Read S&P Global Ratings’ report on Guelph’s 2026 credit rating
Guelph, Ont., August 24, 2026 – For the fifth straight year, S&P Global Ratings continues to affirm the City of Guelph’s financial credit rating as AAA with a stable outlook, the agency’s highest possible rating. This achievement comes as municipalities across the country navigate a shifting economic landscape, including new tariff measures announced this past week that add uncertainty to the outlook for Canadian businesses. Similar to the 2025 findings, the 2026 report outlines a downside scenario where the rating could be downgraded in the future.
“Despite municipalities continuing to face many financial and economic challenges, I’m proud that the City has once again secured an AAA rating,” said Guelph Mayor Cam Guthrie. “Since taking office balancing a strong credit rating with critical capital infrastructure investment has been a major focus. Now, with the fifth consecutive year of achieving AAA, it clearly demonstrates and reflects Guelph’s strong financial stewardship and strategic planning, and I’m grateful to City staff for working hard to ensure we effectively navigate an evolving and increasingly uncertain economic environment. Municipal infrastructure spending supports our local economy and helps advance critical priorities.”
S&P’s report highlighted strong financial management as a key factor in the rating decision, noting, “Increased capital spending will result in modest after-capital deficits that are partially debt-financed, but strong financial management will allow the city to maintain moderate debt levels.” The report also spotlights the City’s ability to achieve consensus in passing budgets and effective revenue and expenditure planning practices.
While S&P notes that planned increases to debt levels will put pressure on the future credit rating, it also highlighted the City’s ability to continually refine its capital plan to align priority projects with revenue and its continued efforts to secure grant funding. This approach has been critical to maintaining financial sustainability and a balanced capital forecast in the face lower than expected development charge collections.
“The maintenance of the AAA rating will continue to support access to the best possible rates and maintain investor interest in Guelph’s debentures as generational infrastructure investments move forward across the City” stated Shanna O’Dwyer, General Manager, Finance – City Treasurer and Chief Financial Officer.
S&P also noted Guelph’s diverse economic base and the expectation of continued stability in the local economy in the face of trade uncertainty. While a significant portion of the labour force is rooted in manufacturing there is high diversity across sectors including a broad manufacturing sector and a large public sector including hospitals, schools, the University of Guelph and municipal administration. The City continues to monitor the impacts of evolving tariff measures and other global economic factors closely as it plans for the years ahead.
About S&P Global Ratings
S&P Global Ratings, part of S&P Global Inc. (NYSE: SPGI), is the world’s leading provider of independent credit risk research. We publish more than a million credit ratings on debt issued by sovereign, municipal, corporate, and financial sector entities. With over 1,600 credit analysts in 27 countries, and more than 150 years’ experience of assessing credit risk, we offer a unique combination of global coverage and local insight. Our research and opinions about relative credit risk provide market participants with information that helps to support the growth of transparent, liquid debt markets worldwide.
Media Contact
Strategic Communications
[email protected]
City of Guelph
