Vancouver, BC — Mayor Sim and the ABC Team have passed a motion directing City staff to prepare the 2026 Operating Budget with a zero percent property tax increase. This motion balances affordability with livability by protecting essential services and supporting community organizations.
The motion, titled “Zero Means Zero: Advancing a Zero Percent Property Tax Increase for 2026,” acknowledges the City’s fiscal challenges, including inflation, rising utility costs, and infrastructure needs. It also reflects what ABC has heard overwhelmingly from residents and local businesses: affordability is a major concern, and many are struggling under the cost-of-living crisis. Despite these pressures, ABC is committed to maintaining core services without imposing additional financial burdens on residents.
Key provisions include:
- Protection of Core Services: Prioritizing core City services and maintaining community grants, library, and community centre services.
- Infrastructure Investment: Allocating one percent of the 2026 property tax levy to infrastructure renewal to address long-deferred maintenance.
- Fiscal Responsibility: Ensuring a balanced operating budget that controls spending while safeguarding the services Vancouver residents rely on.
Mayor Sim stated, “This motion reflects our commitment to affordability and livability. We have listened closely to residents and businesses who are feeling the pressure of the cost-of-living crisis. We are taking decisive steps to protect the services that matter most, without compromising quality of life in our city.”
The zero percent increase follows several years of responsible budgeting and investment. Previous property tax increases approved by Council — 10.7% in 2023, 7.3% in 2024, and 3.9% in 2025 — were necessary to fund critical infrastructure renewal, rebuild the City’s reserve funds, and fully resource emergency services. Those responsible investments have paid off: the City’s reserves have grown to 9.6% of tax revenue, up from just 2.75% when ABC took office, and for the first time in decades, both Vancouver Police Department and Vancouver Fire Rescue Services are fully funded.
Council passed the motion at the Standing Committee on City Finance and Services meeting on October 8, 2025. Staff will now proceed with drafting the 2026 Operating Budget based on these directives.
Support for ‘Zero Means Zero’ from the business community:
“Implemented strategically, a property tax freeze could be welcome relief for downtown businesses facing immense cost pressures. We support this proposal to explore efficiencies that maintain essential City services like public safety and sanitation while keeping downtown competitive and welcoming.”
Jane Talbot – President & CEO, Downtown Van (DV BIA)
“A zero percent property tax increase is welcome news for Yaletown’s small business community. Our local shops, restaurants, and service providers are the heart of the neighbourhood, and this measure offers some much-needed stability as they continue to recover and reinvest in our city’s vibrancy. We appreciate Mayor Sim and Council for listening to the concerns of business owners and supporting a thriving, resilient Vancouver.”
Sarah Vallely – Executive Director, Yaletown Business Improvement Association
“Small businesses across Vancouver are under immense cost pressures, and stability matters more than ever. Holding the line on property taxes helps restore predictability. This motion gives businesses and residents a moment to breathe, plan, and rebuild capacity during this challenging economic period while the city continues to deliver core services efficiently. This decision helps protect the economic and civic capacity our city depends on.”
Vincent Kwan – Executive Director, Strathcona Business Improvement Association
“Restaurants around the province are facing new challenges and it’s encouraging to see the City of Vancouver take a leadership role on making life for affordable for restaurants and foodservice establishments. BCRFA is proud to support this decision to see a zero percent tax increase in the coming year and we are confident that this will be a positive step towards a stronger, more vibrant local economy.”
Ian Tostenson – President & CEO, BC Restaurants & Foodservices Association
“This is welcomed news. The 0% increase in property tax will help provide Vancouverites and the small business community, a confident financial outlook and stability during uncertain times.”
Bo Chen – Executive Director, BC’s Alliance of Beverage Licensees (ABLE BC)
“Exceptionally high property tax inflation has been a prominent contributor to affordability challenges in B.C. over the past decade or more, driven by excessive growth in municipal operating spending. It’s important that municipalities refocus on delivering core services efficiently. Vancouver’s motion for a 0% property tax increase next year is an important step toward restoring fiscal discipline and we hope other municipalities follow its example.”
David Williams – Vice President of Policy, Business Council of British Columbia
“We applaud Mayor Ken Sim and Vancouver City Council for passing this motion. A true zero percent tax increase is the gold standard for local governments across British Columbia. CFIB’s latest Business Barometer® data shows that taxes and red tape are the main cost constraint for 72 percent of small businesses in B.C. At a time when small businesses are struggling to survive a trade war and economic headwinds, controlling costs and keeping taxes low will help them succeed.”
Ryan Mitton – Director of Legislative Affairs (BC), Canadian Federation of Independent Business
媒體聯繫:
Sarah Kanakos
Director of Communications, ABC Vancouver
Email: sarah.kanakos@abcvancouver.ca