TTC Board approves 2026 operating and capital budgets with no fare increase
The Toronto Transit Commission (TTC) Board approved its 2026 operating and capital budgets. The new budget includes a third consecutive fare freeze, introduces fare capping, adds nearly 200,000 hours of service and invests $16.7 billion in long-term capital projects.
The C$3 billion (US$2.2 billion) combined operating budgets for both the TTC conventional system and Wheel-Trans represent a 6.8% increase over the approved 2025 budgets. The commission says the new budget ensures safe, frequent and affordable service for TTC customers.
“Transit should fit your life, not the other way around. With this budget, fares stay frozen for the third year in a row, fare capping will make travel more affordable and we’re adding service where people need it most,” said Toronto Mayor Olivia Chow. “Toronto residents can get to work, school or home safely and reliably, without having to choose between transit and other essential expenses. Together, we’re building an affordable and caring city that delivers for you.”
Highlights of the 2026 budget:
- Freezes TTC fares again at 2023 prices.
- Introduces a fare capping program, where any trip after 47 completed trips each month are free. In 2027, that number drops to 40 trips.
- Dedicates almost C$60 million (US$43.2 million) to preserve and enhance 2025 safety
- initiatives and operating levels as more workers return to office, and to address congestion and changes in ridership patterns.
- Provides additional service for the 2026 FIFA World Cup.
- Increases Wheel-Trans funding by C$19 million (US$13.7 million) to meet rising demand.
- Funds Lines 5 and 6 operations in 2026 through the New Deal with the province of Ontario.
“The TTC is moving from managing challenges to delivering results,” said TTC Chair Jamaal Myers. “This budget strengthens affordability, reliability and safety while tying investments to clear performance metrics. Riders deserve transparency and accountability, and that’s exactly what we’re delivering.”
The recommended 2026-2035 Capital Budget and Plan is C$16.7 billion (US$12 million).
Priority projects funded through the capital plan over the next five years include:
- Conventional and Wheel-Trans bus fleet replacements and associated charging infrastructure.
- Critical subway systems (signals, electrical and communications) and equipment (escalators, elevators, ventilation and subway pumps/backflow preventers) to maintain reliability and enhance the customer experience.
- Facility renewal programs including roofing rehabilitation, HVAC replacements, overhead doors, safety systems and infrastructure renewal projects to maintain asset integrity.
- Streetcar track replacement.
The plan adds C$1.36 billion (US$979.7 million) for important longer-term state of good repair, reliability and safety and legislative programs, including:
- C$302.8 million (US$218.1 million) for subway, bus and streetcar vehicle overhauls
- C$168.8 million (US$121.6 million) for crucial subway and surface track replacement
- C$253.4 million (US$182.6 million) for traction power, signaling, communications and power distribution asset replacement/rehabilitation
- C$141.6 million (US$102 million) for facility rehabilitation/modifications
“These board-approved budgets support meaningful investments in our operations and capital projects upon which we can build the incremental improvements that our customers will benefit from,” said TTC CEO Mandeep Lali. “It also means we will be able to deliver world-class service during the World Cup, which will bring hundreds of thousands of visitors to our city.”
Except for the fare policy items, the TTC budget now goes to the city for consideration as part of the 2026 budget process.