Federal Budget 2025: New Measures for Canada's Horticulture Sector
Budget 2025 Impacts on Canadian Landscape Horticulture

The Canadian landscape horticulture industry is set for significant changes following the release of the federal government's Budget 2025. Key measures announced will directly influence workforce development, nursery operations, and long-term strategic planning across the green sector.

Key Budget Measures for Horticulture

Budget 2025 introduces a combination of new investments and program adjustments that will affect Canada's landscape horticulture industry. The Canadian Nursery Landscape Association (CNLA) and its member associations have highlighted several crucial components, including enhanced farm-risk management through AgriStability, a major capital-investment incentive for equipment and infrastructure, targeted investments in apprenticeship and trades training, and the planned conclusion of the Two Billion Trees Program.

Productivity and Investment Incentives

A centerpiece of the budget is the introduction of a Productivity Super-Deduction providing $2.7 billion in average annual support for business investment. This measure allows businesses to claim 100 per cent first-year expensing for eligible machinery, equipment, clean energy assets, and manufacturing or processing buildings placed in service before 2030.

Meanwhile, AgriStability enhancements improve risk-management coverage for farms by raising the compensation rate from 80 to 90 percent and increasing the maximum payment from $3 million to $6 million per farm. The government has allocated $109.2 million for these changes in 2025-26, which may particularly benefit larger nursery and greenhouse operations.

Workforce Development and Infrastructure

The budget also addresses critical workforce needs through the Union Training and Innovation Program (UTIP), which receives $75 million over five years, effectively doubling annual funding to $50 million for union-led apprenticeship training in Red Seal trades. While UTIP applies specifically to union-based training organizations, its expansion signals the federal government's broader emphasis on skilled-trades development—a priority shared by non-union sectors such as landscape horticulture.

On the infrastructure front, the government is launching the new Build Communities Strong Fund, a $51 billion commitment over ten years to support public infrastructure projects in provinces, territories, and municipalities.

Additionally, the federal government announced it will wind down the Two Billion Trees Program. While all existing contribution agreements will be honored, no new commitments will be made, freeing approximately $0.5 billion in uncommitted funds over four years.

Sector Response and Future Outlook

Industry leaders have responded positively to the budget measures. Joe Salemi, executive director of Landscape Ontario, stated: "We welcome the investments in training for the skilled trades. The next crucial step is working together to ensure they are fully accessible to the landscape horticulture professionals who are ready to usher in the next-generation workforce."

Anita Heuver, CNLA president, commented: "This budget represents encouraging progress for Canada's landscape and horticulture industries. Our sectors provide meaningful career pathways for youth, offering hands-on opportunities to build greener, more resilient communities."

Christine LeVatte, CNLA government relations and advocacy chair, emphasized the importance of green infrastructure: "For Canada's new housing strategy to be a true success, we must treat green infrastructure as essential infrastructure. A 'landscape-first' approach isn't just an aesthetic choice: it's a fundamental economic and environmental imperative."

These federal budget measures, announced on November 18, 2025, are expected to shape the trajectory of Canada's landscape horticulture sector for years to come, influencing everything from daily operations to long-term sustainability planning.