Calgary 2026 budget preview: 5.4% tax increase proposed for homeowners

A stock photo showing the Calgary Tower. (Unsplash/Justin Hu)

An early look at a budget the next set of Calgary councillors will eventually debate and vote on shows hundreds of millions of dollars in additional spending and another tax increase projected for property owners next year.

The 2026 budget preview, presented to councillors Wednesday, shows upped spending for housing, public safety, transit and infrastructure.

A 5.4 per cent tax increase for residential properties and a 1.3 per cent jump for non-residential properties (for a combined increase of 3.6 per cent overall) is proposed for next year.

• The information you need to know, sent directly to you: Download the CTV News App

Utility rates are also anticipated to climb by 3.8 per cent in 2026 for a typical residential bill.

“We know Calgarians are feeling today’s economic challenges, which is why we are focused on investing in what matters most to Calgarians,” David Duckworth, the city’s chief administrative officer, said in a news release.

“This budget balances affordability with the demands of a growing city, allowing us to continue to deliver high-quality programs and services that meet the needs of our community.”

Final debates and changes to the budget will happen in November, after a new council is sworn in.

Among more than $300 million in additional spending pitched is $78 million in affordable housing supports and $59 million to cover transit service frequency and upgrades, along with fare affordability programs.

The city is also spending more than $61 million on downtown safety initiatives, 911 improvements and a previously approved $28-million boost for Calgary police to cover a shortfall caused by a drop in photo radar fine revenue.

The police service is expecting to hire 21 additional officers next year as it grapples with worker shortages; about 19 per cent of its officers are on leave due to physical or mental injuries.

Additionally, the Calgary Fire Department is set to see a $21-million funding increase in 2026.

Infrastructure spending is also projected to increase by more than $63 million for pavement rehabilitation projects, park upgrades, Plus 15 maintenance and streetlight upgrades.

“We know Calgarians are feeling the pressure of today’s economy,” said Les Tochor, chief financial officer.

“By staying true to the original four-year plan and taking a disciplined approach to financial management, we’re ensuring essential services are maintained while using limited resources effectively to meet the needs of a growing population, without adding extra strain on taxpayers.”

Overall, the city projects $4.6 billion in operating spending and $3.6 billion in capital investments next year.