The government is investing in the most ambitious provincial capital plan in Canadian history, with planned investments over 10 years totalling more than $210 billion, including $37 billion in 2026–27. This includes building highways, transit and community infrastructure to keep workers on the job, thereby strengthening Ontario’s economy, and ensuring communities thrive for generations to come.
Building Highways
The costs of gridlock are real. Time stuck in traffic is one of the least productive parts of people’s day-to-day lives. It keeps people away from their families and delays the movement of goods for businesses. The Canadian Centre for Economic Analysis estimates that the economic and social impact of gridlock in Ontario was $56.4 billion in 2024 and could potentially rise to $108 billion annually by 2044 if no action is taken1.
Building Highway 413
To solidify the province’s position as a leader in moving people and goods efficiently, Ontario has started construction on Highway 413, a new 52-kilometre, 400-series highway, to better connect the transportation network across Halton, Peel and York regions, and shorten travel times by up to 30 minutes per trip. The corridor will extend from Highway 400 in the east to the Highway 401/407 ETR interchange in the west. This will include a six-lane, 400-series highway and protection for a dedicated future transitway.
The province is delivering Highway 413 and issued a Request for Proposals in December 2025 to design a major extension of Highway 410 that will connect directly to the future corridor for a total of nine kilometres of new highway construction. The construction of the broader highway will support an average of 6,000 jobs per year and contribute up to $1 billion to Ontario’s annual gross domestic product (GDP).
This progress builds on the major milestones that Ontario has reached for this project, including awarding the first two contracts to start construction of Highway 413 and completing the preliminary design work. Work is actively underway to acquire the necessary properties for highway construction and transitway protection. Alongside ongoing property acquisition discussions, the government continues to engage impacted landowners to provide project updates and information on the acquisition process. In addition, the government is advancing early works construction projects to get shovels in the ground for this project, including an embankment at the Highway 401 and Highway 407 interchange, the Highway 10 resurfacing and underpass and the Bovaird Drive underpass. The government is also advancing delivery of the mainline highway corridor and is working in consultation with the industry on a plan to deliver Highway 413 in multiple sections.
In addition, the province has designated Highway 413 under the Public Transportation and Highway Improvement Act, providing greater certainty for planning and development along the corridor. As a result, lands no longer required for Highway 413 or the Northwest Greater Toronto Area (GTA) Transmission Corridor will be released, while properties adjacent to the designated route will now require permits for certain activities. This approach supports more efficient land use planning, protects future infrastructure needs and ensures that communities can continue to grow with clarity and predictability.
Advancing Work on the Bradford Bypass
Ontario is helping prepare York Region and Simcoe County for rapid population growth by building the Bradford Bypass, a new four-lane highway designed to relieve congestion on the existing east-west local roads and connect Highways 400 and 404. The new 16-kilometre highway will relieve gridlock, save commuters time and keep goods moving across the Greater Golden Horseshoe (GGH).
In November 2025, the province reached a major milestone by awarding contracts for the detail design of the central and east sections of the highway. This work will include field investigations, Indigenous consultation, utility coordination and finalizing the design for both sections, marking significant progress toward construction. The province has also secured a program management consultant to oversee the full project, including design, quality assurance, scheduling and construction oversight.
Progress continues on the west section of the bypass, where crews have completed tree clearing along the proposed route to streamline utility relocations and prepare the corridor for construction. A temporary detour at 10 Sideroad is being completed to support a future bridge and interchange, and work is progressing on a new southbound lane on Highway 400 that will connect directly to the Bradford Bypass.
Once complete, the Bradford Bypass will save drivers an estimated 35 minutes in travel time compared to when they use local roads. During construction, the project is expected to create up to 2,200 jobs per year and contribute up to $286 million to the province’s GDP.
Building the Highway 401 Tunnel Expressway
In addition to the work already being done to upgrade and expand the province’s 400-series highways, the government is exploring innovative options to tackle congestion. This is why the government is undertaking a feasibility study for a new vehicle and transit tunnel expressway under Highway 401, with fieldwork starting this spring. The study examines tunnelling options to increase Highway 401 capacity, along with complementary approaches for congestion relief. The study will analyze the economic benefits both in the short and long term, as well as the project’s impact on reducing congestion.
