Bermuda Budget 2025/26 Snapshot

In presenting the 2025/26 budget statement, Premier and Minister of Finance David Burt highlighted Bermuda’s strong economic momentum, noting the budget marked “a turning point for Bermuda” with the 2024/25 Consolidated Fund surplus resulting in the first surplus in 21 years. Highlighting that 2024/25 revenue was $16.1 million higher than estimated, driven by increased payroll tax receipts, Premier Burt underscored the government’s commitment to balancing responsible spending with targeted investments for the future amidst a time of global economic uncertainty. The rollout of Bermuda’s now effective corporate income tax (CIT) is forecasted to lead to receipts of $187.5 million for the fiscal year which are projected to help generate a budget surplus of $43 million for 2025/26 after considering total expenditure increase of $118 million.

The international business sector continues to be the engine of Bermuda’s economy, driving job creation and projected tax revenues from payroll tax and CIT. The budget also includes a series of tax relief measures such as lower energy taxes, reduced customs duties, and cuts to vehicle and land taxes designed to ease the cost of living. The government plans to accelerate infrastructure upgrades, including roadworks, bridge replacements, and improvements to waste management and educational facilities. Looking forward, Premier Burt emphasized the importance of carefully managing the introduction of the corporate income tax to safeguard Bermuda’s global competitiveness and focusing on broadening economic opportunities and ensuring that the benefits of growth are widely shared.