Legault Government Announces Expansion of Subsidized Daycare and Focuses on Fiscal Responsibility in Upcoming Budget

Quebec’s Legault government announced an expansion of subsidized daycare spaces on Tuesday, March 16, 2026, although simultaneously signaling a cautious approach to spending in its upcoming budget. The announcements come as the province prepares to table its financial plan on Wednesday and navigate a period of economic uncertainty and a leadership transition within the governing Coalition Avenir Québec (CAQ) party.

Expanded Daycare Access

The government will finance 5,000 places in unsubsidized daycare centers, bringing the total number of subsidized spaces added since 2021 to 60,000. Families will be able to access these new spaces at a rate of approximately $10 per day, starting in 2026-2027. The 60,000 subsidized places comprise 33,000 new spaces created, 11,000 private places converted, 11,000 spaces currently in progress, and the newly announced 5,000 converted places.

The initiative will cost the government $400 million over five years. In addition to the daycare expansion, Quebec also provided $10,000 in funding to the Centre famille Haute-Ville de Québec and the Maison des Grands-Parents de Villeray in Montreal.

A ‘Sober, Focused, and Responsible’ Budget

Finance Minister Eric Girard has described the upcoming budget as “sober, focused, and responsible.” Quebec recorded a record deficit of $13.6 billion last year, revised down to $12.4 billion in November. Another deficit is anticipated, though the Minister of Finance expressed optimism that the situation is improving.

Girard ruled out any reduction in provincial gasoline taxes, despite pressure to do so, citing the uncertain economic context, including revisions to the ACE and the ongoing situation in Iran, which is impacting gasoline prices.

Leadership Transition and Budgetary Considerations

The budget is being presented during a leadership race within the CAQ, with Christine Fréchette and Bernard Drainville vying to succeed François Legault as premier. Both candidates have pledged to return gas tax revenue to Quebecers. An unspecified amount will be reserved for announcements by the new premier, providing them with budgetary flexibility.

François Legault, in his final budget year as premier, stated, “We made the choice to have a deficit in Quebec rather than in the pockets of Quebecers, so we have already done a lot.”

Healthcare Funding a Priority

A significant portion of the budget will be allocated to healthcare, according to Health Minister Sonia Bélanger. Radio-Canada reported in 2026 that Quebec had reached a peak of 227 dilapidated hospital buildings, leading to increased requests for funding from various establishments.

Legault Ministry Context

The Legault ministry, formed following the 2018 Quebec general election, has secured two consecutive majority governments, in 2018 and 2022. François Legault has served as Premier since October 18, 2018, marking the first time the CAQ has held power in Quebec’s history. The current Lieutenant Governor is Manon Jeannotte, having assumed office in 2024.