Twinning the Queen Elizabeth Way Garden City Skyway
The Queen Elizabeth Way (QEW) Garden City Skyway Bridge Twinning Project includes construction of a new bridge on the QEW over the Welland Canal, connecting the City of St. Catharines to the Town of Niagara-on-the-Lake. In June 2025, Ontario reached a major milestone by awarding a contract for the detail design of the QEW Garden City Skyway Bridge Twinning Project. While design development is ongoing, certain advance works have already been identified and commenced in winter 2026.
As a vital corridor, this section of the highway supports tourism in Niagara Region and improves the connection of Niagara Region’s three international crossings to the rest of Ontario, while supporting the flow of over $1.1 trillion in goods annually. The new and expanded Garden City Skyway will reduce gridlock and time spent travelling for people in the growing Niagara Region and allow for the repair and upgrade of the existing aging bridge.
Building Highway 7
Construction of the new Highway 7 between Kitchener and Guelph will provide relief to the gridlocked Highway 401 and connect the fast-growing urban centres of Kitchener, Waterloo and Guelph. The government is advancing the project with activities that include replacement of the Frederick Street Bridge in Kitchener, environmental fieldwork and other engineering work to support construction of the remainder of the corridor. The construction phase of the Frederick Street Bridge replacement project is well underway, with the bridge demolition completed in December 2025.
In addition, the province is undertaking planning and design work for the easterly expansion of Highway 7 from two to four lanes, from west of Reesor Road in Markham to Brock Road in Pickering, to support the development of the City of Pickering’s Innovation Corridor. This will ensure Highway 7 is a continuous four-lane highway from Markham to Pickering, supporting the movement of goods and people in the region.
Improving Highways 400, 401 and 404
The Highway 401 corridor is a crucial economic link within Ontario, and between Ontario, Eastern Canada and the United States, handling about 11,000 trucks daily with goods valued up to $434 million in Eastern Ontario alone.
The province is taking a significant step towards accommodating the future widening of Highway 401 near Port Hope by replacing the Choate Road Overpass and Ganaraska River Bridge, as well as replacing the Wilson Road, Park Road and Cubert Street overpasses in Oshawa and the Bennett Road overpass in Clarington. These upgrades will benefit over 50,000 daily drivers and support hundreds of construction jobs, reinforcing the province’s commitment to economic resilience and mobility.
In Eastern Ontario, the province has replaced 20 bridges that will accommodate future widening of Highway 401. Several design studies are also underway for additional bridge replacements and interchange improvements to accommodate the future widening of the highway.
The province also completed major widening projects on Highways 400 and 404, as part of its plan to tackle gridlock and support the safe movement of people and goods in the GTA. More than 26 kilometres of Highway 400 between Langstaff Road and Highway 9 in York Region will be widened to 10 lanes: eight general purpose lanes, and one High Occupancy Vehicle (HOV) lane in each direction, with 21 kilometres from Major Mackenzie Drive to Highway 9 already complete. Highway 404 has been widened over 11 kilometres from Highway 407 to Stouffville Road.
Ontario has also taken the next step towards widening Highway 400, with new bridges being built at North Canal, Highway 88, Innisfil Beach Road and Dunlop Street in Simcoe to accommodate the future 10-lane highway. During construction, the project will create almost 500 good-paying jobs, from engineers to heavy equipment operators and labourers, and will ultimately save time for the more than 100,000 drivers who rely on this stretch of highway every day.
Accelerating Gardiner Expressway Rehabilitation
The government’s $73 million investment in the Gardiner Expressway rehabilitation has accelerated progress on one of Toronto’s most critical infrastructure projects. By working with the City of Toronto to enable 24/7 construction, the province was able to fast-track the timeline and reopened all six lanes to traffic in November 2025. This marks a major milestone for the project, which was delivered significantly earlier than originally planned, thanks to accelerated construction efforts.
With the expressway now fully open, commuters are benefiting from smoother traffic flow and improved reliability along one of Toronto’s busiest corridors.
This initiative is part of a broader government strategy to protect Ontario in the face of economic uncertainty, including from U.S. tariffs, by investing in infrastructure to support economic growth, fight gridlock and keep workers on the job. The project has delivered substantial economic impact by supporting approximately 500 good-paying jobs through construction and supply chain roles. The expressway upgrades are expected to save Ontario’s economy $273 million by reducing congestion and improving travel times by 22 minutes per trip compared to when construction was underway.
