Story perspectives

BC 2026/27 deficit projected at $13.8 billion

By Drooid · Sep 16, 2026, 6:09 AM UTC · How we work

Summary

Story summary

Finance Minister Josie Osborne announced British Columbia’s 2026/27 deficit will total $13.8 billion.
The deficit is $450 million higher than the February budget estimate.
A $306 million gap stems from a calculation error in natural-gas royalty forecasts.
Wildfire-fighting costs are projected to rise $614 million.
Income tax revenue exceeded expectations by $887 million, largely offsetting other revenue shortfalls.

History

Historical Context

In 2009 the BC Liberal government under Premier Gordon Campbell announced a record $2.8 billion deficit as natural-resource royalties fell during the recession. The shortfall sparked the controversial HST shift and Campbell’s resignation, reshaping provincial politics. Finance Minister Josie Osborne now warns the 2026/27 budget could again balloon, prompting Premier David Eby and city leaders to pursue tax reforms and create a reserve fund.

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Story summary

Finance Minister Josie Osborne announced British Columbia’s 2026/27 deficit will total $13.8 billion.
The deficit is $450 million higher than the February budget estimate.
A $306 million gap stems from a calculation error in natural-gas royalty forecasts.
Wildfire-fighting costs are projected to rise $614 million.
Income tax revenue exceeded expectations by $887 million, largely offsetting other revenue shortfalls.

1 / 2