Chapter 6 · 6.2 Making government work better for Canadians
Advancing artificial intelligence in government through Digital Transformation Canada
$606M net impact on the budgetary balance over five years, 2026-27 to 2030-31.
The cost line
| Line | 2026-27 | 2027-28 | 2028-29 | 2029-30 | 2030-31 | Total |
|---|---|---|---|---|---|---|
| Measure | 12 | 87 | 131 | 192 | 184 | 606 |
… no change to existing funding or no fiscal implication · – a further extension will be considered later · 0* less than $0.5 million. Positive numbers cost the budget (spending or forgone revenue); negative numbers improve it.
What the budget says
“Building on this progress, Budget 2026 proposes to provide: Approximately $1 billion over five years, on a cash basis, starting in 2026-27, to establish a Government Transformation Fund that will accelerate transformative Information Technology (IT) projects to improve service delivery for Canadians and help make the public service more productive.”
Budget 2026, p. 297 (PDF p. 315)
“To deliver on Digital Transformation Canada's transformative mandate, Budget 2026 announces the government's intention to introduce the Digital Transformation Canada Act.”
Budget 2026, p. 297 (PDF p. 315)
Key facts
- Approximately $1 billion over five years, on a cash basis, starting in 2026-27, for a Government Transformation Fund to accelerate IT projects. Budget 2026, p. 297 (PDF p. 315)
Amounts named in the text
Stated amounts can cover different periods, cash or accrual bases, previously announced money and loans. They are not additive with the cost line above.
- $1 billion over five years
- $17.6 million over five years, starting in 2026-27
- $4.2 million
A billion dollars of government IT transformation becomes federal IT, data and AI procurement. Canadian firms with working, auditable tools are in a good position.
Also in this section
- Modernising government benefits and services$1MProgram spending
- Reinforcing Canada's border infrastructure$192MProgram spendingInfrastructure & transportPublic work
- Reducing red tape and accelerating federal regulatory approvalsno cost lineNo cost lineBusinesses
- Strengthening Crown corporationsno cost lineNo cost line
- Drawing talent from across the economy into governmentno cost lineNo cost line