New tax bracket among features of Alberta’s 2024 Budget

Budget 2024: A responsible plan for a growing province

Budget 2024 is a responsible plan to strengthen health care and education, build safe communities and manage resources wisely to support a growing Alberta.

With a steady focus on fiscal responsibility and wise spending, Alberta’s government will continue to meet the needs of Albertans today and tomorrow. Budget 2024 presents three more years of balanced budgets, beginning with a forecast surplus of $367 million in 2024-25. Budget 2024 strengthens the vital services Albertans rely on and ensures those services remain sustainable over the long run.

“Alberta is growing. Budget 2024 is a plan that manages the pressures faced by a growing province today while securing the future for generations who follow. I’m proud of the choices we made in this budget that support Albertans’ top priorities and prepare our province to meet the challenges that lie ahead. Budget 2024 invests today and saves for tomorrow so we can continue to be the nation’s economic engine.”

Nate Horner, President of Treasury Board and Minister of Finance

Budget 2024 is a responsible plan that puts Albertans and Alberta families first by investing in their health, education, safety, and economic growth and success. Priority investments include:

Health and mental health supports: $26.2 billion in operating dollars, a 4.4 per cent increase over the forecast for 2023-24.
Education supports: $9.3 billion in operating expenses, a 4.4 per cent increase from last year, to support record enrolment growth, hire hundreds more education staff including teachers and educational assistants, and support students with specialized needs.
Social supports: $2.9 billion in 2024-25 to Albertans through the Assured Income for the Severely Handicapped program, the Alberta Seniors Benefit and other social support programs, plus $355 million for Alberta Child and Family Benefit payments to help low-income families, indexing payments to inflation and providing for more eligible clients.
Workforce supports: An increase of $102 million over three years to add 3,200 apprenticeship classroom seats in high-demand areas and support curriculum updates to the apprenticeship program, as well as $62.4 million over three years to expand physician education, including through rural health training centres.
Public safety supports: $1.2 billion in 2024-25 operating expense for Public Safety and Emergency Services to support police and mental health crisis teams, deploy street-level police officers to tackle crime in Calgary and Edmonton, and provide $74 million to the Alberta Emergency Management Agency.
Wildfire supports: $151 million operating expense over the next three years for enhancements to the Wildfire Management Program and $55 million in capital investment for new firefighting equipment and facilities.
- The fiscal framework provides the flexibility the government needs to respond quickly to disasters and emergencies as they arise, including a $2-billion contingency.
Water management and drought preparedness supports: $1.3 billion in capital funding over the next three years, including $251 million to better prepare the province for floods and droughts; $272 million for irrigation projects; and $539 million to support municipal water supply and wastewater infrastructure.
- Budget 2024 also provides additional operating support of $19 million over three years for the Strategy to Increase Water Availability and $9 million for water management initiatives.
Capital supports: In total, $25 billion over three years in capital funding to build schools, hospitals, roads and other infrastructure, supporting 24,000 direct jobs and 13,000 indirect jobs across the province.

Alberta is well-positioned to remain the economic engine of Canada, with real gross domestic product forecast to grow 2.9 per cent in 2024, but the province continues to face challenges. While Alberta’s growing population is supporting economic activity and helping to ease labour shortages, it is also increasing demand for housing, health care, education and other public services. Ongoing geopolitical turmoil, uncertainty from federal government policies and high consumer prices risk dampening growth. Budget 2024 prepares Alberta to face those headwinds, with its responsible plan that invests in Albertans today and builds prosperity for tomorrow.

The fiscal framework introduced in spring 2023 requires the government to use at least half of any available surplus cash to pay down debt, freeing up more money to support Albertans. Taxpayer-supported debt will be reduced by a forecast $3.2 billion in the 2023-24 fiscal year. With the government’s commitment to paying down debt, the total taxpayer-supported debt will be $78.4 billion at the end of 2024-25.

High interest rates and the need to refinance maturing debt are driving up debt-servicing costs (the interest payments and fees on the debt) paid by taxpayers. As a result, debt-servicing costs are growing by $229 million in 2024-25 to $3.4 billion. While high interest rates on refinanced maturing debt are driving up those costs in the short term, the government’s strategic debt repayment plan will save Albertans millions in the long term.

