Budget Address 2025

Delivered by The Honourable Jill Burridge Minister of Finance and Chair of Treasury Board at the Second Session of the Sixty-Seventh General Assembly of the Prince Edward Island Legislature April 10th, 2025

Mister Speaker, Members of the Legislative Assembly, guests, It is my honour to present the 2025-2026 operating budget for Prince Edward Island.

This is a budget that continues the work we started. A budget that reflects our government’s commitment to Securing our Future—together. 

Our government has remained committed to addressing the priorities that matter most to Islanders: healthcare, housing, affordability, and economic growth.

We know the world around us is uncertain—costs are rising, trade relationships are changing, and shifting political winds beyond our borders continue to impact our Island. 

Today, we take another step forward—securing our future by strengthening our province, investing in the people who make it great, and ensuring a strong, sustainable future for all.

It is a budget that balances our ambitions with responsibility. It makes the investments needed to move us forward while ensuring that our fiscal house remains in order. Because securing our future isn’t about doing everything at once; it is about doing the right things at the right time.

Mister Speaker, today’s budget includes $294.6 million in new spending, bringing the total expenditure to just over $3.5 billion. This reflects a 9.1 percent increase over last year. Our revenues are expected to grow by $195.7 million or 6.2 percent over last year as well.

This means our projected deficit for 2025-26, before the tariff and trade contingency, will stand at $151.9 million. When our $32 million Tariff and Trade Contingency Fund is factored in, our projected deficit will be $183.9 million.

Mister Speaker, with your indulgence, I would like to share more details of our plan to do more for Islanders—and how this budget will help secure our healthcare system, support our workforce, grow our economy, strengthen our communities, and most importantly, secure our future.

Securing our Economy

Mister Speaker, strong economies begin with our people, our farmers, our fishers, our entrepreneurs, and every Islander from North Cape to East Point and everywhere in between.
When we support Islanders in dealing with rising costs, support businesses through uncertainty, and invest strategically—we protect the diverse and robust economy of Prince Edward Island that we have worked so hard to achieve. A strong and resilient economy enables us to deliver services Islanders need.

Mister Speaker, we recognize that our economy faces challenges far beyond our borders—especially the unpredictable and damaging tariffs that threaten Island exports. Tariffs disrupt trade, weaken longstanding partnerships, and put jobs and businesses at risk.

That's why we’ve launched a comprehensive plan, Protecting Our Future, anchored by a $32 million Tariff and Trade Contingency Fund in this budget. This fund will be used to provide direct support to businesses and workers affected by tariffs, reinforce trade relationships, and help Island businesses diversify into new markets.

Like many other jurisdictions, this contingency fund will play a pivotal role in our ability to respond quickly, when further disruptions occur to our economy over the next fiscal year.

Mister Speaker, through the Tariff and Trade Contingency Fund, we are supporting businesses with the Export Enhancement and Diversification Fund, which provides $1.75 million to help cover essential market activities to help businesses expand and adapt amidst tariff uncertainties.

To ensure businesses remain resilient, we have also launched our $10 million Tariff Working Capital Program that provides financial relief through flexible loans, protecting jobs and economic stability.

But, we recognize we are not tackling this alone. We’re proud to be part of Team Canada, standing shoulder-to-shoulder with our federal, provincial, and territorial partners, pushing back against unfair tariffs. We'll reduce internal trade barriers, introduce legislative changes to enhance competitiveness, and open new domestic market opportunities. This strategic action ensures Island businesses can thrive—today and in the future.

To ensure all Island businesses remain competitive in the uncertainty we are facing, we are introducing one of the largest steps in Island history to help stabilize and grow our economy.

Mister Speaker, in fiscal year 2025-2026, we are introducing tax reforms that will save Island businesses $9.3 million to reinvest in their business, which will grow to $12.4 million by the end of 2026. This will include raising the threshold for small businesses by $100,000 from $500,000 to $600,000 and lowering the corporate income tax rate by 1 percent to 15 percent to remain competitive with our neighbouring jurisdictions. Prince Edward Island continues to lead the country with one of the lowest small business tax rates at just 1 percent.

These measures alone will help over 2,800 small to medium-sized businesses in our province, allowing businesses to reinvest in their companies, support their workforce, and continue to grow even during these difficult times.

We know that small businesses are not just economic drivers—they are local employers, community leaders, and innovators. They create jobs in every corner of the province and contribute to the fabric of our towns and cities.

