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Ottawa’s Draft Budget 2025, tabled today at City Council, invests in a city that is safe, fair, and affordable.
Today, the City of Ottawa released its Draft Budget for 2025, which aims to build a city that’s safe, fair and affordable for all.
Draft Budget 2025 continues to invest in the more than 100 services that keep Ottawa running, while balancing our current realities.
Over the past two years, we have created strong financial plans, reviewed services and adopted new ideas, which has helped the City keep taxes low while maintaining services that residents and businesses rely on. Draft Budget 2025 identifies $54.2 million in savings through service reviews and continuous improvement initiatives, bringing the total to $207.7 million in savings since 2023.
Draft Budget 2025 is not just about maintaining existing services – it also increases investments in key areas such as housing, safety and security, roads and transit.
However, there continues to be challenges. Revenue from transit is down with fewer people using the system, infrastructure and construction costs are rising, and funding from provincial and federal governments falls short of needs.
To address this, Draft Budget 2025 proposes a 2.9 per cent tax increase, keeping costs low for residents while sustaining important City operations and programs. Recognizing that public transit is essential to the well-being of our residents and the long-term sustainability of Ottawa, the City is also proposing a balanced approach to the 2025 transit budget based on recommendations from the Transit Long Range Financial Plan working group.
Expanding housing options and affordability
Draft Budget 2025 will help increase Ottawa’s housing supply, with more affordable options below market rates. Key investments include:
This builds on efforts to boost housing supply through zoning by-law updates, streamlined approvals, and providing up to $176.3 million via the Housing Accelerator Fund to build affordable housing and offer more innovative planning and approval systems.
Investing in safe and vibrant neighbourhoods
Draft Budget 2025 strengthens emergency services to enhance public safety, so that help arrives faster when needed. These investments also support economic growth by making key downtown destinations more welcoming for residents and visitors. Key investments include:
Improving our roads and infrastructure
The City is committed to providing all residents with reliable, safe and accessible mobility options. This remains a priority in our Draft Budget 2025. We are investing in our transportation networks to help you get around more easily. Key investments include:
Supporting reliable and sustainable public transit
Residents deserve safe and reliable public transit they can trust for daily travel. While our transit system has experienced challenges in recent years, including low ridership levels, Draft Budget 2025 reaffirms our commitment to operating a system that is financially sustainable and works for transit users.
O-Train Lines 2 and 4 will open by the end of 2024, and the extension of O-Train Line 1 to Trim Station will open in 2025. Service reliability will be improved by replacing more than 100 aging buses with zero-emission buses and by implementing the New Ways to Bus route network. Para Transpo service will also increase to reflect higher levels of ridership demand.
Efforts have been made to make our public transit system more efficient and to reduce costs, saving $33.6 million in the 2025 Draft budget. Despite these savings, there remains a significant funding gap for 2025. The City continues to seek funding from the federal and provincial governments toward sustaining reliable transit services.
What’s next
For more information on Draft Budget 2025, visit ottawa.ca.
Draft Budget 2025 was shaped by your priorities, and there are more chances for you to have your say. The budget will be reviewed by all Standing Committees in the coming weeks, then considered by Council on Wednesday, December 11. Residents are encouraged to share their views throughout this process:
Quotes
“This has been a challenging budget process. In order to invest in what matters most, while respecting taxpayers' money during an affordability crisis, we've had to make some tough choices. This budget represents a balanced, responsible approach to meeting the needs of Ottawa residents, investing in priorities including emergency services, public transit, housing, roads and sidewalks, and supporting the most vulnerable. And it keeps tax increases low to avoid adding to the financial burden of residents.”
Mayor Mark Sutcliffe, City of Ottawa
“Draft Budget 2025 is a pivotal step in our ongoing efforts to provide exceptional services while navigating current economic realities. I am proud of the progress we have made in advancing Council’s priorities and this budget demonstrates our dedication to addressing the most pressing issues facing our city. Our strong financial management has resulted in a healthy reserve balance, low debt levels, a favorable credit rating and a prudent and balanced approach to investing.”
Wendy Stephanson, City Manager
For more information on City programs and services, visit ottawa.ca, call 3-1-1 (TTY: 613-580-2401) or 613-580-2400 to contact the City using Canada Video Relay Service. You can also connect with us through Facebook, X (formerly Twitter) and Instagram.
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Today, the City of Ottawa released its Draft Budget for 2025, which aims to build a city that’s safe, fair and affordable for all.
Draft Budget 2025 continues to invest in the more than 100 services that keep Ottawa running, while balancing our current realities.
Over the past two years, we have created strong financial plans, reviewed services and adopted new ideas, which has helped the City keep taxes low while maintaining services that residents and businesses rely on. Draft Budget 2025 identifies $54.2 million in savings through service reviews and continuous improvement initiatives, bringing the total to $207.7 million in savings since 2023.
Draft Budget 2025 is not just about maintaining existing services – it also increases investments in key areas such as housing, safety and security, roads and transit.
However, there continues to be challenges. Revenue from transit is down with fewer people using the system, infrastructure and construction costs are rising, and funding from provincial and federal governments falls short of needs.
