Mayor says city council showed ‘courage’ in 2025 No regret about large tax and fee hikes; mum about platform for fall election By: Joyanne Pursaga Posted: 5:32 PM CST Friday, Dec. 19, 2025 Last Modified: 7:13 PM CST Friday, Dec. 19, 2025 Updates

In a year when Winnipeggers paid hefty tax and fee hikes for city services, Mayor Scott Gillingham says he’s glad city council had the political “courage” to raise property taxes.

City council approved a 5.95 per cent property tax increase in January, it’s largest single-year hike since the 1990s, which cost the owner of a sample single-family home an additional $121.

On April 1, two other major fee increases took effect. The annual per-home garbage fee rose to $254 (prorated to $190.50), from $93 the previous year, and the typical home’s sewer rate rose by $168.03 for the remainder of 2025.

The sudden surge in three key city charges triggered complaints, including concern some low-income residents wouldn’t be able to afford it.

During a wide-ranging year-end interview on Friday, the mayor said he remains convinced more revenue was needed.

“We made the difficult decision, as council, to increase property taxes, because we know we can’t kick the can down the road on the need for infrastructure that has to be invested in.”

“We made the difficult decision, as council, to increase property taxes, because we know we can’t kick the can down the road on the need for infrastructure that has to be invested in, the need to increase the delivery of services to residents. To do all of that requires that we pay for these services and these infrastructure investments, and council’s had the courage to begin to raise some of the revenue required,” said Gillingham.

The mayor stressed the city remains affordable, with overall municipal property taxes amounting to less than what is charged in many other Canadian cities.

City council approved a 2026 budget with a notably lower 3.5 per cent property tax increase on Wednesday.

On Friday, Gillingham declined to offer any hints about the taxes and fees he will campaign on leading up to the Oct. 28, 2026 municipal election, deeming it “too soon” to determine.

The mayor also stood by the city’s primary transit network, which was met with an onslaught of complaints from many riders, some of whom reported buying vehicles to avoid extra transfers and longer commute times. The switch to a spine-and-feeder concept overhauled nearly every transit route on June 29.

“I believe we made the right decision to go to the new transit network. But we knew all along, once we made the switch, we would have to make adjustments and address any problems that arise,” said Gillingham.

“I’m working hard with the province and the federal government as well, to get their funding secured… When that funding announcement happens, it will be the largest funding announcement in Winnipeg’s history.”

The 2026 city budget adds a new transit planner position, tasked with expediting key changes to the system. The new network includes direct spines along major corridors that are supported by feeder routes.

Winnipeg Transit recently noted its fare revenues fell $8.5 million short this year from what the service predicted in the 2025 budget, noting the network change as one likely reason for the ridership decline.

“You know, the new system has not rolled out the way I hoped it would, ultimately. We’re making more adjustments sooner than I had hoped, but we’re going to make the adjustments. My commitment is we’re going to fix, adjust the system to enhance it,” said Gillingham.

Looking forward to the incoming year, the mayor said his top priority will be ensuring the city secures provincial and federal funding to complete the massive upgrade to the North End sewage treatment plant on Main Street.

“Getting funding for the third (and final) phase is my priority right now… I’m working hard with the province and the federal government as well, to get their funding secured. I believe there’ll be an announcement sometime. That’s my goal to get us to that point. When that funding announcement happens, it will be the largest funding announcement in Winnipeg’s history,” said Gillingham.

The city has warned water and sewer rates could soar if it doesn’t secure $994 million in combined funding from the two senior governments to get the final $1.5-billion third phase of work completed.

The city will take on $547 million of long-term debt to fund its share of that work, while the overall upgrade is expected to cost $3.092 billion.

The upgrade is expected to greatly reduce the amount of pollution that flows out of the sewage plant and ensure the city doesn’t run out of capacity to treat sewage, which would thwart new development.

“(Finishing the upgrade) unlocks… our economy in the future, unlocks housing in the future. It is critical to the city’s future,” said Gillingham.

The mayor said advancing a fourth emergency service to handle mental-health calls is his second most pressing priority for next year. That effort aims to alleviate pressure from well-being calls on front-line police, fire and ambulance staff.

joyanne.pursaga@freepress.mb.ca

X: @joyanne_pursaga