As costs continue to rise, we want to be a partner for our business community. That’s why we’re taking steps to reduce the tax burden, support expansion, and ensure they have the tools and talent they need to thrive in a changing economy.

In collaboration with our Maritime counterparts and the Atlantic Canada Opportunities Agency, we will work to expand air access for the Charlottetown airport by restoring critical connections to hubs in the Maritimes to help support business travel and support our tourism industry.

Mister Speaker, securing our future also means tackling emerging threats like MSX—a pathogen that could devastate our oyster industry, a cornerstone of our economy. With our federal government and industry partners, we are investing over $600 thousand into the Genome Surveillance Projects Contribution Agreement, harnessing innovative environmental DNA technology to protect this vital sector.

We will also create a $3 million Aquaculture Contingency Fund, to support the oyster industry to respond and recover from threats like MSX. This fund will be used for programs that provide support for research, interest relief and product loss, as well as grants to ensure that services are available to support the industry and fishers cope with the impacts of these threats.

We also remain firmly committed to our agriculture sector through continued support. This year, we will invest $250 thousand in assisting our potato farmers who are still impacted by the trade disruptions unfairly brought upon them in 2021. Stability in agriculture is foundational to our province's economy.

Yet, Mister Speaker, our investments must look beyond the immediate—they must prepare us for the future.

We will invest $425 thousand in modernizing the Agriculture Insurance Corporation, giving Island farmers the dependable, responsive insurance coverage they need to manage risk and navigate evolving market demands. This modernization ensures that our agriculture sector remains strong, vibrant, and sustainable for years to come.

Additionally, our government is investing $50 thousand in core operational support for the PEI Young Farmers Association, nurturing the next generation of agriculture leaders through networking, education, and advocacy. These young farmers will drive innovation and sustain our proud agricultural traditions.

To further empower young Islanders, we’re allocating $50 thousand towards agriculture student bursaries for those attending programs outside of our province. This investment helps our youth access essential education, fuelling the future of Island agriculture.

Mister Speaker, Islanders deserve an economy that withstands today's challenges and seizes tomorrow's opportunities. Through targeted investments, strategic partnerships, and decisive actions, our government is dedicated to securing a prosperous future for all Islanders.

Securing our Workforce

Mister Speaker, a strong economy depends on a strong workforce. And our future—our prosperity, our growth, and our ability to meet the challenges ahead—depends on the people who make this province work. That’s why one of the most important steps we can take is securing our workforce.

Islanders are contributing more than ever to the success of our province. They are building, teaching, caring, growing, creating—and they are driving our economy forward. As we grow, we must make sure that every Islander has the opportunity to reach their full potential, to succeed in the workforce, and to build a good life here at home.

That’s why our government remains focused on people. On workers. On families. On future generations. We are creating new jobs, expanding training opportunities, and removing the barriers that stand in the way of full participation in our economy.

We are expanding access to upskilling and reskilling programs so that Islanders can transition into high-demand sectors like healthcare, childcare, biosciences, and construction. We will invest $1.5 million to give workers new opportunities to advance their careers, and we will target support to help new entrants build the skills and confidence they need to succeed.

And it’s working.

In 2024-25, we saw a 19% increase in apprenticeship training participants in construction-related trades. That tells us something important: Islanders are ready. Ready to learn. Ready to work. Ready to build our future. And we are here to support them every step of the way.

Mister Speaker, on this side of the house we are committed to making post-secondary education more accessible for all Island students. That’s why we will increase the George Coles Bursary to $3,500 to help Island students with the cost of education and encourage them to continue their studies at our world-class educational institutions right here on PEI. We also will increase the Marion L. Reid Bursary to $3,500 for healthcare students and expand it to include other in-demand occupations.

And because education alone isn’t enough—we’re also helping Islanders keep more of what they earn. This year, we will further increase the basic personal exemption to $14,650 and next year, it will rise again to $15,000. This accelerates our plan to cut personal taxes by a full year. At the same time, we will increase the thresholds for all five tax brackets by 1.8 percent, helping ensure that more income is taxed at a lower rate.

These are not just numbers on a page—they are real, meaningful changes that will have a direct impact on Island households. Collectively, these initiatives alone will save Islanders over $5.1 million this year alone and will grow to $9.5 million in 2026 to help the working class keep their hard-earned money in their pockets.

