Federal Budget 2025: Changemakers split over focus on infrastructure vs. social programs
Why It Matters
The federal budget sets the tone for Canada’s priorities over the next year, with lasting implications for equity, care, and global responsibility. Changemakers’ reactions reveal a growing divide between celebrated domestic investments and overlooked systemic challenges, like the rising cost of essentials and international aid.
Changemakers had mixed reactions Tuesday after the federal government tabled their proposed budget for 2025.
While some praised the budget for preserving new, core programs, such as $10-a-day daycare and dental coverage, others were disappointed to see cuts or a complete lack of action, such as scaling back global aid or the lack of addressing rising food insecurity.
Here’s what changemakers had to say, in their own words.
On arts and culture:
“Ottawa isn’t abandoning culture, but it’s tightening the belt and asking us to evolve …For organizations—and boards—this is a wake-up call. The next phase of sustainability won’t come from legacy infrastructure spending, but from aligning cultural production with economic and digital priorities. Those who can demonstrate creation, efficiency, and measurable outcomes will rise above the noise.”
- Menon Dwarka, Owners, MPD Consulting Services
On social finance:
“Core social supports like the Canada Child Benefit and $10-a-day childcare remain, but the public service will shrink by 40,000 jobs — and yet, the deficit grows to $78 billion. For those of us in community capital sub-sector and community finance sector broadly, this budget was quiet, as expected. For us at the Canadian Coalition for Community Capital (4C) , the next year must be about deepening relationships across federal departments, ministers’ offices, MPs, and Senators to achieve the kind of policy traction others have secured.”
“One interesting change is the government’s plan to simplify and harmonize the qualified investment rules that govern RRSPs and TFSAs, especially for small business investments. (…) While technical, this reform sets the stage for future progress. A “Phase 2” could easily incorporate the Coalition for Community Capital’s pre-budget recommendations to extend similar streamlining to community investment rules. This would create new pathways for Canadians to invest directly in the places, organizations, and communities they care about most.”
- Suzanne Faiza, Coalition Coordinator for Canadian Coalition for Community Capital
“This budget primes the pipes for investment in housing and cleaner industry. We need to ensure the signature investment in Build Canada Homes (BCH) maximizes its ability to advance affordability, capitalize community housing projects and leverage private capital. Further, although cleaner industry is an admirable goal, there is a need to focus on how we are going to monitor and achieve long-term commitments to fundamentally necessary emissions reductions.
“There are a number of missing pieces that are essential for inclusive growth, local wealth creation, and overall economic security and growth. This includes (but is not limited to) investing in community finance, women entrepreneurship, nature, and Indigenous communities.”
- Adam Spence, Founder and CEO of Social Venture Connexion (SVX)
On health and wellness:
“The national dental plan and New Horizons for Seniors programs will continue, along with new funding for temporary tax credits for PSWs to help retention of an essential workforce. Significant investment made in managing financial fraud which disproportionately impacts older adults and people living with dementia in particular: launching a National Anti-Fraud Strategy and a new Financial Crimes Agency.
“While health wasn’t positioned as nation building, and dementia certainly wasn’t, we cannot lose the momentum that was gained from the previous investments in the dementia strategy. A strong aging population is a resilient one and we must continue to invest to work toward coordination of care.”
- Dr Saskia Sivananthan, Founder and CEO of the Brainwell Institute
On jobs:
“Budget 2025’s commitment to work-integrated learning is more than a funding announcement – it’s recognition that we can’t solve youth unemployment without giving young people real pathways to careers. At 14.7% youth unemployment, we’re not just facing a jobs crisis. We’re at risk of losing a generation’s potential.
“The students we serve at Wavemakers – 84% from equity-deserving communities – don’t need more advice or more applications. They need what this budget prioritizes: hands-on experience, mentorship, and connections to employers who see their potential.”
- Krista Pawley, Co-Founder of Wavemakers
On climate and the environment:
“We see the Climate Competitiveness Strategy that was laid out in today’s budget as a commitment to keeping Canada a top-tier place to invest in renewable energy and energy storage. By doing so, the federal government is ensuring that companies and Canadians will have access to the low-cost and low-carbon power they need to grow the economy and prosper.”
