‘Nothing is off the table’ to lower 10.5% tax increase, mayor says

Members of Halifax’s budget committee got their first chance to discuss the fiscal plan on Wednesday.

The initial numbers from staff show the 2026/27 budget comes in at an increase of $88.9 million, which would require a 10.5 per cent increase to the average property tax bill.

Mayor Andy Fillmore says affordability is the top concern for everyone right now. He says the 10.5 per cent increase, coupled with potential rate increases from Halifax Water and Nova Scotia Power, is “simply too high for residents.”

“Every decision we make must reflect the realities our residents face,” Fillmore wrote in a statement.

A motion presented by the mayor and adopted by the budget committee on Wednesday tasks staff with finding further cost savings in the budget.

“However, the motion recognized that a truly ‘flat’ budget is not always possible due to unavoidable cost pressures,” the report notes.

There are a few areas it outlines where there are unavoidable increases, including from inflation, contracts, provincial contributions and projects that were previously approved by council. However, even with constraining the budget, the lowest tax bill increase will hover at 7.5 per cent, the report states.

According to Fillmore, staff will explore a 10 per cent cut to program grants, a one-third reduction to the Climate Action Tax and the implementation of a staffing freeze.

“Nothing is off the table,” Fillmore said. “But through constructive conversations around the Council table and a focus on delivering our core services, I believe we can make decisions that are both responsible and compassionate.”

Budget deliberations will continue into the new year.