Canada’s Budget 2026
Build More. Make More. Trade More. What Ontario businesses need from the federal budget to strengthen Canada’s competitiveness
This is a moment of historic risk and opportunity Canada must transform its economy at a scale and speed not seen in generations, with business and government working as partners. That’s why Budget 2026 must strengthen Canada’s competitiveness by unleashing business investment, entrepreneurship, innovation and productivity. The challenge is clear. Trade uncertainty is weighing on communities across Ontario.
Where uncertainty is hitting hardest Share of businesses reporting a net negative impact on local economic activity
Where Ontario stands
14.3% Growth in Ontario’s business investment per worker from 2007 to 2024, less than half the U.S. rate of 31.3%. Less investment means slower productivity and wage growth.
34% Business confidence has rebounded to 34%, up 11 points since 2025, even as the effective tariff rate on Ontario doubled. Businesses are ready to invest if the conditions are right.
20-year low Ontario housing starts are projected to fall near 20-year lows in 2026, as families and workers struggle to find homes they can afford. Ranking includes only economic regions with statistically significant sample sizes from the OCC’s 2026 Trade and Tariff Survey.
On behalf of 60,000 members and nearly 145 local chambers, the OCC has made 15 recommendations for how we can get there. Sources: Ontario Chamber of Commerce, September 2026 Trade and Tariff Survey; CMHC Housing Market Outlook; Bank of Canada, Monetary Policy Report (July 2026); Fraser Institute, Comparing Business Investment per Worker in Canada and the United States, 2007–2024.
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What Canada’s Budget 2026 should do TOP ASKS
Three priorities to act on first
1. Build a single Canadian market
2. Help businesses reach new markets
3. Advance pro-growth tax reform
Accelerate the removal of internal trade barriers by setting clear annual priorities, firm timelines and transparent public reporting.
One intake and referral process for export help across EDC, BDC, the Trade Commissioner Service, regional development agencies and CanExport.
Reduce the tax burden on businesses, fix tax rules that penalize them as they scale up, and incentivize innovation.
To strengthen Canada’s competitiveness, Budget 2026 must invest strategically in four areas:
01 A thriving business and trade climate
02 Healthy and sustainable communities
Ask: Lower barriers, unlock investment and build strategic advantage.
Ask: Support the communities and health systems that keep Canada strong.
60% Canada’s target for business AI adoption by
70% of Windsor-Sarnia businesses say trade
Recommendations:
Recommendations:
• Launch an AI Adoption Accelerator for small businesses and scale-ups • Unlock growth in Canada’s strategic industries including critical minerals, AI, defence and agriculture
• Invest in trade-impacted communities, with tariff support that reaches the smallest firms • Align health systems and speed access to vnew treatments
03 Qualified people, diverse talent
04 Growth enabling infrastructure
Ask: Align immigration and skills with where employers need them most.
Ask: Turn infrastructure commitments into completed projects.
~2M postsecondary job openings projected in
130% year-over-year jump in Ontario new home sales
2034. Small firms need hands-on help to get there.
Ontario through 2035, from the trades to health care.
uncertainty is hurting their local economy.
in Q2, helped by the Canada-Ontario Partnership to Build.
Recommendations:
Recommendations:
• Increase Ontario’s Provincial Nominee Program spots to match its share of the economy • Reform foreign credential recognition so newcomers can work in their fields sooner
• Predictable, multi-year financing so builders can build housing at scale • Expand “one project, one process” with clear approval timelines
Working together for inclusive, sustainable prosperity We look forward to working with businesses of all sizes and the Government of Canada to position our nation for inclusive, sustainable prosperity.
Read all 15 recommendations at occ.ca
Sources: OCC 2026 Federal Budget Submission; OCC September 2026 Trade and Tariff Survey; Colleges Ontario (2026); Council of Ontario Universities/Stokes Economics (2026).
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