New Brunswick Budget Leaves Critical Growth Gap Unaddressed

For Immediate Release

March 19, 2026

New Brunswick Budget Leaves Critical Growth Gap Unaddressed

The Saint John Region Chamber of Commerce recognizes the Government of New Brunswick’s 2026–2027 budget and the significant investments it makes in healthcare, housing, education, and infrastructure. These are critical areas that reflect pressures facing our communities, workforce, and businesses.

However, this budget also highlights a broader challenge that must be addressed.

With a projected deficit of approximately $1.39 billion this fiscal year, and total spending of roughly $15.6 billion against $14.2 billion in revenues, New Brunswick continues to rely heavily on borrowing to fund operations. Over the next several years, this is expected to add nearly $6 billion to the provincial debt, bringing it close to $20 billion. This is not a short-term issue. It is a structural fiscal challenge.

Economists, including Richard Saillant, have already warned that sustained deficit spending at this level could put pressure on the province’s credit rating and increase the share of government revenues dedicated to servicing debt rather than investing in growth.

“New Brunswick cannot spend its way out of this. We need to see a clear, coordinated plan to grow the economy in a way that strengthens revenues over time. Without that, we risk falling further behind while debt continues to rise,”
— Shannon Merrifield, CEO, Saint John Region Chamber of Commerce

While necessary investments are being made, the Chamber is concerned that the budget does not outline a clear and coordinated strategy for economic growth that will sustainably increase provincial revenues over time.

There are meaningful investments worth noting. The budget includes an additional $710 million in healthcare funding, approximately $78 million in housing investments, and more than $240 million directed toward the education system. These are important commitments that respond to real needs across the province.

The Chamber also recognizes targeted economic development measures, including an additional $1 million to leverage federal funding to support small- and mid-sized companies in diversifying and accessing new markets, as well as $21 million to continue ONB’s Competitiveness and Growth Program for major export-oriented companies.

While these investments are positive, they remain incremental. They do not yet represent the scale or coordination required to drive sustained economic growth across the province.

The Chamber supports the government’s commitment to reducing the size of the civil service by 12 percent over three years. We also recognize measures such as implementing tolls at Aulac for non-New Brunswick vehicles as reasonable steps toward increasing revenue.

Our region is home to strategic trade infrastructure, expanding industrial capacity, and emerging opportunities in energy and data sectors. These are not conceptual opportunities as they are actively unfolding in real time and represent a clear pathway to long-term economic strength for the province. Realizing this potential, however, requires alignment.

Immigration and workforce remain critical components of this equation. Without an Atlantic-specific approach that reflects regional labour market realities, growth will be constrained. Similarly, housing investments must be closely aligned with areas of economic opportunity to ensure they support both community needs and workforce expansion.

The Chamber also emphasizes the importance of fiscal discipline.

“There is real value in acting now. Delaying tough fiscal decisions will only make them more difficult and more disruptive later. Taking a measured approach today—even when it comes with political pressure—will help protect long-term growth and stability,”
— Shannon Merrifield

The Saint John region plays a critical role in New Brunswick’s economy as a hub for trade, energy, and industry. Ensuring that this region—and others like it—can continue to grow and compete must be a central focus of the province’s economic strategy.

For more information:

Shannon Merrifield

Chief Executive Officer

Saint John Region Chamber of Commerce

Ph: 506-271-4744

Email: smerrifield@thechambersj.com