On December 16, 2025, Regional Council passed the final 2026 Plan and Budget at Regional Headquarters in Kitchener, solidifying spending priorities across all seven municipalities in Waterloo Region. The plan targets a property tax increase in the roughly 4.94%–5% range — 4.94% reflects the property tax impact for direct regional services (excluding police), while Council established a 5% overall levy guideline — adding roughly $96 to $142 to the average household’s annual bill, depending on assessment. The budget funds transit, public health, housing initiatives and emergency-services infrastructure.
The total tax levy for 2026 is about $887 million, an increase of roughly $55.5 million from 2025. Region staff and council pointed to departmental efficiencies and spending reviews — including about $12.5 million in savings for 2026 and roughly $41 million found over several years — as factors that helped limit the size of this year’s increase compared with 2025’s 9.48% hike. The budget is balanced through the property tax levy, modest user-fee adjustments (including transit fares) and the use of provincial and federal housing grants.
Major capital investments in the 2026 budget include expanding ION light rail operations, new paramedic stations and a proposed $173-million regional emergency services communications centre. A motion led by Kitchener Mayor Berry Vrbanovic to pause or return the police capital ask for rework was defeated at the Dec. 16 meeting (the Budget and Strategic Planning committee vote was 9–7), underscoring continuing debate between those prioritizing long-term infrastructure and those emphasizing near-term taxpayer affordability.
Regional Chair Karen Redman said the budget “provides critical services today and invests wisely for future growth,” and stressed the plan fits within the Region’s 2023–2027 Growing with Care strategic framework. Regional staff and Council have said they will review implementation timelines and service impacts early in 2026 to help ensure services keep pace with rapid population growth while managing costs for residents.