These changes are about fairness, about making life more affordable, and about recognizing the value of hard work across our province.

Based on the recommendations from the Minimum Wage Review, we will raise the minimum wage to $17. We know this increase comes with added costs for businesses—especially small businesses that are already managing rising expenses. But we believe that lifting wages is the right thing to do. It helps workers keep up with the cost of living and ensures that growth in our economy reaches those helping to build it. We will continue to work with employers to support their success while ensuring workers share in the opportunities they help create.

Because a strong economy must lift everyone up. It must create opportunities across every sector, support both workers and employers and make sure that progress reaches every corner of our province.

Securing our workforce means ensuring that Islanders have every opportunity to succeed. It means investing in training, education, child care, and wages. It means building an economy that works for workers, for employers, and for families.

Mister Speaker, we are investing in people. We are investing in opportunity. And we are investing in the workforce that will secure the future of this province—for this generation, and the next.

Securing our Healthcare System

Islanders expect a healthcare system that works—when they need it, where they need it. That is why this budget continues to invest in the future of care. We are improving access, reducing wait times, and modernizing how care is delivered. These are not small changes. They are the building blocks of a stronger, more secure healthcare system for all Islanders.

Investing in healthcare means more than expanding services - it means making sure those investments are working. Islanders expect a healthcare system that is accountable, efficient and focused on results. Our government will update Health PEI’s budget and position management frameworks to provide flexibility for healthcare operations to achieve its goals while ensuring accountability and appropriate use of public funds.

Access to healthcare remains one of the most urgent and deeply felt concerns in our province. Islanders want to know that when they need care, it will be there—and our government is taking action to make sure it is.

This budget takes real steps to strengthen our healthcare system—by enhancing primary care, supporting the people who deliver care, and training the next generation of professionals right here at home. We are reducing wait times, expanding mental health supports, and investing in solutions that will make a difference for Islanders, both today and in the years to come.

This year marks the start of a new era in Island healthcare. Our government is investing $16.8 million in the new UPEI Faculty of Medicine—a long-term commitment to training the next generation of physicians. The first cohort of 20 students will embark on their education at the UPEI medical school, right here on our own soil. From the outset, Island physicians have played a crucial role in making this dream a reality, offering their expertise as teachers, mentors, and supporters. To honour their contributions, we will allocate over $400 thousand for stipends to physician educators. When these students graduate—trained within our province, guided by our professionals, and prepared to serve our communities—it will mark a proud moment for their families, their communities, and all of Prince Edward Island.

While we train the next generation of doctors right here at home, we’re also creating faster, more effective ways to welcome internationally trained physicians into our system. A new Practice Ready Assessment Program will provide a clear path to licensure, helping qualified doctors transition into practice on PEI. A program director will be hired to lead this work, and once fully established, the program will certify up to 40 physicians each year. It’s a practical, focused solution to help grow our workforce, support our healthcare teams, and get more Islanders the care they need.

We set a new record last year—recruiting 41 physicians to our province.

This year we want to do even more. With our new Physician Services Agreement in place, Prince Edward Island is one of the most competitive provinces in the country for family physicians. The agreement recognizes family medicine as the specialty it is—and offers compensation among the highest in Canada. That means more doctors choosing PEI, more care in our communities, and better access for Islanders.

We also know that a stronger healthcare system depends on the people who keep it running—and that starts with nursing. If we want more nurses in our system, we need to create more pathways to train and support them right here at home.

That is why we are investing $818 thousand in a new LPN to BScN pathway at UPEI. This program will create 14 new seats every second year and offer more flexibility for working professionals who want to advance their careers while staying in the workforce.

We are also creating new opportunities for nursing students to gain real-world experience throughout their education. A $500 thousand investment in a new Bachelor of Nursing Student Employment Program will allow students to work year-round—not just during the summer—alongside experienced professionals during weekends, holidays, and academic breaks. These students will graduate with strong clinical skills and step directly into full-time roles through our New Graduate Incentive Program, with two years of guaranteed employment.

And we will continue to welcome nurses trained outside of Canada to our province. With an additional $650 thousand for the Transition to Registered Nursing in Canada and Registered Nursing Bridging Programs, we are working toward our goal of onboarding 200 internationally educated nurses—building on past recruitment efforts and preparing for those still to come. This brings our total annual investment in training of internationally educated nurses to $1.5 million.

