Chambers raise alarms over deficit, missing growth plan in N.B. budget

New Brunswick chambers of commerce are raising concerns about the lack of long-term economic strategy in the province’s latest budget.

The government presented the 2026–2027 provincial budget on Tuesday, revealing a deficit of nearly $1.4 billion. This is the second year in a row the budget has projected a shortfall of more than $1 billion.

Before the budget was tabled, Premier Susan Holt had warned of “difficult decisions.”

The government made cuts primarily to the civil service, promising to eliminate 1,400 positions over the next three years, phase out the provincially run veterinary field service, and review underutilized assets.

At the same time, the government announced major investments in health care, with plans to spend $4.8 billion.

However, some chambers of commerce in the province say the budget lacks long‑term economic measures to address the deficit and growing debt.

Related: New Brunswick government project $1.39B budget deficit

Shannon Merrifield, CEO of the Saint John Region Chamber of Commerce, said that with a significant deficit and rising debt, the government needs a clear strategy to drive revenue growth.

“We haven’t seen a clear strategy where we recognize that we need to invest to grow, but spending alone isn’t the strategy,” she said.

Merrifield said that for Saint John, she would have liked to see more investment in infrastructure and immigration, arguing that filling workforce gaps and setting out a clearer infrastructure plan could help the city become “a corridor” to the rest of Canada.

She added that even though the budget makes important investments, the chamber is concerned about the timeline of the cuts.

“It’s something that needs to be addressed now and not four years down the road,” she said.

Like Merrifield, Kim Wilson, CEO of the Chamber of Commerce for Greater Moncton, said her chamber is concerned about the level of spending and the lack of cuts.

“We feel it is unsustainable for New Brunswick to continue to add to the net debt over the mandate of this government,” she said.

Wilson said the chamber is “disappointed” by the lack of focus on an economic strategy. She agreed that investments in health care and education are essential, but said the government also needs to build an economy capable of generating wealth and tax revenue to fund the services it is investing in.

Wilson said she would have liked to see population‑growth strategies — such as immigration — and property tax reforms to support businesses in southeast New Brunswick.

With an aging population and Moncton’s rapid growth, she said securing the future workforce and supporting business investment are key to the province’s economic development.

“Investments in the private sector are imperative,” Wilson said. “Investments in businesses mean you create more tax base for the province, for the communities in which we operate.”

“Investing in businesses is investing in the communities and in their growth.”

The 2026–2027 budget includes measures the government says can generate revenue, such as the introduction of tolls on non‑New Brunswick vehicles, investments to reduce contraband tobacco, and measures to crack down on illegal lobster sales.

According to the budget, the province expects to receive $10.4 million in annual revenue from the tolls, a $3‑million increase in annual revenue from a reduction in contraband tobacco purchases, and $5 million to $8 million in previously uncollected tax revenue from unreported lobster sales.

However, with the province yet to release its economic development strategy, Wilson said many questions remain for businesses.