Building Highway 17
Ontario is taking the next steps to widen Highway 17 between Renfrew and Arnprior by issuing a Request for Proposals for the detail design of the expansion of the highway from two to four lanes. Highway 17 is a critical link in the Trans-Canada Highway system and a vital trade corridor, connecting communities across Eastern Ontario and supporting the movement of people and goods throughout the region.
The province is twinning 22.5 kilometres of Highway 17 running from Scheel Drive near Arnprior to three kilometres west of Bruce Street near the Town of Renfrew. The first stage of the expansion project was completed in November 2023, when the province finished construction of a new bridge and interchange at Highway 17 and Calabogie Road. As Ontario remains focused on dismantling interprovincial trade barriers that cost Canada’s economy $200 billion annually, widening Highway 17 remains a key component of the province’s plan to protect Ontario by building a stronger, more resilient and self-reliant economy while expanding cross-country trade routes.
Connecting Highway 401 to Lauzon Parkway in Windsor
The government is undertaking the planning and design for a new interchange connecting Highway 401 to the future Lauzon Parkway extension in Windsor, which will support increased opportunities for trade and improved access to the Windsor–Detroit border.
Completing Construction of Grand River Bridges
In December 2025, Ontario completed major construction on the Grand River bridges adjacent to Highway 401 in Kitchener, along with the rehabilitation of the King Street overpass between Kitchener and Cambridge. These upgrades are reducing congestion and improving travel times through one of Southwestern Ontario’s busiest corridors, while laying the foundation for future plans to widen Highway 401 from six to 10 lanes to support the region’s continued growth.
The new bridges will carry tens of thousands of vehicles each day, including a significant share of Ontario’s commercial traffic, helping people and goods move more efficiently across the Waterloo Region. These improvements build on the province’s plan to build, expand and repair highways, roads and bridges across Ontario, thereby strengthening the economy and supporting local jobs in Kitchener, Cambridge and beyond.
Building Highways for Northern Ontario
The government is investing in highways in the North to improve road safety, connect communities and unlock economic opportunities. Projects include:
- Investing nearly $62 million in Geraldton’s Main Street Rehabilitation Project, a critical road infrastructure project in Greenstone that will be the gateway to the Ring of Fire.
- Awarding a contract for the detail design of a new two-lane bridge that will replace the Little Current Swing Bridge on Highway 6 in the Town of Northeastern Manitoulin and the Islands. The new bridge will provide reliable year-round access to the provincial highway network, making it easier for workers to connect to jobs, housing and essential services, while supporting businesses by helping to drive economic growth and tourism across the region.
- Improving passing opportunities and safety on highways in Northeastern Ontario through innovative designs such as 2+1 highways, which feature alternating centre passing lanes every two to five kilometres.
- Expanding Highway 11/17 from two to four lanes between Thunder Bay and Nipigon, including two new sections that opened to traffic in fall 2025: Highway 587 to Pearl Lake for 14 kilometres, and Highway 582 to Coughlin Road for seven kilometres. These two projects are part of an extensive series of projects to widen over 100 kilometres of the highway between Thunder Bay and Nipigon. There are four sections remaining, the next of which is a six‑kilometre section between McGuire Road and Coughlin Road.
- Widening Highway 17 between Kenora and the Manitoba border from two to four lanes for approximately 40 kilometres.
- Supporting renewed partnerships with First Nations to build and improve highway infrastructure that will help connect more First Nation communities to the province’s highway network. This work includes maintenance and upgrades to Highway 584 and Highway 11.
- Continuing to expand the province’s rest area network across Northern Ontario. Since 2020, four new rest areas and 11 rehabilitation projects have been completed, nine of which are located along Highway 11 and Highway 17.
- Widening Highway 69 from two to four lanes between Parry Sound and Sudbury. In total, 84 kilometres of Highway 69 has been expanded to four lanes and the government is working to complete the remaining 68 kilometres.
