New Brunswick budget could be ‘turning point’ for Holt government

The New Brunswick government is tabling the provincial budget on Tuesday.

Tuesday’s provincial budget in New Brunswick could prove to be a “turning point” for the Holt government, with advocacy organizations standing by with the expectation of cuts.

Finance Minister René Legacy will announce the province’s new fiscal budget at 1 p.m. in the Fredericton legislature.

The government launched its pre-budget consultations in late January under title “Difficult Decisions,” signalling cuts to come.

J.P. Lewis, a political scientist at the University of New Brunswick in Saint John, says the government’s promise of major changes could make the 2026-27 budget a significant moment in the Liberal’s four-year mandate.

“I think this will really be a turning point for the Holt government,” says Lewis. “I think, so far, the government has relatively been still in a bit of a political honeymoon. The premier is still quite popular, especially when compared to her colleagues across the country.

“This week, to me, is kind of a starting point for them dealing with some of the things they promised they would do in the 2024 campaign and maybe not fulfilling those promises and figuring out how to communicate why they fell short in certain areas.”At a health-care announcement on Friday, Premier Holt said all departments – including health – had been directed to get spending under control.

“Every department was asked to find opportunities to save, to do things differently, to have the things they’re going to stop doing, and that work is ongoing,” said Holt.

Last month it was confirmed the province’s deficit would hit $1.3 billion, the highest in New Brunswick history.

Member of Association Heritage New Brunswick plan to be in Fredericton to hear the budget in-person at the legislature on Tuesday. The association, which represents about 100 museums and historic properties in the province, has been running a public campaign warning of budget cuts for several weeks.

“I don’t think it’s a matter of if there are going to be cuts to Tourism, Heritage and Culture,” says association executive member Janet Clouston. “I think it’s a matter of what is being cut, how they shave the budget, and how it is going to affect our individual properties.”

The New Brunswick Federation of Labour says it’s preparing for an austerity budget.

“We just have a feeling that cuts are coming,” says Chis Watson, federation president. “We’re prepared to do whatever we need to do as an organization to support workers.”

In Nova Scotia, Tim Houston’s Progressive Conservative government walked back tens of millions in budget cuts and apologized to those impacted following a massive public outcry from February’s provincial budget.

“Because New Brunswickers watch Nova Scotia politics maybe closer than any other province in politics, and just with what’s going in Nova Scotia with the reversal of cuts, and the very strong reaction, it will be interesting to see if any of that plays out in New Brunswick as well,” says Lewis.

Holt has already attempted to quell pre-budget concerns, confirming that Fredericton’s St. Thomas University wouldn’t be merging with the University of New Brunswick. The idea was floated as a possible way to save money in a pre-budget document.

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