Quebec’s new budget focuses on maintaining core services like health and education, with no flashy big-ticket spending ahead of a fall general election.
Gone are the recent years of tax cuts and government cheques of hundreds of dollars to Quebec households.
Instead, Finance Minister Eric Girard says his budget for the 2026-27 fiscal year reflects persistent economic uncertainty, primarily due to the trade conflict with the United States.
The $170.8-billion budget projects a deficit of $8.6 billion, a number that includes a $2-billion contingency reserve and a $2.3-billion legally required payment into a fund to repay the province’s debt.
The biggest budget item is health care, with spending forecast to be $68.7 billion, a rise of 4.1 percent.
Quebec’s GDP is expected to grow by 1.1 percent in 2026—but that assumes U.S. tariffs on Canadian goods are stable over the short term.
Girard’s budget forecasts a GDP contraction of 0.2 percent if the Trump administration decides to exit the North American free-trade agreement, which is up for review in July.