Table 1.1
Recently Completed Highway Projects
Northern
- Rehabilitation of Highway 11 from 4.0 kilometres north of the north junction of
Highway 569 for 21.1 kilometres further north. - Rehabilitation of Highway 17 from 1.3 kilometres west of Goremanville Road
easterly to the north junction of Highway 11/17, North Bay. - Replacement of the North Driftwood River Bridge on Highway 11.
- Rehabilitation of Highway 556 from Highway 552 easterly to Highway 532, and
Highway 532 from Highway 556 northerly to 1.4 kilometres north of Achigan Creek. - Rehabilitation of the Kaministiquia River bridges on Highway 588.
- Rehabilitation of Highway 61 from Jarvis Bay Road to Highway 130.
- Reconstruction of Highway 599 from the English River Bridge to Highway 642.
- Rehabilitation of the Nestor Falls Bridge and Sioux Narrows Bridge on Highway 71.
- Rehabilitation of 30 kilometres of Highway 17 from Sawmill Bay Road to Upsala with hot‑in‑place recycling.
Eastern
- Replacing the Highway 416 culvert at the interchange of Roger Stevens Drive and Highway 417 and resurfacing various ramps on Highway 417 between Eagleson Road and Maitland Avenue, Ottawa.
- Replacing the Highway 41 culvert located between Kaladar and Machesney Lake Road.
- Resurfacing of Highway 60 from Wilno to the boundary of Renfrew and Nipissing.
- Replacing the structural culvert on Highway 17 near the intersection with Foresters Falls Road near Cobden.
- Resurfacing Highway 401 at various locations between Wyman Road in Tyendinaga Township and Wilton Road in Loyalist Township.
- Resurfacing Highway 41 and replacement of the structural culvert between Griffith and Eganville.
Southwestern
- Improving the interchange at Highway 401 and Middlesex Road 32 (Dorchester Road) and replacing the bridge at Thames Centre.
- Constructing a new interchange on Highway 6 between Maltby Road and Wellington
Road 34, including a new underpass structure at Highway 6 and Wellington Road 34. - Rehabilitation of Highway 4 from Elginfield to Exeter.
Central
- Replacing the Highway 400 and Essa Road interchange.
- Rehabilitation of the QEW and Highway 427 bridges at Evans Avenue and The Queensway.
- Replacing the bridge on Highway 401 at Simcoe Street and Albert Street.
- Rehabilitation of Highway 401 westbound express lanes from Avenue Road to Jane Street, including pavement and bridge rehabilitations.
- Rehabilitation of pavement on the QEW from 1.3 kilometres west of Seventh Street Louth
to 0.12 kilometres east of Niagara Street. - Rehabilitation of 10 bridges and one structural culvert along Highways 401 and 403,
as well as at the Highway 401/403/410 interchange.
Source: Ontario Ministry of Transportation.
Building Transit
Building transit alongside new roads and highways is also vital to support the province’s economy and connect more people to jobs and housing. With the opening of the Finch West Light Rail Transit (LRT), Eglinton Crosstown LRT as well as two new GO stations, Ontario is continuing to see the results of its historic investments in transit infrastructure. The government continues to lead the largest expansion of public transit in North America to keep pace with the rapid growth of Ontario’s cities and towns.
Building Light Rail Transit
The government is bringing fast, reliable transit projects to the people of Ontario to help reduce travel times and create more transit options:
- Eglinton Crosstown LRT: In February 2026, the Eglinton Crosstown LRT officially opened, delivering 19 kilometres of rapid transit, 10 kilometres of which are underground. The new Line 5 Eglinton links to 68 routes, three Toronto Transit Commission (TTC) subway stations and two GO lines, moving more than 123,000 riders each weekday and reducing travel times from Kennedy Station to Mount Dennis Station by nearly one hour.
- Finch West LRT: In December 2025, the Finch West LRT officially opened, servicing 18 stops across 10 kilometres of rail along Finch Avenue West from Keele Street to Highway 27 and south to the Humber College North Campus. By 2031, the new Line 6 Finch West is projected to move more than 51,000 riders each weekday, carrying 12 million riders annually. It supports connections with other TTC lines, as well as connections to Peel Region and York Region local transit services.
