Reacting to Ontario Budget, Tariff Measures & Regional Investment Update

Your Chamber shared relevant budget info in an eblast after the budget was released yet we want to make sure you have seen the Ontario Chamber of Commerce (OCC) response to the 2025 provincial budget, highlighting both optimism and concerns. While the OCC welcomes investments in infrastructure, health care, and skilled trades, it stresses the need for more targeted support for business competitiveness and economic growth. Key areas of focus include tax reform, inter provincial trade, and small business support.

🔗 Read the full statement from the OCC

Some key items we noted in the budget:

Tariff Relief: $5 billion fund to support businesses affected by U.S. tariffs.
Manufacturing Tax Credit: increases from 10% to 15% for eligible investments,
Workforce Development: additional $1 billion over three years for job training programs. This investment aims to train and reskill Ontario workers impacted by layoffs resulting from tariffs and to fill the expected gap of 500,000 workers needed to fill skiilled trades jobs.
Alcohol Market Support: The LCBO’s wholesale discount rate increases from 10% to 15% for bars, restaurants, and convenience outlets until the end of the year. If you’re a seller, you should have received notice about this by now.

As well, Associate Minister for Municipal Affairs and Housing Graydon Smith, our Parry Sound-Muskoka MPP, this week shared specific investments happening in our region. They include:

Restoring Muskoka’s access to the $110 million Northern Ontario Heritage Fund (as previously announced)
$900,000/year in operating funding for a new MRI machine
$50 million to the District of Muskoka & $14.6 million to the Town of Parry Sound for enhanced sewer and water infrastructure
$10.7 million for the Belvedere Heights Long-Term Care & Retirement Home expansion
4 new, fully funded beds for Hospice Muskoka
$90 million for the redevelopment of Fairvern Long-Term Care Home
Widening of Highway 69 from two to four lanes between Parry Sound and Sudbury—improving safety and supporting economic development in Northern Ontario.
Establishing new Northlander train stops in Gravenhurst, Bracebridge, Huntsville and South River, providing reliable, accessible transportation for northern communities and unlocking regional growth potential.

Smith also notes an additional $400 million in the Municipal Housing Infrastructure Program and Housing-Enabling Water Systems Fund—supporting municipalities across Ontario as they plan and prepare for future growth.

At the 10th annual OCC Advocacy Day on May 13, Minister Smith took time in Question Period to welcome the Muskoka Lakes and Bracebridge Chamber to Queen’s Park. We thank him for the acknowledgment. Both Chamber Executive Directors were on hand to meet with MPPs to advocate for regional business needs.