HAMILTON, ON – On February 12, Hamilton City Council considered the 2025 Tax Budget. The 2025 Tax Budget reflects a balanced approach to maintaining affordability while investing in the services and infrastructure Hamiltonians rely on most.
Mayor Andrea Horwath has issued a Mayoral Decision indicating she will not exercise her veto and has shortened the 10-day period for the Mayor to veto any amendments. As a result, the 2025 Tax Budget is now deemed adopted.
“This budget is grounded in the principles of building back better and stronger, with a focus on responsible decision-making to address our city’s most pressing challenges,” said Mayor Andrea Horwath. “It strikes a necessary balance – recognizing the affordability pressures residents face while tackling long-overdue investments in roads, transit, housing and information technology. Hamilton is a growing city on the move, and this budget reflects Council’s commitment to a thriving, prosperous future. We’re prioritizing investments that directly benefit residents, ensuring essential services remain strong while laying a stronger foundation for generations to come.”
To address inflation and rising service demands, the City’s 2025 Tax Budget takes a balanced approach to managing costs while maintaining and enhancing services for residents. In addition to prioritizing spending and making investments in key initiatives, this year’s budget strategically uses reserves to help offset costs for homeowners. Additionally, the City continues to advocate for increased funding form senior levels of government, particularly in critical areas such as housing, homelessness, and infrastructure.
Key 2025 Budget Highlights
The City of Hamilton’s budget makes the following critical investments:
Housing and Homelessness
- The 2025 Tax Budget includes a total investment of $192 million in housing and homelessness programs. These investments will increase access to affordable and social housing, shelters and encampment supports, and much needed tenant support programs to keep people housed.
- Expanding the emergency shelter system by 272 beds (an 80% increase).
- $4 million investment in the Affordable Housing Fund to create 450 new affordable housing units.
- $4.2 million investment in Supportive Housing to create 435 supportive housing units.
- Eliminating Development Charges for not-for-profit housing to provide new affordable and attainable housing units.
Infrastructure and Transit Enhancements
- A historic $655 million investment in infrastructure and transit enhancements to support Hamilton’s growth and development.
- $190 million investment dedicated to the Transportation Network (roads, bridges, traffic, active transportation).
- $75 million investment for the Transit and Maintenance Storage Facility.
- $14.1 million investment in 15 additional HSR buses to deliver 53,000 more hours of transit service and support multi-modal transportation goals.
- 18 new buses to modernize the transit fleet and support multi-modal transportation goals.
- $3.3 million to expand the urban tree canopy, adding 20,000 new trees in 2025 to support the city’s climate action goals and a greener, healthier Hamilton.
Public Safety, and Emergency and Community Services
- $62 million to construct a new Paramedic Central Reporting Station to provide high-quality care across the city.
- $22.6 million for a new Fire and Police Station in Waterdown to support public safety.
- $31.7 million investment to expand Macassa Lodge, adding 20 new Long-term Care beds and redeveloping 44 existing ones.
- Increased staffing hours at the City’s two lodges to enhance resident care.
- 265 new childcare space through the Canada-Wide Early Learning and Child Care Plan.
- Providing 1:1 support for an additional 180 children and youth with special needs (bringing the total to 433), allowing participation at no additional cost.
Cybersecurity and Resiliency
- Investing in cybersecurity resilience to protect against future threats and modernize City systems.
- As the City builds back better following last year’s cybersecurity incident, the City is focused not just on strengthening its systems but also on finding efficiencies and solutions that enhance services and improve the customer experience.
“City staff have worked diligently to prioritize investments that deliver service excellence, enhance infrastructure, and strengthen community safety and well-being,” said Marnie Cluckie, City Manager. “Despite economic pressures, we remain committed to responsible financial stewardship and ensuring value for Hamiltonians.”
The adopted residential tax increase for 2025 is 5.6%. As an average homeowner with a property valued at $386,600 will see an increase of $285.
With the adoption of the 2025 Municipal Budget, Hamilton is poised to build a stronger, more stable future for all residents.
For more information about the 2025 budget process and key investments, visitwww.hamilton.ca/Budget2025.