A Plan to Protect Ontario
Ontario continues to navigate the impact of U.S. tariffs and global economic uncertainty. It has never been more important for the government to deliver on its plan to protect Ontario.
For too long, past governments did not prioritize Ontario’s competitiveness or its ability to attract investment that creates jobs. Instead, they let red tape pile up, driving away jobs and investment, even as they refused to invest in the infrastructure and services our province needs if it is to keep growing. This failure to act left Ontario vulnerable and exposed to the impact of U.S. tariffs, which continue to threaten workers and communities in every corner of the province.
Our government is taking a different approach. We are cutting red tape, unleashing our economy, investing in infrastructure, supporting workers, improving services and making life more affordable, so we can make Ontario the most competitive place in the G7 to invest, create jobs and do business.
That is the best way to protect Ontario — not just from tariffs, but from anything that comes our way for decades to come.
Thanks to prudent fiscal management, Ontario has received two credit rating upgrades for the first time in nearly two decades.
We have maintained an AA credit rating with all four major credit rating agencies this year. This means less interest on every dollar borrowed, enabling more investments in our province’s growth and to protect our workers and communities.
This prudent fiscal management has given Ontario the room to act to protect our workers and communities.
From immediate support and relief to help workers and businesses weather tariffs, to attracting investment that will create more good-paying jobs for the people of Ontario, to building infrastructure for a growing province, we are leaving no stone unturned. We have made historic investments in health care, transit, roads and highways, and our communities, helping us build for our growing province, all while keeping costs down for families and helping to unleash our full economic potential.
We were able to take unprecedented steps to protect the economy, thanks to a prudent approach to fiscal management. The Public Accounts of Ontario 2024–2025 confirmed that the province remains on the right track, with Ontario recording a deficit of only $1.1 billion. This is a significant improvement from the projected deficit in the 2025 Ontario Budget.
We have made great progress on our plan: delivering critical funding, unleashing our economy, getting shovels in the ground, making life more affordable, protecting communities and delivering world-class services.
But we know there is so much more to do.
We need to take bold action to make Ontario more competitive, resilient and self-reliant.
The government is stepping up to protect Ontario in response to U.S.-imposed tariffs by deploying immediate strategies to boost investment attraction and strengthen the province’s supply chains for long-term growth. Ontario is taking every necessary step to defend the interests of the people of Ontario and protect the economy and jobs. This includes taking key actions that would enable nearly $12 billion in cost savings for businesses.
We need to promote innovation, reduce business costs, speed up approval processes and get rid of unnecessary red tape that is holding back businesses to make Ontario even more competitive.
We need to protect Ontario — now, more than ever.
Protecting Workers and Businesses
Ontario workers and communities are feeling the impact of tariffs that have undermined key industries, slowed growth, and shaken business confidence.
U.S. tariffs threaten not only the competitiveness and viability of key Ontario industries, including automotive and steel manufacturing, but the livelihoods of workers that depend on stable cross‑border trade with our most important trading partner.
We have taken urgent action to ease the pressure on workers and businesses.
As an immediate response, we have announced nearly $30 billion for workers and businesses — providing immediate relief and support to help businesses and keep workers on the job and weather the storm, including measures to build long-term resiliency and prosperity.
We deferred select provincial taxes for about 80,000 businesses in the province for six months, making up to $9 billion in liquidity relief available to keep workers on payroll and get through the immediate months after the tariffs came into effect.
We launched the $1 billion Protect Ontario Financing Program, the first phase of the $5 billion Protecting Ontario Account. It will provide support to Ontario-based businesses that have been affected by higher tariff rates in the steel, aluminum, copper and auto sectors. Funding through the Protect Ontario Financing Program has already begun to flow to tariff-impacted businesses. In partnership with the federal government, we announced an investment of $500 million to help Algoma Steel navigate changing market conditions and the impact of tariffs targeted at Canada’s steel sector. Through the Protect Ontario Financing Program, the province is providing a loan of $100 million.
The government is now developing the second and third streams of the Protecting Ontario Account, to be supported by the remaining $4 billion. By leveraging private capital, the government will focus on helping businesses transition away from overreliance on U.S. trade relationships, increase productivity and invest in domestic supply chains and in high-growth industries like artificial intelligence, defence, advanced manufacturing, life sciences, and research and development in the critical minerals sector. This will fortify Ontario’s economic resilience, and fuel innovation and fast‑track high-growth firms to sharpen Ontario’s global edge.
Our government will continue making every effort to use Ontario steel wherever possible, so that we can create new opportunities for Ontario steelworkers that will keep them on the job for years to come.
We are investing $20 million in Protect Ontario Workers Employment Response (POWER) Centres, which are providing access to training and upskilling to workers affected by, or at risk of, layoffs. This year, 10 of these centres were operational across Ontario, helping almost 15,000 workers with services and supports, including retraining them to re-enter the workforce.
