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Nova Scotia's Government Spent a Record $1.9 Billion Outside of the Budget Process
Unbudgeted spending reached $1.9 billion as health costs and wildfire expenses helped drive the province’s record deficit, finance officials said.
- On Thursday, Nova Scotia Finance Minister John Lohr released the 2025-26 fiscal update, revealing the province closed with a record $1.4 billion deficit and $1.9 billion in unbudgeted spending.
- Lohr attributed the majority of unbudgeted spending to Health, Seniors, and Long-Term Care departments as the government attempted to meet residents' needs; spending continued into 2026-27's first quarter at almost $250 million.
- Interim Liberal Leader Iain Rankin criticized the government's "casual" approach to managing finances, noting unbudgeted spending occurred across 11 departments and arguing the government fails to ensure departments live within their means.
- A February court ruling declaring Bill 148 unconstitutional forces the government to prepare for a settlement with unions expected to cost hundreds of millions of dollars.
- NDP finance critic Lisa Lachance argued the government made pandemic-era spending structural; meanwhile, the province anticipates a $1.44 billion deficit for 2026-27, and Lohr plans about $620 million in future budget cuts.
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11 Articles
Fiscal update shows more unbudgetted spending as deficit reaches $1.4B
Nova Scotia’s deficit and debt continue to climb to record-setting levels as the finance minister looks to future defence and natural resource development projects to someday improve the province’s economic outlook.
·Ottawa, Canada
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Nova Scotia deficit climbs to $1.4B as spending continues to outpace revenue
The Nova Scotia government continues to outspend its revenues, and that fiscal imbalance is forecast to drive the provincial deficit up to $1.44 billion according to a provincial budget update on Thursday.
·Toronto, Canada
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Coverage Details
Total News Sources11
Leaning Left2Leaning Right1Center4Last UpdatedBias Distribution57% Center
Bias Distribution
- 57% of the sources are Center
57% Center
L 29%
C 57%
14%
Factuality
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