Kitchener releases its proposed 2026 budget

How much could Kitchener homeowners be paying for their city taxes next year? CTV’s Ashley Bacon takes a look.

The City of Kitchener gave residents a first look at its proposed 2026 budget on Friday.

Mayor Berry Vrbanovic said the goal was to be “affordable today, ready for tomorrow.”

Some key takeaways from the proposed budget were a:

• Property tax increase of 2.2 per cent (around $29 annually)
• Water utility rate increase of 4.9 per cent ($24 annually)
• Sanitary sewer utilities increase of 7.0 per cent ($45 annually)
• Stormwater utility rate increase of 7.4 per cent ($19 annually)

In total, residents could pay an additional $117 next year.

Vrbanovic said the preliminary plan “speaks to strong fiscal management, all while balancing the forward-looking investments our city needs for tomorrow.”

Jonathan Lautenbach, the city’s chief financial officer, was also happy with where council landed.

“The fact that we’ve been able to achieve a 2.2 per cent [property tax] increase in 2026, with all the pressures and economic uncertainty around us, I think is a significant achievement.”

City staff said they were always focused on affordability.

“Our tax increases have always been very much in line with that inflationary target that we have,” explained Councillor Scott Davey. “The way we do that is we average the current year in, and the previous year’s inflation.”

“We need to assess what are those pressures that we’re facing within the budget,” Lautenbach said. “But also, being reasonable in terms of new things that we’re adding into the budget, the things that we need to continue to make progress on and finding the right balance.”

Vrbanovic introduced the proposed budget using his strong mayor powers, as he directed staff to put it together before Feb. 1, 2026. The plan will officially be presented to council on Nov. 24, and they can suggest changes or amendments. Residents can also share feedback on the proposed budget online. https://www.engagewr.ca/kitchener-budget-2026

The mayor is also hopeful other levels of government will step up financially for municipalities.

“One of the things we know that needs to change is, quite frankly, the fiscal relationship between the federal, provincial governments and municipalities of all sizes across the country,” Vrbanovic said.