Demand for classrooms, health care and social supports continues to increase. Budget 2026 responds with targeted investments to strengthen services and support Albertans at every stage of life.
Albertans expect timely care and reliable access to health services in their communities. To meet the challenges and address the pressure the health system is facing, Alberta’s government is committing $34.4 billion in total expense to health care to expand capacity, reduce wait times and strengthen front-line care. This investment will support hospitals, surgical services, primary care and mental health and addiction treatment, while helping Albertans receive care closer to home through an increase of $1.9 billion, or roughly six per cent, from 2025-26 forecast. The budget also invests in family physicians and front-line health care workers, and helps Albertans age with dignity in their homes and communities.
Alberta’s classrooms have become larger and more complex, as 80,000 students have joined Alberta’s education system in three years alone. Budget 2026 is making a record investment of $10.8 billion for Alberta’s education system – an increase of $722 million or 7.2 per cent from the 2025-26 forecast. The funding represents a significant step toward the hiring of 3,000 new teachers and 1,500 new educational assistants. Alberta’s record investment includes $560-million over three years to address enrolment growth, along with $1.4-billion over three years to help address classroom complexity. Budget 2026 also kick-starts 40 new public school projects as part of the government’s plan to renovate and build more schools in across Alberta communities. With these new approvals, there are now 161 active public school projects underway across the province.
“Budget 2026 focuses on what matters most to Albertan families: more surgeries, shorter emergency wait times, better access to schools and teachers, and social supports for those who need them most. By investing in health, education and community services, the government ensures Albertans can count on care, learning and support when it counts.”
Budget 2026 highlights:
Improving access to hospitals, surgeries, treatment and emergency care
Budget 2026 invests in Alberta’s hospitals and surgical capacity to meet the demand of a growing population with:
- $12.3-billion in 2026-27 to operate Alberta’s hospital and surgical systems, supporting staffing, surgical activity, emergency services and diagnostics. This includes:
- A $6 billion investment in acute care, including an additional $525 million in the Alberta Surgical Initiative, to complete 50,000 additional surgeries over the next three years.
- $1.2 billion over three years in cancer care, including an additional $223 million over three years in Cancer Care Alberta to hire more oncologists, expand surgical capacity, increase spaces at the Cross Cancer Institute and expand access to cancer care support services.
- $21 million over three years in Cancer Care grants will stabilize and scale community cancer programs offered by external providers, so patients and families receive consistent, comprehensive care.
- $1 billion in operating expense for physician compensation and development.
- $804 million in 2026-27 in Emergency Health Services.
Building capacity within the health care system with capital dollars for health projects
The 2026 Capital Plan continues to support ongoing major health projects and initiatives, including:
- $1 billion for the Red Deer Regional Hospital Centre Redevelopment.
- $280 million over the next three years, including $149 million in new funding, for the Diagnostic Imaging Enhancement Program to modernize and expand Alberta’s diagnostic imaging and cancer care capacity. Work will replace end-of-life equipment, introduce advanced technologies and increase system capacity to meet rising demand.
“Budget 2026 makes strong investments in Alberta’s health-care system, improving our ability to meet growing demand and deliver timely, high-quality care for all Albertans.”
Strengthening primary health care
The budget expands access to primary care with:
- $6.9 billion in operating expense for physician compensation, or a 6.5 per cent increase from the 2025-26 forecast.
- $87 million over three years to support the nurse practitioner program.
- $2.2 billion for drugs and supplemental health benefits including the seniors drug program, which is the largest component supporting more than 700,000 seniors.
“Primary care is the foundation of our health system. Budget 2026 makes crucial investments to expand and strengthen primary care, so every Albertan can get the care they need, when and where they need it.”
Supporting the wellness of Albertans
Budget 2026 investments in assisted living and disability supports with:
- $5.9 billion for Assisted Living Alberta and Continuing Care – an increase of more than $495 million from last year – to provide wraparound medical and non-medical supports, home care, community care and social services.
This includes:- More than $145 million to help patients who no longer need acute care transition to the appropriate care in their community.
- $3.4 billion dedicated to disability supports in 2026-27, ensuring Alberta continues to have the best disability programs in Canada, and Albertans with disabilities continue to receive benefits and access to essential supports.
“Budget 2026 reflects a steadfast commitment to ensuring Albertans have access to quality assisted living, disability supports and essential health services. By increasing investments and expanding essential programs, we’re building a province where every individual is supported and empowered to reach their full potential.”
Building on mental health and addiction supports
Budget 2026 supports recovery with:
- $2.0 billion to support addiction and mental health services to increase access to the supports Albertans require to pursue recovery. This includes:
- $1.7 billion for Recovery Alberta as the primary provider of mental health and addiction services.
- $30 million to continue expanding mental health classrooms and providing clinical supports for students with complex mental health needs.
- $29.6 million to operationalize and open five Indigenous recovery communities this year, bringing - culturally safe, live-in addiction treatment to Indigenous Peoples and communities disproportionately impacted by the addiction crisis.
- $26 million for 30 psychiatric beds and 60 critically needed community-based beds within the mental health and addiction system, for those who no longer need inpatient care in hospitals, which helps to reduce pressures across the acute care system.
- $319 million over three years to build secure infrastructure needed for the implementation of compassionate intervention to help those experiencing the most severe forms of addiction and substance use access care.
- $82 million over three years in capital funding to finish building and establishing recovery communities.
“From capital projects to front-line services and supports, we are committed to ensuring the wellness of Albertans remains front and centre. Budget 2026 continues to build out the Alberta Recovery Model, ensuring that those facing addiction or mental health challenges have the supports they need, when they need them.”
Investing in kindergarten through Grade 12 (K-12) education
Budget 2026 invests in Alberta’s kids with:
- $10.8 billion in education operating funding to help school boards hire more teachers and educational assistants to address growing class sizes and complexity, all while maintaining responsible spending.
- More than $1.8 billion for 2026-27 to support students with specialized learning needs.
- $560 million over three years to address enrolment growth.
- $355 million in 2026-27 and a three-year total of $1.4 billion for class size and complexity.
- $3.3 billion over three years for K-12 education infrastructure to support the planning, design and construction of 161 active school projects, including $600 million to add modular classrooms to address immediate enrollment needs.
- $90 million over three years through the new Independent School Capital Program.
- This program will create up to 6,000 new student spaces, supporting students with severe and complex learning needs, culturally appropriate education and families who choose an independent school setting.
“This investment is about focusing on what matters most to families. It helps schools keep pace with growing enrolment, ease pressure on class sizes, and ensure classrooms have the supports students need to succeed.”
Budget 2026 is focused on what matters with targeted investments in students and classrooms, health care and the economy, while showing strong fiscal leadership and controlling costs.