Mister Speaker, we also continue to invest in emergency medical services. Earlier this year, Island EMS added two needed ambulances to its fleet, with two more purchased with plans to staff and deploy these units in the months ahead. These additions will help strengthen response capacity for our ground ambulance service across the province and improve response times.

Improving access to care has been a clear priority for our government—and since 2019, the primary care budget has more than doubled to support that work.

As we expand the Patient Medical Home model, we are reshaping how primary care works in this province—team-based, collaborative, and focused on patients. Nurse Practitioners are a key part of that team and here on Prince Edward Island, we lead the country in the number of nurse practitioners per capita. They practice independently, supported by the same resources as physicians, and care for smaller panels of patients with the same level of responsibility. Health PEI will work with the PEI Nurses' Union to recognize the importance of their work, and to ensure Nurse Practitioners continue to be supported in their roles, with resources that reflect the care they provide and the patients they serve.

We also know that strong healthcare teams rely on more than just doctors and nurses. Behind every clinic and every care provider are the people who help keep things running. This year, we will invest $293 thousand in a new accelerated Medical Administrative Support Program—a 29-week course that will train graduates to step into high-demand roles across the system,

including in Patient Medical Homes. With 24 seats available and flexible, Island-wide delivery, this program will help address staffing shortages and support the rollout of primary care services where they are needed most.

We know that for some Islanders, getting to care is a challenge of its own—especially when treatment is only available outside of the province. That is why our government has partnered with Hope Air to remove travel as a barrier to care. Over the past three years, we have invested $1.5 million to support medical transportation for Islanders. But, Mister Speaker, we know that challenges exist in accessing care within our province, too. And we are doing more to address them.

This year, we will launch a new medical transportation assistance program—starting with a $100 thousand investment to help Islanders travel to life-sustaining care within the province, ensuring Islanders who live in rural areas can access the services they depend on.

Islanders need MRIs—and too many are waiting too long to get the care they need. While we continue to expand diagnostic capacity here at home, we also need to act now. This budget includes up to $2.4 million in funding to purchase up to 2,600 diagnostic imaging and radiological appointments and provide support for travel—so that Islanders can access the care they need, when they need it. Because securing our healthcare system means more than building for tomorrow. It means taking action today.

We are also modernizing how care is delivered. When you are not feeling well, the last thing you want to do is leave home—especially for a concern that could be addressed quickly.

That is why we are investing an additional $4.8 million, for a total of $7.2 million, to expand virtual care for all Islanders. This funding will support a new model that serves the entire population, including those without a regular provider. Islanders will be able to access care through phone, video, or text —making it easier to get the help they need, in a way that works for them.
And when in-person care is needed, we are expanding teams and extending hours at Primary Care Access Clinics to better serve Islanders who are not yet connected to a primary care provider.

We are also taking steps to bring care directly to those who need it most. Health PEI will launch a new mobile dental care program, focused on reaching those who often face barriers to service. This includes residents in long-term and community care facilities, young children, and others who may struggle to access traditional dental care. By bringing care into communities, this program will help more Islanders get the treatment they need—quickly, conveniently, and close to home.

And, Mister Speaker, we are seeing what’s possible when we rethink how care is delivered.

Since opening in December, the Cataract Outpatient Clinic has doubled the number of surgeries being performed—nearly 1,500 and counting. Wait times are falling. Operating rooms are being freed up for more complex procedures. And Islanders are getting the care they need, faster.

Now, we are taking that same approach even further.

Too many Islanders are waiting too long for hip and knee replacements. We are beginning work to develop a new community-based surgical model that will deliver safe, high-quality procedures outside of hospitals—expanding capacity, reducing wait times, and helping more people get the care they need.

But we won’t stop at the surgery itself.

This new model will support Islanders before surgery—helping them manage pain, strengthen mobility, and improve their overall health. With the right support, some may be able to delay surgery—or avoid it altogether. And for those who do require surgery, we will be there after, with focused rehabilitation and follow-up care to help them recover more quickly, regain their independence, and return to their lives with confidence.

Because when we innovate with purpose—when we put patients first—better outcomes follow.

That same focus—making care easier to access—is what makes Pharmacy Plus so effective. Since launching, the program has helped more than 70 thousand Islanders get timely care for common ailments like pink eye, urinary tract infections, and cold sores - right in their own communities. These are visits that no longer need to take up space in emergency rooms or walk-in clinics. Islanders are getting fast, safe, and reliable care from trusted professionals at their local pharmacy.

