Ontario’s 2025 Budget: A Bold Push for Innovation

With a record $214.5 billion in total spending, the 2025 Ontario Budget: A Plan to Protect Ontario outlines the government’s ambition to “unleash Ontario’s economic potential while keeping costs down” and to protect workers, businesses, and jobs—especially in the face of U.S. tariffs and growing global uncertainty.

Despite a projected $14.6 billion deficit, this budget strikes a balance between caution and action. It focuses on long-term competitiveness, sector-based funding, and job creation. Through strategic investments in infrastructure, critical mineral development, and interprovincial trade, Ontario is working to position itself as one of the most competitive jurisdictions in North America to invest, innovate, and scale.

At Ayming Canada, we see this as a critical opportunity for forward-looking businesses. Government funding is not just a benefit—it’s a tool for resilience, growth, and innovation. Here’s what you need to know. 

Funding the Future 

Ontario is significantly expanding government grants, prioritizing key sectors through new and enhanced initiatives.  

• Protect Ontario Fund ($5B): Designed to help businesses impacted by U.S. tariffs and strengthen Ontario’s economic resilience through liquidity and sector-focused interventions. 
• Invest Ontario Fund ($600M top-up): Expanded to accelerate strategic project attraction, support large-scale investments, and create high-quality jobs across key sectors. 
• Critical Minerals Fund ($500M): A new fund to attract investment in local processing of battery- and EV-related minerals, ensuring Ontario’s leadership in the clean energy supply chain. 
• Venture Ontario ($90M) – Split between $50M for AI, cybersecurity, and defense tech VC funds, and $40M for life sciences and biomanufacturing innovation investments. 
• Ontario Vehicle Innovation Network & Auto Modernization ($85M): Supports SME-led modernization projects, R&D partnerships, and the scale-up of next-generation mobility solutions in the auto sector. 
• Hydrogen Innovation Fund ($30M) – Supports SME-led modernization projects, R&D partnerships, and the scale-up of next-generation mobility solutions in the auto sector. 
• Advanced Manufacturing and Innovation Competitiveness (AMIC) Stream Extension ($40M): As announced in the 2024 Ontario Economic Outlook and Fiscal Review, the government is providing an additional $40 million to extend the AMIC Stream starting in 2025–26 as part of the government’s Advancing Ontario Made Manufacturing Plan. 
• Ontario Shipbuilding Grant Program (over $200M): Launching a new non-repayable grant program to support Ontario-based shipbuilders by funding projects that enhance competitiveness, support business growth, and build long-term capacity. Eligible costs include machinery and equipment purchases, infrastructure improvements, and skills training. 
• Ontario Grape Support Program ($175M over 5 years): Beginning in 2025–26, this program will provide up to $35 million annually to support Ontario grape farmers and wineries by increasing the use of locally grown grapes in wine production, supporting sector sustainability and growth through 2029–30. 

In addition to these government funding programs, manufacturers can now benefit from enhancements to the Ontario Made Manufacturing Investment Tax Credit (OMMITC) —offering up to $2 million in annual tax credits for capital investments in buildings, machinery, and equipment. This is a significant boost for companies looking to modernize and expand operations while improving cash flow. 

What This Means for Canadian Businesses 

These funding commitments signal a deliberate shift toward sector-specific innovation and that’s where Ayming delivers value. 

Our team of government funding experts specializes in identifying and securing government grants and tax credits, including SR&ED and innovation-focused incentives. We are already analyzing the programs in this year’s budget to ensure our clients are first in line when funding becomes available. Here is how Ayming helps you get ahead:  

• Navigate program eligibility: Our specialists closely monitor new and emerging programs, guiding you through eligibility criteria as soon as funds become available.
• Position your project for maximum funding potential: We align your business objectives with government priorities to strengthen your case and improve approval odds. 
• Manage documentation and compliance: Our team handles everything from technical narratives to financial tracking, ensuring your claim meets all audit and reporting requirements. 
• Secure funding before competitors flood application portals: With early insights and strategic positioning, we help you act fast—before programs hit capacity. 

Whether you’re scaling clean energy solutions, developing automotive technology, or pioneering breakthroughs in AI and life sciences, Ayming Canada ensures you make the most of this unprecedented investment cycle.  

Act Now to Capitalize on Ontario’s 2025 Budget 

The 2025 Ontario Budget isn’t just a response to global uncertainty—it’s a blueprint for bold, forward-looking investment in the sectors that will define our economic future. With billions on the table for innovation, infrastructure, and industrial growth, the time to prepare is now. 

At Ayming Canada, we’re already working with businesses across the country to secure their share of these high-impact programs. Our team of government funding experts is ready to guide you—from strategy through to successful funding.