Winnipeg, MB – The City of Winnipeg is on track to achieve its savings target identified in the 2025 budget.
Fiscal discipline totaling $51.8 million helped improve the projected year-end tax-supported operating budget deficit for the second consecutive quarter.
As of September 30, 2025, we forecasted a year-end deficit of $17.4 million — a $0.3 million improvement from the previous forecast.
This improvement comes despite two notable impacts:
- A one-time $7-million legal settlement to be paid by the City, approved by Council in October
- A $3.8-million reduction in anticipated revenue from the delayed 9-1-1 levy
The Financial Stabilization Reserve is projected to fully cover the remaining deficit, preserving an estimated reserve balance of $18 million heading into 2026.
“The impressive efforts of our staff in meeting all savings targets have contributed to this result and are helping us lay a foundation to improve the City’s overall financial situation,” said Councillor Jeff Browaty, Chairperson of the Standing Policy Committee on Finance and Economic Development. “I am pleased that we are able to report a slight decrease in the forecasted deficit, despite having two notable impacts to our bottom line.”
Several positive variances helped offset pressures:
- A $6.7 million surplus in Corporate Finance due to higher interest earned on short-term investments
- A $3.6 million surplus in Public Works due to lower-than-budgeted snow clearing and ice control costs so far this year
- A $0.8 million surplus in Assessment and Taxation due to salary savings
At the same time, some departments continue to experience higher costs or lower-than-expected revenues, including Planning, Property & Development, the Winnipeg Fire Paramedic Service, and Assets & Project Management.
The financial status and forecast report will be presented at the meeting of the Standing Policy Committee on Finance and Economic Development on December 10, 2025.