The province is retaining more than $1 billion in investment earnings from 2023-24 in the Alberta Heritage Savings Trust Fund. Alberta’s government will also deposit another $2 billion from the Alberta Fund, increasing the value of the Heritage Savings Trust Fund to a forecast $25 billion. This is a significant investment in the future of Albertans and the province’s main long-term savings fund

Revenue

In 2024-25, total revenue is estimated to be $73.5 billion, which is $2.1 billion lower than the third-quarter forecast for 2023-24.
Revenue from personal income taxes is estimated to increase to $15.6 billion in 2024-25, up $365 million from the third-quarter forecast, and grow in the following two years as more people continue to move to Alberta.
Corporate income tax revenue is estimated at $7 billion in 2024-25, down $176 million from the third-quarter forecast for 2023-24, but rising over the next two years.
Non-renewable resource revenue is estimated to drop to $17.3 billion in 2024-25, from $19.4 billion forecast for 2023-24, and is forecast to pick up over the medium term.

Expense

Total expense in 2024-25 is $73.2 billion, a 3.9 per cent increase from the forecast for 2023-24.
Total expense is expected to be $74.6 billion in 2025-26 and $76.2 billion in 2026-27.
Total operating expense in 2024-25 is $60.1 billion, a 3.9 per cent increase from the 2023-24 forecast.
A contingency of $2 billion will help the province respond to disasters and emergencies and other in-year expense pressures, a $500-million increase from 2023-24.

Surplus

A surplus of $367 million is forecast for 2024-25.
Surpluses of $1.4 billion and $2.6 billion are forecast for 2024-25 and 2025-26, respectively.

Economic outlook

In 2024, real gross domestic product is expected to grow by 2.9 per cent, up from the 2.6 per cent forecast at mid-year.
Strong population growth is expected to continue at 3.7 per cent in the 2024 calendar year, down from 4.1 per cent growth in 2023.

Energy and economic assumptions, 2024-25

West Texas Intermediate oil (USD/bbl) $74
Western Canadian Select @ Hardisty (CND/bbl) $76.80
Light-heavy differential (USD/bbl) $16
ARP natural gas (CND/GJ) $2.90
Conventional crude production (000s barrels/day) 507
Raw bitumen production (000s barrels/day) 3,429
Canadian dollar exchange rate (USD¢/CDN$) 75.90
Interest rate (10-year Canada bonds, per cent) 3.70

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Budget 2024

Former Chief Judge of Manitoba Proincial Court will lead investigation into AHS procurement process

Published on March 3, 2025

Government of Alberta

Deputy Minister of Jobs, Economy and Trade Christopher McPherson has issued the following statement on an independent third-party investigation into procurement and contracting processes used by the Government of Alberta and Alberta Health Services (AHS):

Deputy Minister of Jobs, Economy and Trade Christopher McPherson has issued the following statement on an independent third-party investigation into procurement and contracting processes used by the Government of Alberta and Alberta Health Services (AHS):

“While serving as Acting Deputy Minister of Executive Council, Premier Danielle Smith asked me to establish a credible, independent, third-party investigation into the procurement processes used by the Government of Alberta and AHS and their outcomes.

“I have informed Premier Smith that the Honourable Raymond E. Wyant, former Chief Judge of the Provincial Court of Manitoba, will lead this investigation. I asked Premier Smith to issue a ministerial order to facilitate his work and she has done so. Judge Wyant’s work on this matter begins immediately.

“Judge Wyant was appointed to the Manitoba bench in 1998 before becoming Chief Judge in 2002. Prior to his service on the bench, Judge Wyant worked as a criminal defence lawyer and Crown attorney and was acting deputy director of Manitoba prosecutions at the time of his appointment to the Bench. He has also taught law for many years at Robson Hall at the University of Manitoba.

“Judge Wyant will review the relevant legislation, regulations and policies related to procurement typically used by Government of Alberta departments and agencies, specifically AHS, and their application to the procurement of pharmaceuticals and to services offered by chartered surgical facilities. Questions that Judge Wyant will consider are outlined in the attached terms of reference, and include whether or not any elected official, Government of Alberta or AHS employee, or other individuals, acted improperly during the procurement processes. Judge Wyant will make recommendations to the government for improvement or further action as appropriate.