Workplace Safety and Insurance Board (WSIB) premium rates have been further reduced to the lowest level in 50 years, resulting in estimated annual savings of approximately $60 million for Ontario employers in 2026. In total, average premium rate reductions and surplus distributions have resulted in a cumulative savings for businesses of approximately $21.5 billion over the last decade. These savings offer employers an opportunity to reinvest in their workers, fuel business expansion, and accelerate growth, priorities that are more important than ever right now. Through our plan to protect Ontario, we will continue providing much-needed support and relief during these difficult and uncertain times.
Protect Ontario by Unleashing Our Economy
Against a backdrop of U.S. economic and trade aggression, we are doing more than helping businesses and workers navigate today’s uncertain economy.
We have a plan to make Ontario the most competitive economy in the G7.
We are making strategic investments to unleash our economy and protect Ontario for generations. We are increasing the competitiveness and resiliency of the economy while unlocking new opportunities for prosperity.
We are leading the way to unlock internal trade, through the Protect Ontario Through Free Trade Within Canada Act, 2025 and agreements to unlock free trade with 10 other provinces and territories. These measures will help reduce barriers and expand labour mobility, to support economic integration across Canada and increase opportunities for Ontario businesses and workers.
We are unlocking the economic potential of the Ring of Fire.
We are supporting a made-in-Ontario critical minerals supply chain, including an investment of $500 million to create the Critical Minerals Processing Fund to support projects that accelerate the province’s critical mineral processing capacity. To cut government review times in half for advanced exploration and mine development projects, we are launching a wholesale permitting reform through the “One Project, One Process” framework so we can reduce delays and attract investment in Ontario’s mining sector.
We are powering Ontario’s affordable energy future through Energy for Generations, the province’s first-ever integrated energy plan, helping to build a self-reliant economy and protect workers in engineering, science, construction and other skilled trades. We will continue to invest in new, resilient and growing industries including Ontario’s nuclear and critical mineral advantage. This will help create hundreds of thousands of new jobs, including for workers hurt by U.S. tariffs.
We are positioning Ontario as a global leader in nuclear energy, leading the G7 by building the first of four small modular reactors (SMRs) at the Darlington nuclear site. It will produce enough reliable, affordable and clean electricity to power the equivalent of 300,000 homes, with construction of the four units creating up to 18,000 Canadian jobs while injecting $500 million, on average, annually into Ontario’s economy. Ontario is also leveraging its nuclear advantage to advance opportunities at home and globally. As part of its plan to expand nuclear energy generation, the government is advancing early-stage planning for new large-scale nuclear energy generation, both at the Bruce nuclear site in Bruce County and at Ontario Power Generation’s Wesleyville site in Port Hope.
Since 2020, Ontario has attracted tens of billions of dollars in new investments that will help support and create thousands of jobs, some of which already have shovels in the ground — including the $5 billion NextStar battery plant in Windsor, which is expected to create 2,500 jobs, and the $7 billion PowerCo battery cell plant in St. Thomas, which would employ up to 3,000 workers.
We are helping businesses lower their costs, innovate, and become more competitive by temporarily enhancing the Ontario Made Manufacturing Investment Tax Credit, and expanding access by providing a non-refundable version of the credit to corporations that were not eligible for the original credit.
We are supporting the growth of advanced manufacturers through the Advanced Manufacturing and Innovation Competitiveness (AMIC) Stream of the Regional Development Program, by providing financial support and tools to primarily small and medium-sized businesses so that they can invest in equipment, technologies and skills development and continue to grow.
As of September 2025, we have announced investments of more than $45 million in 41 companies and organizations through the AMIC Stream, since its launch in 2022. This has leveraged $500 million in investments, creating over 1,000 jobs in communities across the province.
We are strengthening Ontario’s competitiveness and resilience by continuing to attract major investments to the province through Invest Ontario — providing investors with one-window access to expertise and tailored services as well as financial support through the Invest Ontario Fund.
To date, Invest Ontario has announced over $8.2 billion in investments, which are expected to create more than 10,200 good-paying jobs.
We are also moving forward with consultations to help set criteria to designate Special Economic Zones. These zones would provide a predictable and stable environment for investment and growth. This would allow projects to start and advance faster, while maintaining necessary safeguards and standards for environmental protection, as well as the duty to consult with Indigenous communities.
Protect Ontario by Building
We are delivering on our 10-year, more than $201 billion capital plan — the largest and most ambitious plan of its kind in Ontario’s history.
This includes historic investments to unlock infrastructure to address Ontario’s current needs, while laying the foundation for long-term growth and prosperity for communities across the province and creating more construction jobs.