Mister Speaker, Pharmacy Plus is working, and we are ready to do even more.

We are making an investment of $250 thousand to expand the program to allow pharmacists to test and treat for strep throat and order lab tests when needed. This is another way we are making care more accessible, easing pressure on other parts of the system, and helping Islanders get the care they need close to home.

This budget includes $7.9 million in net new funding to support better access to drugs— including enhancements to coverage of diabetes medication, contraception, and drugs for rare diseases.

Mental health and addictions services continue to grow and evolve. New community and staffing investments will improve access to substance use and addictions supports, including outpatient withdrawal management. Health PEI is also building multi-disciplinary teams—dietitians, nurse practitioners, nurses, and social workers—to deliver more comprehensive, client-centred care. These teams will strengthen services as we prepare for new Community Health Centres and the Mental Health and Addictions Campus.

Islanders deserve the right care, at the right time, in the right setting.

Specialized care saves lives—and we’re making it more accessible than ever.

Health PEI will permanently establish the interventional nephrology clinic and support the development of in-home hemodialysis programming—giving more Islanders the option to receive care at home and improving their overall quality of life.

We cannot talk about the future of healthcare without talking about seniors. As our population ages, we need to make sure the care is there— not just for today, but for the years ahead.

Island seniors have helped shape the province we call home. They have worked hard, raised families, and supported their communities. They deserve a long-term care system that supports them with comfort, dignity, and respect.

Mister Speaker, last year, we introduced the At Home Caregiver Benefit to support Islanders who are able to remain at home with help.

This year, we are expanding the program to include more Islanders receiving palliative and long-term maintenance care at home—extending support where it’s most needed and helping more people remain where they are most comfortable.

Building on this, this budget will make the Self-Managed Care Program permanent and increase the funding by $4 million. It gives Islanders more choice and flexibility on how their care is delivered, helping them stay at home longer or return home from the hospital sooner, with the supports they need in place.

We are also expanding home care to reach more Islanders, with extended hours, and faster access to services. Expanded evening and weekend availability will ensure timely assessments and will provide more support to those who need it the most.

At the same time, we continue to invest in long-term care across the province.

This budget includes funding to increase per-diem rates for private long-term care homes. This builds on the agreement negotiated last year and will help improve staff wages, support wage parity with government-run facilities, reduce turnover, and provide more consistent care for residents.

We are also adding more capacity.

A public tender has been issued to add up to 50 additional long-term care beds to the system—creating more options for seniors who need a higher level of support. These beds are in addition to 53 new long-term care beds across the province, delivered through partnerships with 12 private facilities.

These long-term care initiatives reflect investments in the lives of our seniors, totalling nearly $21 million—helping to improve access to care and relieve pressure on the system.

And we are looking ahead.

To help address demand, we will provide funding to build up to 175 new long-term care beds across the province over the next few years. These are the kinds of investments that plan ahead, relieving pressure on the healthcare system, expanding access to care, and helping ensure Island seniors can age with dignity, comfort, and the support they deserve.

Mister Speaker, supporting wellness means helping Islanders lead healthier lives—at every age and in every community. Through Live Well PEI, we are promoting healthier choices, funding local initiatives, and working to reduce the burden of chronic disease. Through $1.6 million in grant funding to community organizations, we are offering services like rural physiotherapy, vision rehabilitation, and after-stroke care.

And we are taking action to prevent illness before it starts. We will expand RSV vaccine coverage, offering universal protection for infants and extending eligibility for older adults to include all Islanders aged 75 and over, as well as those aged 50 and older living in long-term or community care. These are practical, preventative steps that help protect the most vulnerable and reduce pressure on our healthcare system.

Mister Speaker, when we look back on where we were just a year ago, the difference is clear.

The steps we have taken to stabilize healthcare are beginning to work. We see it in the students who recently received their acceptance letters to UPEI's Faculty of Medicine—future physicians who will train right here on Prince Edward Island. We see it in improved access to care, in shorter wait times, and the return of full-time internal medicine coverage at Prince County Hospital, allowing their ICU to formally reopen this summer. And we will see it when 10,000 Islanders are removed from the patient registry this year—having them connected to the primary care they need and deserve.

Mister Speaker, this is what securing the future of healthcare looks like. It is about training the next generation, supporting the people who deliver care, and building a system that works better for Islanders—wherever they live, and whenever they need it.