“Appointed under the Government Organization Act, Judge Wyant will operate independently of government. The Government of Alberta will provide Judge Wyant with access to all relevant documents held by its departments and AHS, as well as facilitate interviews with relevant individuals.

“Judge Wyant has been given a budget of $500,000 to undertake this important work, including to retain legal and audit assistance at his discretion. He is being paid $31,900 per month, which is the same remuneration rate as the Chief Justice of the Alberta Court of Justice.

“To ensure additional independence, Service Alberta and Red Tape Reduction will hold the budget for this third-party investigation.

“Judge Wyant will deliver an interim written report by May 30, 2025. A final written report and recommendations will be delivered by June 30, 2025, and it will be posted on alberta.ca.”

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Alberta

Province announces funding for interim cardiac catheterization lab at the Red Deer Regional Hospital

Published on March 3, 2025

Government of Alberta

Alberta’s government is partnering with the Red Deer Regional Health Foundation to expedite the delivery of life-saving cardiac services to central Alberta residents.

Alberta’s government is committed to ensuring that Albertans have access to the health care they need, including life-saving cardiac care and lab services, no matter where they live. For those in central Alberta, the Red Deer Regional Hospital Centre plays a critical role in providing that care, which is why the $1.8-billion Red Deer Regional Hospital Centre redevelopment project includes two state-of-the-art cardiac catheterization labs.

While the project is expected to be completed by 2031, the government recognizes the urgent need for cardiac services for the 450,000 Albertans from Red Deer and surrounding rural communities. If passed, Budget 2025 will provide $3 million in startup funding and ongoing funding to cover the operational costs for an interim cardiac catheterization lab at the Red Deer Regional Hospital Centre.

“Every Albertan should have access to the health care services they need close to home. Albertans living in the Red Deer area have long advocated for a cardiac catheterization lab and I am pleased to support a project that we know will help save lives.”

Adriana LaGrange, Minister of Health

A cardiac catheterization lab is a dedicated space where specialized teams can carry out diagnostic tests that examine and evaluate heart function to aid in the diagnosis of cardiac health concerns and treatment of coronary artery disease. The lab will be equipped with specialized imaging equipment to allow for cardiac procedures primarily including ablation, angiogram and angioplasty.

The interim cardiac catheterization lab will be located within the existing Red Deer Regional Hospital Centre in a space currently being used as a physician’s lounge. Preliminary design plans are already in place and construction is expected to begin by fall 2025.

The Red Deer Regional Health Foundation has committed to funding the capital cost of the project, which is expected to be about $22 million.

In October 2024, the foundation announced the signing of a memorandum of understanding with Alberta Health Services to fast-track the opening of a cardiac catheterization lab at Red Deer Regional Hospital Centre.

“We are incredibly grateful for the generosity of the Donald and Lacey families, whose support is bringing life-saving cardiac care closer to home for the benefit of all central Albertans. Together with all our health care partners, their commitment to advancing health care will make a lasting impact on countless lives for years to come.”

Manon Therriault, chief executive officer, Red Deer Regional Health Foundation

The foundation’s work is made possible by the generosity of donors, supporters and champions across the region. To support the development of the interim cardiac catheterization lab, the foundation announced a $10-million donation from the John Donald family.

“I am pleased to support the development of cardiac services in central Alberta, something we’ve long advocated for. This initiative will provide essential care to our community and ensure that more lives are saved closer to home.”

John Donald, Red Deer Regional Health Foundation donor

By prioritizing the development of an interim cardiac catheterization lab, patients will have access to critical services about three years earlier than expected. The interim cardiac catheterization lab is expected to be operational in early 2027.

“Developing this lab will allow us to treat more cardiac patients closer to home and support them in their recovery. Enhancing our cardiac services will also support our efforts to recruit and retain the talented professionals needed to care for our region’s patients.”

Janice Stewart, chief zone officer, Alberta Health Services Central Zone

Being able to meet the needs of the province’s rapidly growing population is a top priority for Alberta’s government.

Quick facts

The $1.8-billion Red Deer Regional Hospital Centre redevelopment project will upgrade several services throughout the hospital site, including:
- an additional patient tower
- six new operating rooms
- a new medical device reprocessing department
- two new cardiac catheterization labs
- renovations to various areas within the main building
- a newly renovated and expanded emergency department
- a new ambulatory clinic building to be located adjacent to the surface parkade