How Ontario’s Fall Economic Statement 2025 Boosts Business Funding Opportunities

When Ontario’s Finance Minister tabled the 2025 Ontario Economic Outlook and Fiscal Review: A Plan to Protect Ontario (Fall Economic Statement 2025) on November 6, 2025, the message to businesses was clear: it’s time to act.  

The province is navigating slowing growth, shifting global supply chains, and increasing tariff pressures. This update sets out how Ontario intends to respond. For business leaders, especially those seeking government funding or tax-saving opportunities, the stakes and opportunities are significant. 

This blog breaks down what every Ontario business should know, including where the funding programs are headed, how tax and competitiveness measures align, how provincial strategy links to federal funding, and how your business can prepare.  

We also highlight one key funding program currently open for intake. If you’re looking at expansion, innovation, or managing supply chain risk, the time to act is now. 

“Our government is leaving no stone unturned in our efforts to protect workers and businesses from the economic challenges facing Ontario.”  
– Peter Bethlenfalvy, Ontario’s Minister of Finance 

 

Government Funding: Supporting Ontario Business 

With real-world headwinds building, the province has signalled support for businesses, particularly those exposed to U.S. tariffs or global supply-chain disruption. According to the statement, while Ontario expects real GDP growth to slow to roughly 0.8% in 2025, the government is keeping a clear focus on business competitiveness. 

Funding Snapshot: Protect Ontario Financing Program (POFP) 

Here’s a high-level snapshot of the top active program for tariff-impacted firms, which is relevant if your supply chain or manufacturing operations are exposed. 

A short summary: This program gives Ontario-based firms facing significant tariff-related disruptions access to liquidity and support, so they can maintain operations and supply-chains under pressure. 

• Funding objectives: Support for-profit businesses in Ontario facing material working-capital disruption because of U.S. Section 232 tariffs on steel, aluminium, copper, and autos.  
• Funding amount/scale: Up to $1 billion (initial phase) in liquidity term loans, part of a broader $5 billion “Protecting Ontario” account. 
• Eligible applicants: For-profit entities or limited partnerships registered in Ontario; operating in or supporting supply chains for steel, aluminum, or autos; minimum ~$2 million annual revenue and at least 10 full-time employees; at least 3 years of operations.  
• Eligible projects/costs: Working capital support to cover payroll, leases, utilities, and similar cost pressures directly from tariff exposure.  
• Timeline: The program currently accepts applications under the provincial portal. Firms should move quickly; due-diligence and third-party assessment apply.  

For Ontario businesses in supply chains subject to tariff risk or manufacturing disruption, this program is a critical lever. Even if you’re outside the steel or auto core industries, it’s worth assessing whether your business qualifies (and if not, what funding pathways may still apply). 

Beyond POFP, the statement also includes tax deferrals and infrastructure capital flows that translate into procurement and project opportunities for business. 

Tax Incentives and Measures: Enhancing Competitiveness for Ontario Businesses 

The 2025 statement has fewer headline tax surprises, but there are meaningful adjustments and incentives to pay attention to. Here are the key business tax changes and incentives: 

• The province is implementing deferrals of select provincially administered taxes to ease short-term burdens for businesses navigating cost and supply chain pressures.  
• Ontario is also strengthening incentives tied to manufacturing and investment. For example, the Ontario Made Manufacturing Investment Tax Credit (OMMITC) remains a priority. The statement underscores that machinery and equipment expenditures will continue to qualify within flexibility rules.  
• Another element: The new Building a More Competitive Economy Act, 2025, and other red-tape reduction measures signal government intent to improve labour mobility, streamline permits and approvals, and reduce regulatory drag.  

For businesses, this means: 

• If you’re manufacturing or adding equipment, check the nuances of the credit eligibility and ensure that depreciation and cash-flow planning reflect the new flexibility. 
• For professional firms and advisory work (including Ryan’s tax clients), there’s a growing focus on being ready to advise clients not just on tax credits but on matching funding plus tax planning. 
• Reduced regulatory friction and faster approval timelines (as envisaged by the Building a More Competitive Economy Act) create a slightly stronger operating environment, meaning timing matters for launch-or-scale decisions. 

In short, this 2025 Ontario Fall Economic Statement isn’t about sweeping new tax increases but about enabling a competitive business environment, especially for manufacturers and supply-chain-exposed firms. 

Outlook and Strategy: Aligning with Federal Funding and Ontario’s Growth Plan 

Ontario’s broader strategic aim is to be “the most competitive place in the G7 to invest, create jobs and do business.” That means aligning provincial funding, tax incentives, and sector strategy with federal programs and global supply-chain shifts. 

On the federal side, several initiatives are live (or nearing launch) around clean energy, AI adoption, critical-mineral development, and innovation. We have covered these in other Ryan resources (see our 2025 Federal Budget: Government Funding and SR&ED overview, Tax Alert – Federal Budget 2025, and Ryan Budgets Hub). 

Provincially, the 2025 statement reinforces sectors such as critical minerals, manufacturing, value-added processing, and domestic supply chains.  

For businesses, this dual alignment means: 

• When considering funding applications, look at provincial and federal stacking possibilities (e.g., manufacturing equipment purchase qualifies for an Ontario credit and a federal SR&ED pathway). 
• For businesses navigating tariffs, supply-chain shifts, or market entry, the POFP is a provincial response, but federal export-diversification or resiliency programs may also apply. 
• Advisory firms and tax professionals should develop value propositions around “funding plus tax action,” so clients don’t just claim money, they structure investment, tax credit, funding, and business growth in tandem. 

By working with both levels of government, businesses position themselves for resilience and expansion. If you’d like deeper insight on the federal side, the Ryan team has in-depth guides and tax alerts ready. 

Key Takeaways and Implications for Ontario Businesses 

• The statement signals Ontario is cautious about growth, GDP of ~0.8% in 2025, and only modest improvement in 2026. That means businesses should prioritize investment decisions that yield returns, rather than delay. 
• Funding opportunities are active now, especially for firms affected by tariffs or supply-chain disruption (see POFP). Don’t wait. 
• Tax and regulatory measures are supportive: equipment investment, streamlined approvals, and deferrals. Mirror these in your strategic planning. 
• Alignment between provincial and federal funding/tax regimes is increasingly important. Businesses that map both gain more. 
• For businesses that provide advisory services (including tax, legal, and consulting), the environment requires a combined offering: funding plus tax strategy equals execution. 

The 2025 Fall Economic Statement is a shift from broad stimulus back to strategic support and competitiveness. For businesses in Ontario, especially those with equipment needs, manufacturing exposure, tariff impact, or growth ambitions, now is the time to be proactive. 

If you’re ready to explore how your business can tap into the Protect Ontario Financing Program (or other provincial/federal funding) and align that with optimal tax strategy, Ryan’s Canadian Government Funding team is here to help. Reach out today, and let’s get your application ready to fund growth, protect operations, and unlock opportunity in Ontario’s business landscape.