Title: Ottawa Moves Federal Budget Release to Fall

OTTAWA — Prime Minister Mark Carney’s Liberal government has announced a significant change in the timing of the federal budget. Starting this year, the budget will be presented in the fall instead of the traditional spring release. The first budget under this new schedule is set for November 4.

In a media release, the government stated that this shift aims to assist departments, businesses, and policymakers in better planning for upcoming fiscal years. It is also expected to help construction firms prepare for the spring building season.

As part of this new approach, the government will conduct future budget consultations during the summer months, similar to the process used this year. Additionally, the upcoming budget will feature a division between operating and capital spending. This change is part of the government’s commitment to balance operating deficits within three years.

Investments in infrastructure, housing, and certain non-physical assets, such as intellectual property, will be categorized as capital spending. This classification will also apply to any funding or transfers that promote such investments from the private sector, Indigenous communities, or other government levels.

The federal government will apply two criteria to determine if spending qualifies as capital: whether the funding is contingent on the recipient investing in capital formation and whether it encourages or enables capital investment in specific sectors or projects. Any spending that does not meet these criteria will be classified under the operating budget.

Operational spending will include day-to-day program expenses and transfers to Canadians and provinces that are not linked to capital investments. The Carney administration is framing this distinction as a new perspective on government finances, which will complement traditional accounting metrics that track revenues, debts, and deficits.

The government has noted that Canada’s business investment has stagnated since 2015, trailing behind significant growth in the United States. This trend has contributed to a less resilient Canadian economy, according to government assessments. The new focus on capital investment is intended to address this issue in the forthcoming budget.

Finance Minister François-Philippe Champagne is scheduled to address reporters before appearing at the House of Commons finance committee on Monday.

This report was first published on October 6, 2025.