Regina’s city administration has announced plans to raise next year’s property tax rate by 15.69 per cent in order to sustain current services. The estimated increase, equating to around $33 monthly for the average Regina homeowner, is subject to approval by the city council, scheduled to discuss the 2026 budget in December and finalize the mill rate increase on Dec. 19.
Deputy city manager Darren Anderson highlighted the necessity for continued investment in the city’s infrastructure due to existing needs and insufficient reserves for replacements. Inflation has also contributed to the rising costs of current services, prompting the need for increased funding.
Various budget scenarios were presented, indicating a potential 18.93 per cent rate hike if additional services are included, or a lower increase if service cuts are implemented. The city administration attributed the substantial mill rate increase to a $51.78 million budget shortfall, with projected general operating revenues standing at $635.71 million and operating costs at $687.5 million.
Property taxes are forecasted to contribute over half of the city’s revenues, with government grants being the next significant source at 13 per cent. The remaining revenue sources include city fees, external revenues, cost recoveries, and fines. The city is actively seeking potential grants from provincial and federal entities to supplement its revenue streams.
Key factors contributing to the budget shortfall include approved salary raises, increased Regina Police Service budget, and the introduction of new services from previous council decisions. The 2026 utilities rate is also expected to rise by 7.82 per cent, translating to an extra $14 monthly for the average homeowner.
If approved, the 15.69 per cent mill rate increase would mark one of the largest in Regina’s history. The 2025 operating budget saw a 7.33 per cent increase, the highest in over a decade. City officials noted that past councils had maintained artificially low rates, necessitating the current adjustment to ensure financial sustainability.
City council is slated to commence deliberations on the final budget and mill rate on Dec. 15. Meanwhile, Saskatoon has proposed a 7.43 per cent tax increase, matching its historical high, ahead of its upcoming budget discussions in December.