British Columbia raises its projected deficit to C$13.8 billion

British Columbia forecasts a C$13.8 billion deficit for 2026–27, C$450 million above February’s budget. These are forecasts, not final results. [2]

Why the deficit is growing

Expected revenue reaches C$86.3 billion, up C$789 million. Spending rises by about C$1.2 billion, including an additional C$614 million for wildfires and C$458 million for refundable tax credits. Improving revenue can therefore coexist with a worsening balance. [1]

The Canadian Press highlights corrected calculation errors in gas forecasts. Of a C$531 million reduction in expected royalties, C$306 million comes from that correction. It therefore does not explain the deficit on its own. [2]

A weaker economic backdrop

CityNews Vancouver reports a 2026 economic-growth forecast of 0.9%, down from the budget’s 1.3%. Weaker growth complicates fiscal recovery: public-finance projections depend on economic activity as well as spending choices. [3]

The Greater Vancouver Board of Trade calls for spending discipline and growth measures without new business taxes. That response reflects a business association’s priorities. It identifies a criticism of the budget without constituting an independent audit of every accounting item. [4]

The next reports will show how assumptions and spending evolve. A deficit is an annual gap between revenue and expenses; it is not the total debt. Keeping the distinction clear avoids treating indicators that answer different questions as interchangeable. [3]