Halifax to keep property tax rate flat, bills going up about 4.7%

Halifax homeowners can expect a moderate increase in their property tax bills this year. After extensive deliberation, Halifax regional councillors have finalized the budget for the upcoming fiscal year, resulting in a 4.7 per cent increase in property taxes. This increase is significantly lower than the initially proposed 7.6 per cent hike.

Despite the rise in property assessments, the tax rate will remain unchanged at $0.770 per $100 of assessment. This decision was made in response to the challenging economic climate and the need to prioritize financial sustainability. Mayor Andy Fillmore emphasized the importance of making changes to ensure the city’s financial well-being amidst uncertainties faced by households and businesses.

The average single-family residential tax bill, based on a home assessment of $338,500, will see an increase of approximately 4.7 per cent. This translates to an additional $117 on the average residential bill, bringing the total to $2,606 for the year.

The approved budget for the 2025-26 fiscal year includes a $1.3-billion operating budget and $318.8 million in capital spending. Council made several cuts and utilized reserve accounts to lower the proposed tax increase. Mayor Fillmore played a significant role in suggesting reductions to avoid raising the tax rate, aligning with his campaign promise from the previous year.

Public feedback during the budget consultation highlighted concerns about rising costs, with some residents expressing fear about their ability to afford further tax increases. In response, council approved additional expenses to enhance essential services, such as funding for new RCMP officers, firefighters, transit improvements, and a civilian crisis team for mental health calls.

Noteworthy additions to the budget include a community mediation pilot program and the allocation of funds for after-hours support for homeless individuals and preventive cancer screening for firefighters. These initiatives aim to improve community welfare and address pressing issues effectively.

Council also approved the use of funds from the Central Library’s reserve for upgrades, despite concerns about the sustainability of this approach. Mayor Fillmore plans to explore potential savings through a comprehensive review of city services, with the goal of maintaining low tax rates in the future.

The final budget, including adjustments to commercial tax rates, will be passed in April. The collaborative efforts of Halifax regional councillors in balancing financial responsibilities and community needs reflect a commitment to fiscal prudence and social welfare in the municipality.