Carly Penrose
Bethany Lindsay
Local Journalism Initiative Reporter
The recent federal budget included billions in new spending and cuts that affected climate policies, defence spending, technology and taxation.
An IJF analysis reveals that in the months and weeks leading up to the budget’s release, dozens of organizations registered to lobby and recorded hundreds of communications with public office holders on some of the very measures announced in Mark Carney’s budget.
A Finance Canada spokesperson acknowledged in an email that the government takes the input of industry and interest groups into account as it develops annual budgets. This year, that included 50 roundtables in 26 cities and 38 bilateral meetings with industry representatives, union leaders, regional organizations and ordinary Canadians.
But, the spokesperson added, “ultimately, budget decisions are made by the government as part of rigorous cabinet and budget processes.”
Here’s what the IJF found after reviewing the budget and federal lobbying records:
Climate
The budget rolled back or signalled it may rescind some signature Trudeau-era climate policies, while still stressing that “Canada is committed to bringing down the emissions associated with the production of oil and gas.”
What’s in the budget: A projected end to the oil and gas emissions cap.
The budget stops short of eliminating the cap, designed to limit fossil fuel sector emissions below 2019 levels. But it says stronger methane regulations and at-scale deployment of carbon capture technology “would create circumstances whereby the oil and gas emissions cap would no longer be required as it would have marginal value in reducing emissions.”
What’s in the budget: Undoing some “greenwashing” amendments to the Competition Act that prevented companies from making untested claims about a product’s environmental benefits.
The budget says some of these rules are “having the opposite of the desired effect with some parties slowing or reversing efforts to protect the environment.”
Who lobbied for this: Groups like the Canadian Association of Petroleum Producers, the Calgary Chamber of Commerce, Imperial Oil, Pathways Alliance, Shell Canada, Irving Oil and at least 10 more are registered to lobby about both laws. Collectively, nearly 50 lobbying communications by those organizations have been posted to the federal registry in the past 30 days.
The Chemistry Industry Association also registered to discuss the greenwashing law’s impact on “the competitiveness of the Canadian chemical and plastic industries.”
Taxation
The new budget promises a more “robust and efficient tax system.” Ottawa says it’s doing away with some taxes that it says “have proven to be inefficient, costly to administer and challenging for Canadian industries at a time of ongoing global economic uncertainty.”
What’s in the budget: An end to the luxury tax on sales of yachts worth more than $250,000 and aircraft priced at more than $100,000.
Who lobbied for this: Eliminating the tax has been a lobbying priority for the National Marine Manufacturers Association, while Ontario’s Neptunus Yachts has been pushing for a higher threshold — as much as $6 million — before the tax kicks in.
The Liberal government has eliminated the luxury tax on yacht sales.
What’s in the budget: The removal of the Underused Housing Tax, sometimes known as the vacant homes tax.
Who lobbied for this: The Canadian Home Builders’ Association (CHBA) and the Canadian Real Estate Association (CREA) have both registered to lobby for significant changes to the tax.
What’s in the budget: Eliminating GST “for first-time home buyers on new homes up to $1 million and reducing the GST for first-time homebuyers on new homes between $1 million and $1.5 million,” a tax cut that’s already before Parliament as Bill C-4.
Who lobbied for this: Homebuilders have advocated for the policy, or some version of it, as a way to help Canadians afford their first home. The CREA, CHBA and the Building Industry and Land Development Association are all registered to lobby about tax credits or exemptions for first-time home buyers.
The Ontario Home Builders Association is advocating not just for GST relief for first-time home buyers, but for all new home construction projects. Mattamy Homes, a major North American homebuilder, posted 12 lobbying communications with federal officials in the last 30 days about the proposed GST cut.
Technology and innovation
Ottawa is promising to promote private sector investment and innovation in Canada by “investing in strategic infrastructure, modernising regulatory and competition frameworks, and accelerating the development and adoption of critical technologies such as AI and clean technology.”
What’s in the budget: A plan to regulate the issuance of fiat-backed stablecoins, a type of cryptocurrency designed to hold a comparatively stable value relative to government-issued currency.
