Saskatchewan missed its budget target last year by nearly $1 billion, as the province went from a modest projected surplus to a substantial deficit.
The Saskatchewan Party government reported a deficit of $947 million for 2025-26, a difference of $959 million from the $12-million surplus forecast in the budget tabled last year.
Finance Minister Jim Reiter said in a news release the province has seen a “small” revenue increase from high oil prices, but those was offset by higher than expected spending in health care and correctional facilities.
Crop insurance payouts were lower than expected due to better yields, but that was offset by the cost of fighting wildfires and evacuating communities.
Revenue increased by $77 million from the projection. Spending rose to $22 billion, up $1 billion over budget.
The province’s debt increased by $1.5 billion to $17.2 billion.
The deficit marks the highest since the province recorded a $1.47-billion shortfall in 2022. It’s a significant increase from the $249-million deficit in the 2024-25 budget.
NDP Opposition finance critic Trent Wotherspoon decried the “bogus budget” in a news release, saying the size of the missed forecast shows the government cannot be trusted with the province’s finances.
The 2026-27 provincial budget tabled this spring forecast a deficit of $819.4 million.
