The City of Winnipeg has proposed a 3.5% increase in property taxes for 2026, along with a plan to allocate $500 million towards the final phase of enhancements to the city’s main sewage treatment facility. Mayor Scott Gillingham announced that next year’s budget will mirror the property tax hikes seen in 2023 and 2024. In 2025, property tax revenue surged by 5.95%, the steepest climb since 1990 in Winnipeg.
Gillingham confirmed the projected 3.5% tax hike for 2026, revealing that the detailed budget will be unveiled at a special city council executive policy committee meeting. The expected additional revenue from the property tax increase is approximately $28 million, making property taxes the primary revenue source for the city. The overall operating budget, covering services like law enforcement and snow removal, is anticipated to reach nearly $1.5 billion in 2026.
To ensure a balanced operating budget, Gillingham emphasized the need for departments to manage costs effectively. The capital budget will allocate around $500 million towards the final phase of upgrades to the North End Water Pollution Control Centre, Winnipeg’s largest sewage treatment plant. This phase focuses on removing nutrients from effluent flowing into the Red River to comply with environmental regulations aimed at curbing algae growth in Lake Winnipeg.
The total cost for the final phase of the North End sewage treatment project is estimated at $1.5 billion. Gillingham expressed optimism that the provincial and federal governments will contribute to covering the remaining costs. Additionally, the budget will address funding commitments for the expansion of Kenaston Boulevard and Chief Peguis Trail, two major projects facing some dissent within the city council.