After an extended session, Calgary's newly configured city council has given the green light to the municipality's financial plan for 2026, which includes a modest rise in property taxes for both homeowners and commercial entities.
The Budget Decision and Tax Implications
The pivotal decision was reached following a marathon council meeting on December 3, 2025. The approved budget introduces a 1.64 per cent increase in property tax rates. This adjustment applies uniformly across the board, affecting both residential and non-residential property owners. The vote marks one of the first major fiscal undertakings for the council, which features several new members following the recent municipal election.
Context and Council Deliberations
The budget approval process was a significant test for the council's dynamics. Deliberations stretched over many hours as councillors weighed competing priorities, including essential city services, infrastructure projects, and the financial pressure on citizens. The final figure of 1.64% represents a compromise position aimed at balancing the city's growing needs with affordability concerns for taxpayers.
This tax increase is set against a backdrop of economic uncertainty and is designed to fund core municipal operations. Council members emphasized that the increase is below the current rate of inflation, positioning it as a restrained approach to managing the city's finances.
What This Means for Calgary Residents and Businesses
The direct consequence of this decision will be seen on the next property tax bill. For a typical Calgary home, the increase translates to an additional amount that officials describe as manageable. For the business community, the identical rate hike on non-residential properties provides a predictable cost structure for the coming year.
The approved budget now sets the city's spending priorities for 2026, allocating funds to areas such as public safety, transit, road maintenance, and community services. The council's approval concludes the annual budget cycle, locking in the financial roadmap that will guide Calgary's operations throughout the next fiscal year.