- Hazel McCallion Line LRT: The 18-kilometre Hazel McCallion Line LRT will provide key connections with GO stations at Port Credit and Cooksville, the Mississauga Transitway, Square One GO Bus Terminal, Brampton Gateway Terminal and key Brampton Transit, Züm and MiWay routes. In 2025, the construction of the Hazel McCallion Line LRT progressed further with the installation of girders over the Highway 403 interchange, completion of flood-proofing for Mary Fix Creek and advances in station construction. Ontario is also moving forward with work to extend the Hazel McCallion Line LRT by building the Mississauga loop and tunnelling the line into downtown Brampton. The next steps for the extensions will involve detailed planning and design, public consultation and environmental approvals.
- Hamilton LRT: In May 2025, Ontario issued a Request for Proposals for the first package of civil and utility work for the Hamilton LRT. Submissions have been received from the shortlisted teams, all of which include Canadian contractors. Early works are already underway in the City of Hamilton, including on water mains, sewers, hydro, telecommunications and gas lines.
Expanding GO Transit Services
To better connect growing communities across the GGH, the government is continuing to expand, integrate and build better GO train and GO bus services to make it easier and faster for people to get where they need to go. The government continues to deliver on GO Expansion, with Metrolinx rolling out incremental service increases, building new GO infrastructure, including new stations and improving passenger and train capacity at Union Station.
- Bowmanville GO Extension: In January 2026, the province announced that it had broken ground on GO Transit’s Bowmanville Extension. The project will extend the Lakeshore East GO line 18.7 kilometres into Durham Region, accommodating 17,000 daily trips and 4.9 million boardings annually by 2041. Once complete, the Bowmanville Extension will deliver two-way, all-day service, saving commuters time and money, while bringing families closer to housing and putting 10,400 jobs within walking distance of transit. Early works began in spring 2025 and included tree clearing, geotechnical investigations and the installation of a new watermain in Oshawa.
- Kitchener GO Extension: In October 2025, the province reached an agreement-in-principle with CN Rail to purchase land to construct dedicated GO tracks on the Kitchener Line, marking a major milestone in the province’s plan to build faster transit between Kitchener and Toronto. The agreement-in-principle coincided with additional GO train service that was added to the Kitchener Line in November 2025, including 18 new weekend trips between Bramalea GO and Union Station, as well as the first-ever weekend service to Kitchener.
- Niagara GO Extension: Ontario is bringing faster, more frequent, two-way, all-day train service between Niagara Region, Hamilton and the GTA. In September 2025, the government completed construction of the new Confederation GO Station in Hamilton, marking a significant milestone in the province’s Plan to Protect Ontario by investing in key infrastructure that will reduce gridlock and connect more people to jobs and housing. The new station will expand fast, reliable train service across the GO Transit network and generate nearly half a million more rides annually.
- Woodbine GO: In June 2025, construction started at Woodbine GO Station, marking a significant milestone in the province’s plan to provide two-way, all-day service across core segments of the GO Transit network. As part of its agreement with the province, Woodbine Entertainment Group is also providing up to $170 million to support the construction of the new station. The new station located on the Kitchener Line will provide increased capacity and feature new rail platforms. The station will create new links between the Union Pearson (UP) Express and Kitchener GO train, as well as to local bus services, including the TTC, MiWay, York Region Transit and Brampton Transit.
- Mount Dennis GO and UP Station: In November 2025, the government opened the Mount Dennis GO and UP Station, connecting riders to GO Transit’s Kitchener Line and UP Express. Mount Dennis Station also offers a direct connection to the newly opened Line 5 Eglinton and is the first station outside of Union Station to connect GO Transit, TTC and UP Express at a single station.
Advancing GO 2.0
Ontario is taking the next steps to advance planning for GO 2.0. Building on the extensive transit network vision in Connecting the GGH: A Transportation Plan for the Greater Golden Horseshoe, these next steps will help Ontario identify potential new rail corridors and study where new GO stations are needed to respond to network demand. GO 2.0 will build on existing investments to the GO Transit network by delivering two-way, all-day service across segments of the network.
Ontario is calling on the federal government to be a partner in this project by providing the funding and supports needed to expand passenger rail service in the GGH.
Building Subways
Work is underway on Ontario’s priority subway projects. The government is closer to providing better travel options, alleviating gridlock on roads and creating thousands of good, local jobs.