To address this, Draft Budget 2025 proposes a 2.9 per cent tax increase, keeping costs low for residents while sustaining important City operations and programs. Recognizing that public transit is essential to the well-being of our residents and the long-term sustainability of Ottawa, the City is also proposing a balanced approach to the 2025 transit budget based on recommendations from the Transit Long Range Financial Plan working group.
Expanding housing options and affordability
Draft Budget 2025 will help increase Ottawa’s housing supply, with more affordable options below market rates. Key investments include:
- $120 million over three years in new Provincial Homelessness Prevention Program funding to help address pressures in the homelessness sector for overflow shelters that support singles and families and support the provision of basic needs.
- $48.8 million through Ministry of Municipal Affairs and Housing’s Homelessness Prevention Program to support the shelter system, housing loss prevention programs, supportive housing, and general housing assistance programs.
- $34.2 million through Immigration Refugee and Citizenship Canada’s Interim Housing Assistance Program to help support the City’s response to asylum seekers.
- $18.9 million in base funding for the Housing Long-Range Financial Plan which could rise to $22.9 million, pending approval of Vacant Unit Tax changes.
- $15.9 million through Housing, Infrastructure, and Communities Canada’s Reach Home program to fund supportive housing providers and the City’s Housing First programs.
This builds on efforts to boost housing supply through zoning by-law updates, streamlined approvals, and providing up to $176.3 million via the Housing Accelerator Fund to build affordable housing and offer more innovative planning and approval systems.
Investing in safe and vibrant neighbourhoods
Draft Budget 2025 strengthens emergency services to enhance public safety, so that help arrives faster when needed. These investments also support economic growth by making key downtown destinations more welcoming for residents and visitors. Key investments include:
- The addition of 23 paramedics, 22 firefighters, 10 by-law staff, and improved vehicles and technology to support their work.
- $16 million through the Ontario-Ottawa Agreement to address downtown safety, alternative mental health supports and Transit security.
Improving our roads and infrastructure
The City is committed to providing all residents with reliable, safe and accessible mobility options. This remains a priority in our Draft Budget 2025. We are investing in our transportation networks to help you get around more easily. Key investments include:
- $200 million for integrated rehabilitation projects to make sure city road infrastructure remains in good working order.
- $89.6 million for road rehabilitation, resurfacing and upgrades across the city, which includes $13.5 million specifically for local road renewal. These local road investments will respond to community needs.
- $25.7 million for pedestrian and road safety initiatives, including $12.7 million allocated to signalized intersections.
Supporting reliable and sustainable public transit
Residents deserve safe and reliable public transit they can trust for daily travel. While our transit system has experienced challenges in recent years, including low ridership levels, Draft Budget 2025 reaffirms our commitment to operating a system that is financially sustainable and works for transit users.
O-Train Lines 2 and 4 will open by the end of 2024, and the extension of O-Train Line 1 to Trim Station will open in 2025. Service reliability will be improved by replacing more than 100 aging buses with zero-emission buses and by implementing the New Ways to Bus route network. Para Transpo service will also increase to reflect higher levels of ridership demand.
Efforts have been made to make our public transit system more efficient and to reduce costs, saving $33.6 million in the 2025 Draft budget. Despite these savings, there remains a significant funding gap for 2025. The City continues to seek funding from the federal and provincial governments toward sustaining reliable transit services.
What’s next
For more information on Draft Budget 2025, visit ottawa.ca.
Draft Budget 2025 was shaped by your priorities, and there are more chances for you to have your say. The budget will be reviewed by all Standing Committees in the coming weeks, then considered by Council on Wednesday, December 11. Residents are encouraged to share their views throughout this process:
- Submit ideas to your Ward Councillor.
- Visit Engage Ottawa for information on Councillor-led budget consultation sessions or ask a question.
- Register as a public delegate to present at a budget review meeting of any standing committee, board, or commission. Visit ottawa.ca/budget for meeting dates.
- Connect with us on Facebook and X using #OttBudget.
- Call 3-1-1 (TTY: 613-580-2401); rural residents can call 613-580-2400.
Quotes
“This has been a challenging budget process. In order to invest in what matters most, while respecting taxpayers' money during an affordability crisis, we've had to make some tough choices. This budget represents a balanced, responsible approach to meeting the needs of Ottawa residents, investing in priorities including emergency services, public transit, housing, roads and sidewalks, and supporting the most vulnerable. And it keeps tax increases low to avoid adding to the financial burden of residents.”
Mayor Mark Sutcliffe, City of Ottawa
“Draft Budget 2025 is a pivotal step in our ongoing efforts to provide exceptional services while navigating current economic realities. I am proud of the progress we have made in advancing Council’s priorities and this budget demonstrates our dedication to addressing the most pressing issues facing our city. Our strong financial management has resulted in a healthy reserve balance, low debt levels, a favorable credit rating and a prudent and balanced approach to investing.”
Wendy Stephanson, City Manager
For more information on City programs and services, visit ottawa.ca, call 3-1-1 (TTY: 613-580-2401) or 613-580-2400 to contact the City using Canada Video Relay Service. You can also connect with us through Facebook, X (formerly Twitter) and Instagram.
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