Despite record high oil prices the Government of Saskatchewan says it has only seen a small increase in revenue from oil prices as it ends the 2025-26 fiscal year with an operating deficit of $947 million.

In a news release issued Tuesday to highlight the release of the 2025-26 Public Accounts Volume 1, the government says it is an improvement of $263 million from the deficit projected at the third quarter and a $960 million reduction from the surplus projected at budget.

Finance Minister Jim Reiter says, “We continue to face significant expense pressures, particularly with regard to utilization in health care and our correctional facilities.”

The government reports that total revenue increased from budget by $77 million, while expenses increased by $1 billion.

The 4.9 per cent increase in expenses from the 2025-26 Budget, the government said, is primarily due to increases in the Health, Protection of Persons and Property, Economic Development and Education themes, driven by higher demand for health care services and increased wildfire response and evacuation activities.

On the plus side the increase in expenses were offset by a good crop. There was a significant reduction in agriculture expense due to improved crop yields resulting in lower crop insurance payouts.

The opposition NDP says the government’s financial update confirms they ran a deficit of $947 million instead of the $12 million dollar surplus they claimed tabling their budget.

Shadow Minister for Finance Trent Wotherspoon calls it a nearly a billion-dollar miss by the government.

He also notes more than $4 billion was added to the total public debt, taking it to record levels and paid more than $1.073 billion to cover the interest costs and service the debt.

The NDP news release said, “Instead of owning up and being honest to Saskatchewan people and fixing their budget, they chose to try to deceive them and stuck Saskatchewan people with the costs of their government’s mismanagement.”