- Ontario Line: Ontario has broken ground on all sections of the Ontario line, including four new stations and the three-kilometre elevated guideway of raised track that will connect Don Valley, Flemingdon Park and Thorncliffe Park stations, marking another milestone in the province’s Plan to Protect Ontario by creating jobs, cutting commute times across the GTA and bringing nearly 230,000 more people within walking distance of public transit.
- Yonge North Subway Extension: In October 2025, Infrastructure Ontario and Metrolinx took the next major step towards getting shovels in the ground for the project by issuing a Request for Qualifications for the contract to design and build the subway’s five stations. In summer 2025, the government awarded a contract to North End Connectors, which will design and build the twin tunnels for this extension. The contract also includes early works construction of support headwalls for future stations and emergency exit buildings. Once complete, the Yonge North Subway Extension will accommodate over 90,000 daily trips.
- Scarborough Subway Extension: Ontario has broken ground on the first of three stations for the Scarborough Subway Extension, marking a significant milestone in the province’s plan to fight gridlock and bring rapid transit to tens of thousands of commuters across the GTA. Tunnelling work is also advancing, having passed the halfway point in early 2026. Once complete, the construction of the Scarborough Subway Extension is expected to bring 38,000 people within walking distance of transit.
- Eglinton Crosstown West Extension: With the first tunnel segment now complete, work is well underway on the final tunnel segment and all other segments of the Eglinton Crosstown West Extension. Once complete, the nine-kilometre line will connect seven new stations to the Eglinton Crosstown LRT, making travel faster and more convenient, while bringing more than 37,500 people within walking distance of world-class transit.
- Proposed Sheppard Subway Extension: The government is advancing planning on options to extend rapid transit both east and west of the existing TTC Line 4, which would improve transit connections in Toronto’s north end and make it easier and faster for people to get around Toronto and the GTA.
Investing in New Ontario-Made Subway Cars
Ontario has partnered with the federal government to maximize the Canadian content in the 55 new subway trains for Toronto’s Line 2. This will ensure Ontario tax dollars support Ontario companies in tariff-hit sectors such as steel and aluminum. This decision furthers the government’s ongoing work to support a strong manufacturing sector in Ontario that will help the province withstand growing geopolitical and economic uncertainty around the world.
Maximizing Canadian content has led to an increased provincial investment totalling nearly $1 billion, up from $758 million, which will be matched by the Government of Canada to contribute to the City of Toronto’s purchase of the new subway trains.
Funding for this project will support 946 good-paying Canadian jobs, including 285 at Alstom’s Ontario facilities, with 240 in Thunder Bay, 15 in Kingston and 30 in Toronto. The current 30‑year‑old Line 2 trains are nearing the end of their expected lifespan, which would significantly increase costs to maintain safety if they continue in operation.
Bringing Back the Northlander
The government is investing more than $100 million in rail infrastructure to support the return of Northlander passenger rail service to Northeastern Ontario, slated to open later this year. Work is underway along the corridor, and includes joint elimination, curve adjustments and improvements at rail crossings, and will deliver a smoother ride, enhance comfort and safety and reduce travel times for passengers. The Northlander will span 740 kilometres between Toronto and Timmins, with a rail connection to Cochrane, for a total of 16 stops, and is part of the government’s efforts to protect Ontario’s economy by connecting Northern communities, creating good-paying jobs, supporting local industries and driving economic growth across the North.
In September 2025, the government completed the North Bay Rail Bypass, a 982-metre track that will improve travel times to North Bay Station by 15 minutes, giving passengers more time with their families and friends while supporting tourism, jobs and economic growth in Northern Ontario.
In January 2026, the government also awarded a contract for renovations at North Bay Station, which will serve the Northlander, as well as Ontario Northland’s motor coach and Bus Parcel Express services. Construction is underway to modernize the station with new digital screens, seating and service counters, as well as washroom and lighting enhancements to improve accessibility and comfort. Similar work is underway at the Cochrane and Englehart stations, with construction expected to be completed in spring 2026.
