Finance Department says Ottawa posted $11.1B deficit for April-to-August period

OTTAWA — The federal government posted a deficit of $11.1 billion for the April-to-August period of its 2025-26 fiscal year.

In its monthly fiscal monitor report, the Finance Department says the result compared with a deficit of $9.8 billion for the same period a year earlier.

Revenue for the five-month period totalled $201.2 billion compared with $196.3 billion for the same stretch a year earlier, helped by higher corporate and personal income tax revenue and higher customs import duties, partially offset by lower GST revenues.

Program expenses, excluding net actuarial losses, amounted to $187.2 billion, up from $179.8 billion a year earlier, as spending on elderly benefits rose and EI benefit costs also increased, reflecting a higher unemployment rate. Major transfers to provinces, territories and municipalities also climbed.

Public debt charges for the period totalled $23 billion, down from $23.2 billion a year ago, while net actuarial losses amounted to $2.1 billion, down from $3.2 billion.

The figures come ahead of the federal budget next week.

This report by The Canadian Press was first published Oct. 31, 2025.

The Canadian Press