2025 Canadian Federal Budget

Knowledge hub

Budget 2025 marks a significant turning point for Canada, arriving after a long gap since Budget 2024 and as the first under Prime Minister Carney. It seeks to balance a forecasted fiscal deficit with targeted investments in infrastructure, manufacturing, defence, and housing, while introducing key tax changes—including immediate expensing for buildings used in manufacturing and processing (part of the newly-coined “productivity super deduction”) and significant updates to Canada’s transfer pricing rules. Budget 2025 also proposes amendments to the Competition Act’s greenwashing provisions, amendments to the Canada Labour Code and other legislation that will impact federally regulated employers, numerous legislative measures applicable to insurers and financial institutions and amendments to federal financial crimes and trade regimes, including economic sanctions laws.

Explore this hub for highlights, analysis, and insights from Budget Day, November 4, 2025.

Federal budget 2025: Updates for federally regulated employers

The federal government’s recently released Canada Strong Budget 2025 (Budget 2025) has proposed several measures with implications for federally regulated employers.

Canada | Publication | November 14, 2025

Budget 2025 and economic sanctions: Key updates

In its recent budget, the Government of Canada announced it intends to make significant changes to Canada’s financial crimes, trade, and competition regimes, including its economic sanctions laws.

Canada | Publication | November 13, 2025

Budget 2025 and financial institutions: Key measures and opportunities

This update aims to provide insight, albeit not exhaustive, on the many measures contained in Budget 2025 we believe are of interest to financial institutions doing business in Canada.

Canada | Publication | November 07, 2025

2025 budget proposes amending <em>Competition Act</em> greenwashing provisions

2025 budget proposes amending Competition Act greenwashing provisions

In its highly anticipated Budget 2025, the Canadian government has unexpectedly proposed amending the Competition Act (the Act) greenwashing provisions by:

Canada | Publication | November 07, 2025

Canada’s New Defence Policy

Budget 2025 offers a sizable top-up in defence spending of $81.8 billion over five years inclusive of the $9 billion top-up to get to the North Atlantic Treaty Organization (NATO) target of 2% of GDP (announced earlier this year).

Canada | Publication | November 06, 2025

2025 Canadian Federal Budget

As expected, Budget 2025 is focused on managing the forecasted fiscal deficit while also targeting investments in infrastructure, manufacturing, defence, and housing.

Canada | Publication | November 04, 2025