- Vittoria Bellissimo, President and CEO, Canadian Renewable Energy Association
“Budget 2025 missed a key opportunity to make energy efficiency a productivity-enhancing nation-building project. Ottawa’s failure to reverse its abrupt shutdown of the Canada Greener Homes Loan or fix issues that favour tax credits over demand-side solutions undermines progress on energy efficiency and affordability goals.”
- Brendan Haley, Senior Director of Policy Strategy, Efficiency Canada
“While the Climate Competitiveness Strategy outlines some important measures to reduce emissions, such as strengthening methane regulations, a commitment to address shortcomings with industrial carbon pricing, and sustainable investment guidelines, the strategy misses the plot. Canada can’t build a resilient and competitive economy by doubling down on fossil fuels. Investments that lock us into fossil fuel dependence, such as Liquefied Natural Gas, Carbon Capture and Storage, and backing away from measures to cut overall emissions from oil and gas will only deepen the costs for future generations.”
- Sabaa Khan, Climate Director with the David Suzuki Foundation
“Happily, Canada has the lowest debt‑to‑GDP ratio in the G7 and a triple‑A credit rating from Moody’s. We’re relieved that the industrial carbon price and methane regulations remain in place, even amid climate disinformation and an affordability crisis driven by the climate emergency and oil companies artificially inflating prices.”
- Cathy Orlando, National Director Citizens’ Climate Lobby Canada
“Canadians should be alarmed at the scale of proposed funding cuts to the public service and essential programs within Environment and Climate Change Canada and other departments over the next three years. Today’s budget introduced short-sighted cuts that would sunset the Enhanced Nature Legacy Fund — a crucial program aimed at helping the country meet its biodiversity targets, expand Indigenous-led conservation, and species-at-risk recovery.”
- Ecojustice
“The Youth Climate Corps offers a ray of hope, promising meaningful work for young Canadians, and represents a hard-fought win from the youth and climate movement.”
- Caroline Brouillette, Executive Director, Climate Action Network Canada
On global aid:
“Nearly 3 billion less for international aid, no initiatives to correct tax inequity and recover revenue from the ultra-wealthy and polluting companies, and far too little for female-dominated sectors. We need an economy that leaves no one behind.”
- Béatrice Vaugrante, Executive Director of Oxfam-Québec
“It is clear that any savings resulting from cutting the international assistance budget will be short-lived. Cuts erode Canada’s credibility with our global partners and blunt our capacity to shape outcomes that affect Canadians at home.”
- Kate Higgins, Chief Executive Officer for Cooperation Canada
Until now, I’ve held on to the hope that Canada would not follow the U.S.’s example – that we would show the moral courage to continue, even expand, our support for communities whose health and human rights are under threat. But yesterday’s federal Budget 2025 extinguished that hope… At a time when Canada’s leadership is needed most, should we not be the ones setting the bar?”
- Meg French, Executive Director, Stephen Lewis Foundation
On increasing costs of food and essentials:
“A brutal and tone deaf federal Liberal budget for anyone struggling to make ends meet in the here and now …. Exhibit A is a $27B tax cut to middle- and upper-income earners while at the same time people are forced to stand in food lines for a meagre ration that will have no material impact on their dire situation. This lost revenue could have been used to close the growing inequality gap.”
- Nick Saul, CEO, Right to Food
“There is little in this budget to counter the ever-escalating costs for essentials, including food. No commitment to expand desperately needed income supports, build a stronger safety net, or implement any sort of meaningful changes to help people afford to live.
“Federal income supports offer up a patchwork of assistance that fails to bring recipients up to the poverty line. It’s disappointing to see much needed change either not happen, or like in the case of EI expansion, only be a temporary measure.”
- Sue Kelleher, Director of Community Partnerships, Innovation, and Advocacy, Feed Nova Scotia
On women and LGBTQ+ rights:
“Sustainable investment in underserved communities and community-based organizations is not just about fairness – it’s about strengthening Canada’s competitive advantage. It’s a strategic choice for Canada’s future. When queer entrepreneurs, technologists, and leaders are empowered to thrive, our innovation economy becomes stronger, smarter, and more competitive.”
- Bobbie Racette, Chair, QueerTech Board of Directors
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