Dear McMaster faculty and staff, 

Earlier today, McMaster’s Board of Governors approved the university’s consolidated budget for the 2025-26 academic year. It is a budget that reflects our continued commitment to strong financial stewardship and prudent planning during a period of continued uncertainty and constraint for the post-secondary sector. 

I want to thank faculty and staff across our six Faculties and administrative units. Your thoughtfulness, resourcefulness and dedication have been essential in helping us manage challenges and maintain the university’s stable financial position.  

As outlined in the budget document released today, the Operating Fund for 2024-25, which is McMaster’s core academic and administrative budget, is projected to close nearly balanced, with a modest $1.9 million surplus on a budget of more than $850 million.  

Looking ahead to 2025–26, a small deficit is projected, driven by higher costs and ongoing revenue constraints related to the extended domestic tuition freeze and federally imposed caps on international student enrolment. We will aim to balance the Operating Fund budget by continuing many of the strategies we’ve used successfully in recent years. These include increased collaboration across units, finding new sources of revenue, and continuing to manage costs through efficiencies, attrition and salary gapping — creating short-term savings by leaving some positions temporarily unfilled. 

We are also encouraged by the provincial government’s recently announced STEM funding, which will support 2,440 student seats per year at McMaster for the next five years, support that will help counterbalance some of the revenue pressures we face.   

Sustaining our mission through strategic investments  

Even as we manage costs, we are continuing to make strategic investments in a variety of areas, including electric vehicles, infectious disease research and nuclear medicine, digital and professional skill development for students, faculty leadership programs, and new efforts to strengthen international student recruitment and global engagement. 

By continuing to work together and focusing on our shared goals, we can ensure McMaster remains a financially stable and forward-looking institution. 

Thank you for your partnership and for all you do to support our students, research and academic community. 

Sincerely,

Jeremiah Hurley
Acting Provost and Vice-President (Academic)