Who lobbied for this: The Canadian Web3 Council, an industry group advocating for digital payments technologies, registered a lobbyist on Sept. 22, to “work with the federal government and financial sector regulators on developing clear definitions, categorization and regulatory treatment of crypto assets.”
The Canadian Blockchain Consortium, International Bitcoin Register and Coinbase have been lobbying for wider acceptance of digital currencies in Canada as well. Following lobbying by Coinbase this summer, a Finance spokesperson told the IJF the department is “closely following the GENIUS Act in the United States,” which created a regulatory framework for stablecoins.
Defence
One of the biggest ticket items in the budget is an $81.8 billion commitment over five years to bolster the Canadian Armed Forces, a priority “as the world grows more volatile and dangerous” and Canada scrambles to meet its NATO military spending target.
What’s in the budget: An investment of $182.6 million over three years to create sovereign space launch capabilities.
Who lobbied for this: Halifax’s Maritime Launch Services and the Nordspace Corporation of Markham, Ont., have both been pushing for this.
Maritime Launch’s most recent registration says it is engaging with Ottawa “regarding the need for domestic launch capability in Canada.” The day before the budget was released, Ontario space technology company MDA Space announced a $10 million investment into Maritime Launch, with the goal of readying Canada’s first commercial space port for operation in Nova Scotia.
Nordspace, which is planning launches out of Newfoundland, has been lobbying for contracts “with respect to a domestic end-to-end space launch system to provide low-cost and rapid access to orbit.”
What’s in the budget: $17.9 billion in spending for a range of new equipment, including specialized military vehicles.
Who lobbied for this: Auto giant General Motors is registered to express its interest in supplying light utility vehicles to the military, and logged two communications with federal officials on this subject last month.
The Canadian security firms Dew Engineering and Development and Inkas Group are both seeking contracts for armoured vehicles.
A Canadian flag is seen in a makeshift memorial for fallen soldiers in Independence Square in Kyiv, Ukraine. The 2025 budget includes a commitment to expand military assistance to Ukraine.
What’s in the budget: A $6.2 billion commitment to “expand Canada’s defence partnerships, including expanded military assistance to Ukraine.”
Who lobbied for this: Several defence suppliers have already put up their hands to offer their services for additional military support in Ukraine.
Lobbyists with Saskatoon’s Draganfly Inc. and Robotics Centre Inc. are both lobbying to supply drones to support Ukraine. Gun supplier Black Creek Labs, rubber company AirBoss of America, military vehicle tech firm Armatec Survivability and armoured vehicle maker Roshel, Inc. are also vying for contracts.
Tariff response
Since the start of the year, tariffs and Canada-U.S. relations have dominated public policy conversations and lobbying registries. The budget makes it clear that Canada can no longer rely on its trade relationship with America, and reiterates federal promises to set up a $5 billion tariff response fund.
What’s in the budget: $1 billion in Strategic Innovation Fund support for the steel industry, one of the sectors hardest hit by U.S. tariffs.
Who lobbied for this: Steel producers have reported more than 100 lobbying communications with the federal government about tariffs this year.
One of the companies singled out in the budget was Sault Ste. Marie, Ont.-based Algoma Steel, which reported nearly 40 lobbying communications since the spring, including 19 in September alone.
Arcelormittal Dofasco, based in Hamilton, Ont., has also been lobbying heavily on tariffs. It reported a dozen communications in the past 30 days and nearly 200 contacts with federal officials since the start of 2025.
What’s in the budget: Up to $700 million in loan guarantees for the forestry and lumber sectors, and $500 million “to renew and expand Natural Resources Canada’s existing forestry programs.”
Who lobbied for this: A long list of Western Canadian companies, unions, chambers of commerce and trade councils in the softwood lumber industry have been hard at work lobbying for tariff relief.
The Canadian Wood Pallet and Container Association, for example, reported lobbying federal officials seven times on Sept. 23. Those meetings covered “tariffs and retaliatory tariffs in order to minimize the impacts on related businesses operating in Canada.”