These investments will not solve every challenge overnight, but they will move us forward with focus, compassion, and the commitment Islanders deserve.

Securing our Infrastructure & Electrical Grid

Mister Speaker, strong infrastructure is the backbone of strong communities. It's the roads we travel on, the homes we live in, and the power that keeps our lights on and our economy running.

As Prince Edward Island continues to grow, so must our commitment to ensuring our infrastructure is strong enough, resilient enough, and forward-looking enough to meet the challenges of tomorrow.

Through the Canada Housing Infrastructure Fund, announced in the 2024 Federal Budget, our province will receive more than $86 million over ten years. As part of this initiative, the Province will be contributing funds over and above this amount towards these critical projects. These funds will directly support vital upgrades to water, wastewater, stormwater, and solid waste infrastructure—essential groundwork to facilitate new housing and sustain our communities.

Infrastructure is not just about building new—it’s also about taking care of what we already have. That’s why we’re providing targeted operational support, including $140 thousand annually for each of the CMHA buildings in Charlottetown and Alberton, and $75 thousand for the Boys & Girls Club in Summerside. These are practical investments that help ensure stability and reliable services for Islanders.

Mister Speaker, we recognize that secure housing is fundamental to community well-being. That’s why we are supporting new supportive housing developments in Charlottetown and Montague. These projects will offer Islanders more than just shelter— they provide stability, dignity, and the support that can change lives.

No Islander should face winter with uncertainty about heating their home. That's why we’re significantly increasing funding for the Home Heating Program administered by the Salvation Army—from $4.6 million to approximately $7.6 million annually. This direct action reinforces our commitment to affordability and support for Islanders when they need it most.

Right now, Islanders face growing financial pressures, and our government is stepping up. We’re investing $4 million to prevent steep increases in Island Waste Management Corporation rates, providing immediate relief to households and families.

We also understand that unnecessary delays can slow our province's growth. To address this, we are introducing two new full-time positions and adopting AI technology to reduce permit wait times and improve efficiency as we develop a comprehensive province-wide land use strategy. Islanders deserve responsive government, and we're committed to delivering timely results.
The world is different since we set our net-zero goals in the Net Zero Carbon Act in 2020 and our pathway to net zero in 2022; nevertheless, reducing emissions and increasing affordability are still priorities of this government.

We have installed over 12,000 free heat pumps in Island homes.

We have helped Islanders add 49 MW of solar generation through the solar rebate program.

Over 6,000 clients accessed energy efficiency rebates this fiscal year.

These programs have been popular and well-subscribed. I’m happy to stand today and say that we will continue to offer programs and services that support cleaner, more efficient energy use, such as the province’s free programs for heat pumps, hot water heaters and insulation, as well as the solar energy rebate program.

With our federal partners, this budget contains $32.7 million in funding to support over 2,000 Island households to switch from oil to electric heating as well as to make other energy efficiency improvements, including an additional investment of almost $3.8M for residential building envelope upgrades through the provincial Free Home Insulation Program.

This budget includes nearly $10 million in funding to provide over 75,000 Island households with a rebate on their electricity bills to help offset rising costs.

We will also be investing $100 thousand to support the work to review our electricity system and the creation of a position to represent taxpayers at all future rate hearings.

And we will continue offering our electric vehicle, e-bike and bicycle incentive programs to assist Islanders in adopting affordable transportation alternatives.

The province is investing $600,000 over two years to provide financial assistance to the Nature Conservancy of Canada for the purchase of a large parcel of land that includes mature, intact forest, as well as wetland, saltmarsh, and coastline.

Forested properties of this size are uncommon on PEI, and this acquisition represents a unique opportunity to protect significant habitats and contribute to PEI's protected areas target and climate change and net zero goals.

These investments are not just about bricks and mortar—they are about securing the foundation our province needs to grow, to thrive, and to meet the future with confidence.

Securing our Communities

Mister Speaker, Strong communities are the heart of a strong province.

They’re where we raise our children, build our businesses, and support one another through life’s challenges.

And as our province continues to grow, we need to make sure our communities have the tools they need to grow with it.

That’s why our government is launching a full review of the Municipal Government Act.

We’re engaging with municipalities—rural and urban, large and small—because we believe that local voices should help shape local decisions.

But we know that work will take time.

