Among the total $142 billion in new spending over the next 5 years, most of the charitable and nonprofit sector does not rank very high, but there are a few exceptions. In this article, we will look at the big nonprofit and charitable winners in this budget.
1. Non-market housing providers
Among the key measures of the Budget is eliminating homelessness in 10 years by investing $13 billion over the next 10 years in the capital of Build Canada Homes with the goal of building 200,000 new units, at least 10% of which are earmarked for Indigenous housing projects.
2. Childcare providers
The Government of Canada has recently committed to extending the Canada-Wide Early Learning and Childcare (CWELLC) system for four-years. This means $10.3 billion in funding in 2026-27 declining to $8.8 in 2030-31. This is good news for the stability and predictability of current providers. This is a welcome stabilization of the gains that have been made previously for childcare providers and will allow some more certainty in medium-term planning, though it should be noted this does not represent significant new investments in staffing or capital that remain the main barriers to expanding the program.
3. Hockey organizations and sports organizations using local arenas
Budget 2026 proposes to provide $1.5 billion over nine years through the Build Communities Strong Fund to support the construction, expansion, retrofit, and rehabilitation of community recreational facilities and ice rinks across Canada. This includes $750 million for the ice rinks and $750 million in additional funding for other community recreational facilities. While many of these facilities are currently owned by municipalities not nonprofits (with a few exceptions), nonprofits remain some of the most important users of these spaces.
Although the promotion of sports is famously not charitable. It is interesting to reflect on whether one day hockey will be important enough to Canadian identity that the promotion of hockey will be considered charitable as a patriotic gift.
4. Mental health, home and community care providers
Another key measure in the budget is to provide $1.2 billion in 2027-28 to extend federal funding agreements with the provinces and territories for mental health and addictions services and home and community care. It should be noted that provinces have increasingly used for-profit providers to deliver these services directly or indirectly, so it is not certain what portion of this will ultimately reach nonprofit and charitable service providers.
5. Artists promoting Canadian identity
Budget 2026 also proposes to provide collectively $325 million in 2027-28 for a suite of programs that will support the stories, spaces, and experiences that bring Canadians together as well as festivals and arts presentation. The bulk of this ($300 million) will be delivered through the Canada 160 Fund will be a flagship initiative to mark Canada’s 160th anniversary. This is welcome news for artists, heritage sites, and festivals whose focus is on shaping, preserving, and sharing Canadian identity. While not the largest budgetary investment, it does exemplify the important role of arts, heritage, and festivals sectors within the government’s overall narrative stressing Canadian sovereignty.
Conclusion
There’s more in this budget than what we’ve covered above. I encourage you to read it cover to cover. But if you happen to fall within one of the above sectors, congratulations! If not, don’t fret, there’s always next year.