Developing a Northland Rideshare Pilot Framework
Ontario is planning to engage with rideshare operators, the taxi sector and municipalities to explore the standardization of rideshare guidelines across the province, starting with a proposed pilot rideshare framework along the Northlander corridor to support opportunities in Northlander communities. Rules for rideshare programs, such as application fees and driver screening requirements, are currently managed by individual municipalities, resulting in differing standards across the province. The initial focus on Northlander communities is intended to improve passenger access as the Northlander resumes service later this year and support a future provincewide rollout.
The province is consulting on potential approaches to a framework and gathering feedback that could inform any future, broader application beyond the pilot. Through these initiatives, the government continues to support an integrated and efficient transportation network that will improve access for everyone, including rural and remote communities such as those along the Northlander route.
Investing in Transit in Rural Communities
Ontario is investing an additional $15 million over three years, starting in 2026–27, in the Ontario Transit Investment Fund. This investment will double the total program funding to $30 million over three years to support the startup and growth of transit services in rural communities. Since its launch in October 2024, there has been significant interest in the program, with over 35 projects at various stages of the application process. Eligible projects include new and expanded bus services, on-demand shared rides and door-to-door transportation.
This additional investment will help to provide safe, reliable transit services in unserved and underserved parts of the province, driving economic growth and connecting more people to communities, jobs and housing.
Supporting the Future Growth of Billy Bishop Airport
Billy Bishop Airport is a vital transportation hub for Ontario and Canada, serving approximately two million passengers each year and connecting Toronto to more than 20 cities across Canada and the United States. It is also a major economic driver, contributing $900 million in GDP and $1.8 billion in economic output each year, while supporting 9,000 jobs in 2024.
Ontario’s population is expected to grow to more than 20.5 million by 2051, including significant growth in the GTA, making it increasingly important to plan for the airport capacity needed to support a growing economy and keep people and goods moving. In order to unlock the full economic potential of Billy Bishop Airport, the Ontario government will introduce legislation that will, if passed, see the province provide compensation to take ownership of the City of Toronto’s lands around the airport, alongside its part in the tripartite agreement with the Toronto Port Authority and the federal government. By expanding capacity at Billy Bishop Airport, the province will work with the federal government to expand the airport’s runway, meet future demand, reduce pressure at Toronto Pearson International Airport, increase competition in the air travel sector to support more routes and cheaper flights and support the creation of good-paying jobs in Ontario’s aviation, tourism and construction sectors.
Protect Ontario Communities
Advancing Infrastructure Projects with the Building Ontario Fund
Focused on infrastructure projects in the priority areas of energy, affordable housing, long-term care, transportation, municipal and Indigenous community infrastructure and critical minerals, the Building Ontario Fund (BOF) continues to deliver on its mandate by advancing high-impact infrastructure investments in partnership with Canadian institutional investors and project proponents.
In addition to its historic $1 billion investment in the Darlington New Nuclear Project, BOF is also making investments in new projects for affordable housing and long-term care, including the following:
- Up to $300 million to launch a housing initiative with High Art Capital to help alleviate rental housing pressures in the GTA. This initiative will fund the conversion of about 2,200 newly built condominium units into long-term rental housing and will include about 550 affordable units;
- A $133.6 million investment, in partnership with Arch Corporation, in four long-term care homes that will create over 570 new and redeveloped beds. This includes a new 160-bed facility in Amherstburg to help meet growing demand for senior care in rural communities; and
- An $83 million investment in the first phase of an affordable student housing development at Toronto Metropolitan University (TMU) that will increase on-campus accommodations and revitalize Toronto’s downtown core.
These investments reflect the government’s commitment to build Ontario by unlocking critical infrastructure projects and delivering measurable, long-term public value across priority sectors.
Strengthening Indigenous Partnerships
The Indigenous Opportunities Financing Program (IOFP), administered by the BOF, seeks to advance economic reconciliation and prosperity by enabling financial participation of Indigenous partners in Ontario-based infrastructure projects through provincial loan guarantees.
Through the IOFP, Ontario is providing a provincial guarantee to support a $250 million investment by Saugeen Ojibway Nation to expand medical-isotope production at Bruce Power. This partnership strengthens financial participation and advances shared ownership that will create long-term benefits and economic opportunities for the community.
Supporting Housing Development
The government has taken action to help increase the supply of affordable homes and support housing development across Ontario. This includes removing the full 8 per cent provincial portion of the Harmonized Sales Tax (HST) on qualifying purpose-built rental housing in order to get more rental homes built across the province.