So, while that review is underway, we’re taking action.

We’re stepping up with an additional $5.5 million in funding over the next two years through a new interim agreement—giving municipalities the support they need now to keep serving Islanders. This investment, in addition to the natural growth in property values, will result in an estimated total of $9.5 million in additional funding over the next two years.

And we’re going further.

Because communities don’t just need operating dollars—they need capital to build.

So, we’re creating a Municipal Infrastructure Bank—to offer low-interest loans to help communities build or refurbish the infrastructure that matters most: Water and sewer systems, fire halls, community centres, and any place where Islanders come together.

We want our communities to be ready—not just for the challenges of today, but for the opportunities of tomorrow.

Affordable, reliable transit opens doors—for work, for school, for everyday life. That’s why we’re continuing to support programs that make it easier for Islanders to get where they need to go. We will continue to support Toonie Transit and maintain discounted monthly passes. This year, we’re increasing our investment to $860,000 to help keep transit affordable and accessible for more Islanders.

Now, Mister Speaker, when we talk about strong communities, we also have to talk about safe communities.

We all know the devastating impact that illegal drugs are having across our province. We’ve heard the stories. We’ve seen the consequences. And for too many Islanders, the pain is personal.

That’s why our government is investing over $800 thousand to launch a new Joint Enforcement Team—a dedicated unit of municipal and RCMP officers, supported by a specialized Crown Prosecutor.

This team will focus on disrupting mid-level drug trafficking and organized criminal networks that have begun to emerge in parts of our province.

We are determined to push back—through stronger enforcement, better coordination, and a clear message that this kind of criminal activity has no place in our province.

Islanders deserve to feel safe, and our government is committed to doing what it takes to make that happen.

Mister Speaker, we’re taking real steps to support those who protect and serve our communities every day.

Firefighters don’t hesitate to run toward danger—when the call comes, they answer.

They are often the first on the scene, the last to leave, and the ones we count on when every second matters. They face physical risk, emotional strain, and unpredictable challenges—day and night, year-round. We have a duty to stand behind them—just as they stand in front of danger for us. Their work reflects the best of who we are, and it’s up to us to ensure they are supported in every way possible.

This budget includes increased funding of $450 thousand to meet the needs of firefighters who have to access benefits from the Workers Compensation Board. Because when they put their safety on the line to protect ours, they deserve more than our thanks. They deserve protection, support, and peace of mind.

And we’re strengthening safety online, too. Because today, danger doesn’t only exist on our streets—it can be on our screens.

Mister Speaker, our government will continue advancing the Provincial Youth Cyberviolence Prevention Strategy—building awareness, offering education, and taking real action to protect our youth from online bullying and harassment.

We’ve seen the devastating effects of cyberviolence—cruel words spread in seconds, reputations destroyed overnight, and lives changed forever. For some young Islanders, the pain of what happens online doesn’t end when they log off. It follows them to school, into their homes, and into their mental health. These aren’t isolated incidents—they are tragedies with ripple effects we can’t afford to overlook. Our young people deserve better. They deserve to be safe, to be heard, and to be protected. And it’s our responsibility to make sure they are.

Strong communities are built on strong partnerships. Across the province, community organizations are delivering essential services, advocating for Islanders, and creating safer, more inclusive spaces.

To support their work, we are increasing core funding—investing $74 thousand in organizations that serve BIPOC and 2SLGBTQIA+ communities, including BIPOC USHR, the Black Cultural Society, Immigrant and Refugee Services Association PEI, Pride PEI, and others. These groups are providing direct support and helping to build a more welcoming province.

This new funding also includes investments to enhance our support for our Island Chambers of Commerce. Their work supporting Island businesses contributes directly to economic development and long-term growth.

We will invest $95 thousand to increase operational funding for the PEI Family Violence Prevention Centre and the PEI Rape and Sexual Assault Centre—organizations that offer critical services to Islanders in need.

Our government will also allocate just over $100 thousand to make the Gender-Based Violence Policy Coordinator a permanent position within government and expand the scope. This role will help coordinate efforts across departments, strengthen policies, and improve our response.

Supporting Islanders with disabilities means investing in the services that help them live full and meaningful lives.

This year, we are increasing funding by $2.1 million to strengthen day programming and residential services provided by non-governmental organizations across the province. These organizations are trusted partners in care, delivering essential support to hundreds of Islanders. This investment will help them meet growing demand, address staffing pressures, and continue to offer safe, supportive spaces where Islanders can thrive.

