Written by Gwen Black, Policy and Government Relations Manager.
This year’s federal budget was a proving ground to see whether the federal government is really listening to Canada’s business community.
Each year, The Winnipeg Chamber creates a “pre-budget submission” – a list of investment recommendations to Ottawa, based on the challenges and opportunities our members share with us throughout the year.
We knew this year’s budget would be critical for Winnipeg’s entrepreneurs and business leaders. 2025 was full of economic uncertainty, inflation pressure, and rising costs. Our members told us they’re looking for a plan that supports them through the current moment while also laying the foundation for a stronger, more competitive Canadian economy.
So, we wrote a plan containing seven recommendations based on your priorities designed to improve workforce development, attract investment, and strengthen our community.
The day we were waiting for finally came yesterday, when Minister Champagne announced the federal budget for the upcoming year.
Here’s how Budget 2025 meets our recommendations:
1. Keep Canada Competitive with AI Investments – Met
- $925.6 million over five years to support large-scale AI infrastructure.
- Coupled with the work our Chamber is doing in partnership with the Province of Manitoba and the Manitoba Chambers of Commerce on an AI program to assist SMEs, we are creating the conditions to keep our economy productive and competitive.
2. Streamline Immigration Pathways for Skilled Workers – Partially Met
- $97 million over five years for a new Foreign Credential Recognition Action Fund to work with provinces and territories to improve fairness, transparency, and timelines.
- On immigration, this budget missed the mark: Drastic cuts to temporary foreign residents will deeply impact many industries already facing labour shortages. Canada needs an approach that reflects the realities of all provinces, not just a few large cities.
3. Build Capacity Through Enhanced Trade Infrastructure – Met
- $5 billion over seven years for a Trade Diversification Corridors Fund to improve access to global markets through investing in ports, air, and rail.
- $1 billion over four years for an Arctic Infrastructure Fund to invest in ports, airports, and all-season roads.
- With a second tranche of projects expected before the Grey Cup, we are pleased to see positive signals in this budget for the Port of Churchill.
4. Support Businesses Through Ongoing Economic Challenges – Met
- $5 billion for a Strategic Response Fund to help tariff-impacted firms adapt, diversify, and pursue new markets.
5. Strengthen the Growth of Urban Centres — Met
- $51 billion over 10 years for the Build Communities Strong Fund, under which funding will flow to provincial and territorial governments and then to municipalities for housing-enabling infrastructure, which includes roads, water, and wastewater systems.
6. Outline a Plan to Reduce the Deficit — Partially Met.
- Budget 2025 commits to balancing day-to-day operating spending with revenues by 2028-29 and a declining deficit-to-GDP ratio. While this shows progress toward fiscal discipline, a $78.3 billion deficit will increase debt-servicing costs.
7. Conduct a Comprehensive Review of the Federal Tax Regime – Partially Met
- Budget 2025 introduces a Productivity Super-Deduction, allowing businesses to write off a larger share of new capital investments up front. While there are still further tax competitiveness issues to consider, the focus on attracting investment is welcome.
“This is a budget that meets the moment; addressing tariffs, supercharging productivity, investing in digital and trade infrastructure all add up to wins for Manitoba and our entrepreneurs and investors, while laying a strong foundation for our economic future.” – Loren Remillard, President and CEO, The Winnipeg Chamber of Commerce
What’s Next and How You Can Take Action For Your Business
Budget 2025 also proposes $81.8 billion to rebuild, rearm, and modernize the Canadian Armed Forces. This funding aligns with Canada’s recent NATO pledge to invest 5% of annual GDP by 2035.
From research and development to logistics and procurement, these investments create opportunities for Manitoba businesses across a number of sectors. The federal government has sent signals they’re interested in partnering with local businesses on manufacturing, construction, logistics, tech, and professional services.
We’ll be working to ensure local firms can access and benefit from upcoming contracts. Join us at our March VIP Luncheon with General Jennie Carignan to learn more.
With the federal budget now released, The Chamber is focused on turning commitments into accessible results for our members. Our next step is working with government partners to ensure small and mid-sized businesses in Manitoba can access the new programs, tax incentives and infrastructure investment outlined in the budget.
We want to know how this budget affects your business. Email your questions, comments, or concerns to me, your Policy and Government Relations Manager Gwen Black.