Strengthened by an additional $5 billion in funding announced in the 2025 Ontario Budget, the Building Ontario Fund (BOF) has begun delivering on priority investments — leveraging innovative solutions to build more critical infrastructure that would otherwise not get built. The BOF continues to target projects in long-term care, energy infrastructure, affordable housing, municipal and Indigenous community infrastructure, transportation, and the newest area of focus for the BOF: critical minerals.
We have announced an additional $1.6 billion to accelerate housing and critical infrastructure projects, nearly doubling the Municipal Housing Infrastructure Program to $4 billion. This is providing communities with resources to build roads, bridges and water systems that enable new housing.
Gridlock costs Ontario $56 billion every year. We have a plan to fight it and get drivers and goods moving. This plan includes moving ahead with building Highway 413, the Bradford Bypass, as well as expanding existing highways, including a tunnelled expressway under Highway 401.
We are overseeing the largest expansion of public transit in North America, including new subway lines to deliver better transit in Toronto. Our plan for GO 2.0 will deliver the next generation of passenger train service for the Greater Golden Horseshoe, providing multiple new GO passenger train lines, including through midtown Toronto, Etobicoke and York Region to Bolton, along with dozens of new stations and improved service.
We are investing $400 million in 2026 for 423 small, rural and Northern communities across Ontario through the Ontario Community Infrastructure Fund to help them build vital infrastructure, including roads, bridges, water and wastewater projects.
We are providing $600 million to almost 400 small, rural and Northern municipalities, as well as those with limited property assessment, through the Ontario Municipal Partnership Fund, to assist municipalities in providing critical services to people across the province.
We are investing $200 million over three years to support the construction of new sport and recreational facilities and the revitalization of existing venues to provide people with more opportunities to live, work and play in their local communities.
Protect Ontario by Keeping Costs Down
Ontario families deserve more money back in their pockets — we are continuing to build on our track record of doing just that.
From direct financial relief to families and individuals, saving commuters money by removing tolls, making public transit more affordable through the One Fare program and permanently cutting Gasoline Tax and Fuel Tax rates, we are lowering costs and making life more affordable when it is more important than ever.
We have provided taxpayer rebate cheques, delivering about $3 billion in timely support to almost 15 million eligible people in Ontario. We are investing nearly $11 billion in energy efficiency programs, the largest investment in energy efficiency in Canadian history — helping Ontario families and businesses save money and reduce energy demand.
We have removed tolls on Highway 407 East and Highways 412 and 418, frozen fees for driver’s licences and Ontario Photo Cards, and One Fare is saving daily transit users on participating transit systems an average of $1,600 each year.
We are working with the federal government to mirror their May 27, 2025 proposal for a federal GST/HST First-Time Home Buyers Rebate. Subject to passage of federal legislation, Ontario’s new rebate would be for the full 8 per cent provincial portion of the HST for first-time buyers of qualifying new homes valued up to $1 million.
We will continue to deliver on our plan to protect Ontario workers, businesses and communities and keep costs down through the development of a multi-year Tax Action Plan to help make Ontario the most competitive jurisdiction in Canada. Ontario’s Tax Action Plan will focus on encouraging and attracting more business investment, improving Ontario’s competitiveness in the G7, and lower costs or provide relief for individuals and families in the years and decades to come.
Continuing to Protect Ontario
Time and again, our province has confronted adversity and emerged stronger and more united than ever.
Today is no different.
Thanks to prudent fiscal management and strategic investments, we are well-positioned to continue protecting our province and build for tomorrow.
This approach has allowed the government to maintain a path to balance as part of its fiscal plan. The government is projecting deficits of $13.5 billion in 2025–26 and $7.8 billion in 2026–27, followed by a surplus of $0.2 billion in 2027–28. Ontario is prepared to do whatever it takes to provide critical financial supports to protect Ontario workers and jobs.
Even with so much uncertainty, investors around the world have confidence in Ontario’s ability to deliver.
We have a strong foundation in key strategic sectors, such as steel production, mining, energy, advanced manufacturing, and their well-established supply chains, and an ambitious vision to diversify our trade while investing in emerging industries and technologies that will make Ontario more competitive than ever.
We are making Ontario’s economy more competitive and more resilient. We are building future growth through strategic investments in infrastructure, skills development and innovation that raise our productivity as an economy and our prosperity as a province.
By promoting innovation, reducing business costs, and cutting red tape and regulatory burdens, we will unleash the full potential of Ontario’s economy.
Working alongside our world-class workers, industry, municipal leaders, unions, Indigenous communities and the federal government, we will tap into Ontario’s full potential and rise to meet any challenge.
We will continue investing in stronger, safer communities and help our health and education sectors continue to deliver for people — ensuring Ontario remains the greatest place on earth to live, work and raise a family.
Our government will never stop standing up for the people of Ontario.
Together, we will protect Ontario and build a great future for our province.
Original signed by
The Honourable Peter Bethlenfalvy
Ontario’s Minister of Finance