And through multi-year funding agreements with Indigenous partners, we will invest $2 million to support the development of the Abegweit Community Recreation Centre and provide $200 thousand in increased annual funding to the Native Council of PEI for the operation of the Winter Street Shelter. We are also providing a dedicated grant to the Mi’kmaq Confederacy of PEI to reinstate the Indigenous Justice Circle Coordinator—a role that plays a vital part in supporting culturally grounded justice.

Because securing our communities isn’t just about roads and buildings.

It’s about protecting the people who live there.

And it’s about making sure every Islander feels safe, supported, and proud to call their community home.

In this budget, for the first time, our government will establish core funding of $200 thousand for Island food banks to support those who are challenged by the cost of groceries. This investment is in addition to the $150 thousand in funding provided to support community fridges across the Island.

Securing our Future

Securing our future means making the right choices today to create opportunities for tomorrow. It means investing in Islanders at every stage of life—from early childhood through to education, employment, and beyond.

This year, we will invest to strengthen the foundation that Island families, students, and workers rely on—because our future depends on their success.

This budget invests an additional $3.3 million in funding to support the operations of over 400 new early-year spaces created over the past year.

And we will invest $1.8 million to support the transition or creation of up to 160 affordable childcare spaces. This will be achieved through the transition of existing private centres into the Early Years Centre system and the opening of brand-new centres, creating more affordable spaces and ensuring that educators are paid in line with the provincial wage grid.
We will also invest $120 thousand to create four new family home centres—adding up to 32 affordable child care spaces for Island families.

These investments aren’t just about numbers in a budget. They’re about giving families confidence, security, and peace of mind. When parents have access to reliable, affordable child care, they can pursue education, employment, and training—and that drives growth across our economy.

We will invest $453 thousand to increase wages for early childhood educators— a recognition of their essential role, and a step forward in recruiting and retaining the professionals who shape our children’s earliest years. And $1.7 million to expand the Early Years Special Needs Grant Program, allowing centres to hire more Special Needs Assistants.

To support working families with school-age children, we will invest $470 thousand in before and after-school care—helping centres stabilize programming and keep spaces open, even in the face of staffing challenges.

But securing our future means more than helping our youngest learners—it means supporting every Islander’s potential, in every corner of the province, in every walk of life, in every stage of growth.

We will invest $128 thousand to introduce a $200 Back to School benefit and a $200 Change in Season benefit for children in group homes, foster care, and those supported through the Grandparent and Alternate Care Program. Because no child should go without what they need to learn, to play, or to feel included.

We will invest in our schools— not just in buildings, but in the people who make them work. This budget includes $9.2 million in new funding to add over 128 full-time equivalent positions in our schools. We will give teachers more prep time. We will increase the number of front-line school staff. We will continue the Positive Behaviour Intervention Supports pilot and expand it to the CSLF. And we will invest $50 thousand in the Tutor Program to increase wages and improve recruitment— because when students are supported, their confidence grows, and so does their ability to succeed.

With support from our federal partners, our government will also be investing an additional $2.5 million in our School Food Program, for a total investment of over $7.5 million in this fiscal year. This will allow us to continue to provide healthy and affordable school lunch options, setting our children up for learning success.

These investments are about more than services. They are about people. They are about our neighbours. They are about our children. They are about our future. And they are about trust— trust that government will show up, stand up, and step in when Islanders need it most.

Because when we invest in Islanders—when we remove barriers, open doors, and support each other—we secure more than programs or policies.

We will secure our future.

Conclusion

This is a budget that continues the work we started—a budget that reflects our government’s commitment to securing our future, together.

It supports our economy, strengthens healthcare, builds opportunity for workers, invests in infrastructure, and supports our communities.

We are protecting what matters to Islanders today, while laying the groundwork for a stronger tomorrow.

That means backing Island businesses with the tools they need to grow and adapt.

It means supporting the workers who are building our future and the families who call this province home.

It means continuing to invest in services, people, and places that hold our communities together.

This is not about doing everything at once—it’s about taking clear, focused steps in the right direction. And each step we take brings us closer to the future Islanders deserve.

Mister Speaker, securing our future means making thoughtful choices, standing up for what matters, and staying committed to the work ahead.

That’s exactly what this budget does.

Thank you. Merci. Wela’lin.