Montreal’s Mayor Soraya Martinez Ferrada unveiled a $7.67 billion budget on Monday, emphasizing a balanced approach that significantly increases funding to combat homelessness, while also addressing property taxes and reducing the city’s debt-to-income ratio to 100% by year-end.
Described as fiscally “rigorous and responsible,” the budget reflects a 5.3% increase compared to the previous budget under former Mayor Valérie Plante. Martinez Ferrada stressed the commitment to enhancing services and residents’ quality of life without exceeding inflation-linked tax hikes.
The mayor has prioritized tackling homelessness, with plans to triple the budget to combat the issue and allocate $100 million by 2035 for emergency shelter spaces. Additionally, $29.9 million in 2026 alone will support organizations aiding the homeless, marking a substantial increase from previous allocations.
A key focus is on housing initiatives, with the city committing $578.7 million over the next decade to acquire buildings for affordable housing needs, including those related to homelessness. The existing by-law requiring developers to include specific housing types is being replaced with incentives to accelerate construction and accommodate around 75,000 housing units by 2050.
To balance social spending and infrastructure growth, property taxes are set to increase in line with inflation. The city aims to curb debt growth and maintain a debt ratio of 100%, signaling a commitment to financial stability.
Public safety is a top expense, with investments planned for crime prevention, surveillance, and emergency response measures. Initiatives include funding for police body cameras, public-space surveillance, and youth violence prevention programs.
Montreal’s budget underscores a strategic approach to address pressing social issues, prioritize housing needs, and ensure sustainable financial management under Mayor Martinez Ferrada’s leadership.
