity partnerships by tripling the total amount of loan guarantees through the Indigenous Opportunities Financing Program (formerly the Aboriginal Loan Guarantee Program) to $3 billion and expanding eligibility beyond the electricity sector to include eligible projects in energy, pipelines, mining and critical minerals, resource development and other sectors, to help support investments by Indigenous communities in Ontario’s growth. The government is also investing $70 million over four years through the Indigenous Participation Fund (formerly known as the Aboriginal Participation Fund) to improve capacity for Indigenous communities and organizations in areas of high mineral activity to participate in regulatory processes related to mineral exploration and mine development. As well as providing $10 million over three years to create new scholarship opportunities for First Nations postsecondary students interested in pursuing careers in resource development.
• Supporting businesses that invest in buildings, machinery and equipment for use in manufacturing or processing in Ontario, by proposing to enhance and expand the Ontario Made Manufacturing Investment Tax Credit. The proposed changes would temporarily increase the tax credit rate for Canadian-controlled private corporations (CCPCs) from 10 per cent to 15 per cent, and temporarily expand eligibility for a 15 per cent non-refundable version of the credit to non-CCPCs, including public corporations, that make eligible investments in the province. These proposed changes would help businesses lower their costs by providing an additional $1.3 billion in support over the next three years.
• Creating the Protecting Ontario Account, a fund of up to $5 billion designed to provide businesses with critical support to protect jobs, transform businesses and grow strategic sectors of the economy that are facing significant tariff-related business disruptions. This fund will provide immediate liquidity relief as an emergency backstop for Ontario businesses that have exhausted available funding.
• Ensuring skilled workers across the province have the training they need to enter rewarding careers in priority sectors by investing an additional $1 billion over the next three years in the Skills Development Fund Capital and Training Streams, bringing the total funding commitment to $2.5 billion. These investments will help organizations deliver better training programs and help upgrade and build new training centres for skilled workers across the province.
• Proposing to make the province’s gasoline and fuel tax cuts permanent. This measure would save households, on average, about $115 per year.
• Helping to fight gridlock by permanently removing tolls from the provincially owned Highway 407 East, which is expected to save daily commuters an estimated $7,200 annually.
• Doubling down on the province’s efforts to build, including the most ambitious capital plan in Ontario’s history with planned investments over the next 10 years totalling over $200 billion, including more than $33 billion in 2025–26. Highlights of the 10-year capital plan include nearly $30 billion to support the planning and construction of highway expansion and rehabilitation projects, approximately $61 billion for public transit, approximately $56 billion in health infrastructure and investing over $30 billion to build more schools and child care spaces.

“Our province has been faced with challenges before, and we have always emerged stronger and more united as a result,” said Minister Bethlenfalvy. “Today, with the 2025 Budget: A Plan to Protect Ontario, we put forward a plan that reflects the government’s vision and the mandate we received from the people of this great province to do whatever is necessary to protect Ontario workers, businesses and communities.”