Saskatchewan has ended the 2025-26 fiscal year with a $947 million operating deficit. The province released the figures as part of its public accounts on Tuesday. The deficit represents a drastic departure from the original $12 million surplus forecasted in the 2025-26 budget. The modest surplus was short lived, as the province soon projected a ballooning deficit in its quarterly updates, with the projected deficit reaching $1.21 billion in the third quarter. This deficit came under scrutiny from the province’s Official Opposition, saying the government is “frequently off” on their projections. “Budgets are difficult to put together, but ... the only thing that the Sask. Party is consistent at is missing the mark,” said NDP MLA Sally Housser. “That’s bad for business, it’s bad for the financial anxiety of the people of this province.” Saskatchewan previously reported a $249 million deficit in its 2024-25 public accounts. According to the province, total revenue increased by $77 million while expenses increased by $1 billion from budget projections. Total expenses amounted to $22 billion. The $1 billion or 4.9 per cent increase was primarily due to increases in health, economic development and education – with the province specifically identifying a higher demand for health care and an increased wildfire response and evacuation effort. The expense spikes were offset by a drop off in agriculture expenses – thanks to improved yields and less crop insurance payouts. Despite a net debt increase of $1.5 billion in 2025-26, the province touts the second lowest net debt-to-GDP ratio in Canada. - With files from Sierra D’Souza Butts