Lowering the cost of homeownership requires a coordinated response from all orders of government. Ontario is working with the federal government to provide funding to eligible municipalities that take action to significantly reduce development charges and, in doing so, make housing more affordable and speed up construction of the homes that families across the province urgently need. The province and federal government are discussing the details of a new funding program that will be made available to municipalities that agree to reduce development charges.
The Municipal Housing Infrastructure Program (MHIP) is also enabling housing development by building core infrastructure projects such as roads and water systems, to support growing and developing communities.
Through the Housing-Enabling Water Systems Fund and Housing-Enabling Core Servicing Stream, MHIP is helping to unlock new housing opportunities. Since its launch in 2024, the MHIP has made about 800,000 more new homes possible across Ontario.
The government is increasing funding to the MHIP – Health and Safety Water Stream by $700 million for a total of $875 million. This funding is supporting 120 projects across 127 municipalities and First Nation communities to build, expand or rehabilitate aging water, wastewater, stormwater, flood and erosion infrastructure — protecting housing otherwise at risk.
In addition, municipalities can access up to $1 billion in loans, with flexible borrowing terms, through the Infrastructure Ontario Loan Program’s Housing-Enabling Water Infrastructure lending stream.
Enhancing the Community Sport and Recreation Infrastructure Fund
Through the Community Sport and Recreation Infrastructure Fund, Ontario is providing an additional $300 million over six years to help meet the needs of growing communities by supporting the repair, upgrade or construction of new sport and recreation facilities. This brings the total program funding to $500 million. As part of the initial $200 million investment in the program, launched as part of the 2024 Budget, the government is supporting 94 development and revitalization projects for sport and recreation infrastructure across the province.
These investments will create jobs, while helping people across the province to lead healthier, more active lifestyles. Enhancing and expanding sport and recreation facilities increases accessibility, encourages participation and helps communities unlock the economic opportunities that come from hosting local, national and international sporting events and competitions.
Building Transit-Oriented Communities
Ontario is also actively working on transit-oriented development through the Transit-Oriented Communities program to support the advancement of mixed-use communities that increase access to housing and jobs at or near future subway, GO and LRT transit stations.
Ontario is advancing transit-oriented communities near 17 subway and GO stations. Planned transit-oriented communities have the potential to create approximately 292,000 new homes, including affordable options, and about 84,000 new jobs.
Launching the Pothole Prevention and Repair Program
Ontario invested $10 million to make roads safer by preventing accidents and damage that can occur from potholes. Under the new Pothole Prevention and Repair Program, the majority of smaller municipalities have applied for funding to support critical road maintenance and pothole repair.
Improving the Role of Conservation Authorities
The government is updating Ontario’s conservation authority system to deliver stronger watershed management, flood resilience, and better housing support and infrastructure projects. The new Ontario Provincial Conservation Agency will move Ontario to a regionally consolidated conservation authorities model grounded in watershed science, data transparency and measurable performance that will ensure flood management, erosion control and drinking water protection. Dedicated funding has been approved to support the transition and drive system-wide improvements like standardizing service delivery and introducing digital permitting tools that will help speed up approvals, improve customer service and direct more resources to frontline service delivery and conservation.
Chart Descriptions
Chart 1.3: Highway 413 Project Route
The image shows a map of the Highway 413 Project Route, extending from Highway 400 to the Highway 401/407 ETR interchange.
Source: Ontario Ministry of Transportation.
Chart 1.4: Bradford Bypass Project Route
The image shows a map of the Bradford Bypass Project Route. The bypass will run between Highway 400 and Highway 404, passing through the Town of Bradford West Gwillimbury and the Township of King.
Source: Ontario Ministry of Transportation.
Chart 1.5: Building Transit in the Greater Golden Horseshoe
The image shows a map of current and proposed major transit projects throughout the Greater Golden Horseshoe area.
Source: Ontario Ministry of Transportation.
Footnotes
[1] Canadian Centre for Economic Analysis (CANCEA), “Impact of Congestion in the GTHA and Ontario: Economic and Social Risks,” Research Report (December 2024), https://rccao.com/news/files/Impact-of-Congestion-in-the-GTHA-and-Ontario-December2024.pdf