Updated May 2026 • Verified government sources

Construction Grants Canada — Funding for Trades, Equipment & Hiring

There's no single "construction grant," but builders qualify for some of Canada's most generous trades, training, and equipment programs. From the $2,000 Apprenticeship Job Creation Tax Credit to Canada Job Grant training funds up to $10,000, the 30% Clean Technology ITC, and a new $6 billion federal trades plan, this guide maps what construction and trades businesses can actually claim in 2026, and what's closed.

$2,000
Per-apprentice AJCTC credit
$10,000
Canada Job Grant per employee
30%
Clean Technology ITC on equipment
$6B
Team Canada Strong trades plan
Published May 28, 2026 • By GrantCompass • Construction & trades funding

The short answer

Construction businesses in Canada draw on cross-sector programs rather than a single industry grant. The most reliable for builders are the Apprenticeship Job Creation Tax Credit (up to $2,000 per apprentice), the Canada Job Grant (up to $10,000 per employee for training, via provincial programs), the Clean Technology Investment Tax Credit (up to 30% on eligible equipment including heavy-duty zero-emission machinery), and provincial employer training grants. In 2026, the federal government also launched the $6 billion Team Canada Strong plan to recruit up to 100,000 trades workers, with up to $10,000 toward an apprentice's first-year salary. Watch the status: the old Apprenticeship Service is paused, and the Canada Digital Adoption Program is permanently closed.

Key facts at a glance

  • The Apprenticeship Job Creation Tax Credit (AJCTC) is 10% of eligible wages, up to $2,000 per apprentice per year. Source: Canada Revenue Agency.
  • The Canada Job Grant reimburses up to two-thirds of training costs, to a max of $10,000 per employee.
  • The Clean Technology ITC covers up to 30% of the capital cost of eligible clean equipment (2023-2033), including non-road zero-emission construction machinery. Source: Canada Revenue Agency.
  • Team Canada Strong ($6B, announced April 29, 2026) aims to recruit up to 100,000 Red Seal trades workers over five years. Source: Prime Minister of Canada.
  • The new Build Canada Apprenticeship Service offers up to $10,000 toward an apprentice's first-year salary.
  • A one-time $5,000 completion bonus plus a $400 weekly in-class top-up can total up to $16,000 per apprentice.
  • The Canada Digital Adoption Program (CDAP) is permanently closed; the $15K grant and $100K loan ended in 2024.

How construction funding works in Canada

Construction and trades businesses rarely find a program labelled "construction grant." Most Canadian government funding is cross-sector: hiring incentives, training grants, equipment tax credits, and clean-technology programs that any qualifying small business can access, construction included. The construction-specific advantage is the trades layer. Because construction is one of the most apprenticeship-heavy industries in Canada, the apprenticeship incentives, the Apprenticeship Job Creation Tax Credit, and the 2026 federal trades push are disproportionately valuable to builders compared with most other industries. Source: Employment and Social Development Canada.

The practical strategy is to stack the layers that fit your business: an incentive for hiring a first-year apprentice, the AJCTC tax credit for employing them, a Canada Job Grant for training existing crew, and the Clean Technology ITC if you buy eligible equipment. Each is administered separately, so a single project or year can touch several programs. The sections below cover each layer, with the current open, paused, or closed status flagged so you do not waste effort on a program that has ended.

Construction funding programs compared

What each major program funds, the headline amount, and its 2026 status for construction and trades businesses.

ProgramFundsHeadline amountStatus (2026)
Apprenticeship Job Creation Tax CreditEmploying an apprenticeUp to $2,000 / apprentice / yrOpen
Canada Job Grant (provincial)Training employeesUp to $10,000 / employeeOpen (varies by province)
Clean Technology ITCClean equipment / machineryUp to 30% of capital costOpen (to 2033)
Build Canada Apprenticeship ServiceHiring first-year apprenticesUp to $10,000 first-year salaryNew (2026, rolling out)
SR&ED Tax CreditR&D (incl. construction methods)35% / 15% on eligible R&DOpen
Apprenticeship Service (legacy)Hiring first-year apprenticesWas $5,000 / $10,000Paused (under review)
Canada Digital Adoption ProgramTechnology adoptionWas $15K grant + $100K loanClosed

The programs in detail

Verified terms, who each program suits, and a current-status read. Browse live details and deadlines for these and hundreds more in the GrantCompass directory.

Apprenticeship Job Creation Tax Credit (AJCTC)

Open
Up to $2,000 per eligible apprentice per year

The AJCTC is a non-refundable tax credit equal to 10% of the eligible salaries and wages paid to a qualifying apprentice, capped at $2,000 per apprentice per year. An eligible apprentice works in a prescribed Red Seal trade in the first two years of an apprenticeship contract registered with a federal, provincial, or territorial government. Because most construction trades, including electricians, plumbers, carpenters, welders, and heavy-equipment operators, are Red Seal trades, the AJCTC is one of the most broadly available construction incentives. Employers claim it on their corporate or individual income tax return using Form T2038. Source: Canada Revenue Agency, Apprenticeship Job Creation Tax Credit.

Best for
Employers with apprentices
Amount
10% of wages, max $2,000
Eligible
First 2 years, Red Seal trades
Status
Open (claim on return)

Canada Job Grant (provincial training grants)

Open (varies)
Up to $10,000 per employee for third-party training

The Canada Job Grant reimburses employers up to two-thirds of eligible third-party training costs, to a maximum of $10,000 per employee, and is delivered through ten provincial and territorial programs with differing rules. For construction crews, this funds safety certifications, equipment tickets, supervisory training, and software upskilling. Provincial examples: the B.C. Employer Training Grant covers up to 80% of costs (capped at $10,000 per employee and $300,000 per employer annually); the Canada-Alberta Job Grant reopened on February 3, 2026 with a $39 million pool; and Nova Scotia's WIPSI covers 100% of the first $10,000 for small businesses. The Canada-Ontario Job Grant was paused in November 2025 for review, so Ontario employers should confirm its status first. Source: provincial Canada Job Grant program pages.

Best for
Training existing crew
Reimbursement
Up to 2/3 (80% in BC)
Cap
$10,000 per employee
Status
Open (ON paused)

Clean Technology Investment Tax Credit

Open
Up to 30% of the capital cost of eligible clean equipment

The Clean Technology ITC is a refundable tax credit of up to 30% of the capital cost of eligible clean technology property acquired and available for use from March 28, 2023 to December 31, 2033 (dropping to 15% in 2034). For builders, the eligible categories that matter most are non-road zero-emission vehicles, including heavy-duty construction machinery, plus heat pumps (air-source and ground-source), solar PV and wind, stationary electrical storage, and charging equipment. The credit is available to taxable Canadian corporations, and the equipment must be situated in and used exclusively in Canada. This is the closest thing to an equipment grant for construction firms electrifying their fleet or sites. Source: Canada Revenue Agency, Clean Technology Investment Tax Credit.

Best for
Clean / electric equipment
Rate
Up to 30% (to 2033)
Eligible
Zero-emission machinery, heat pumps
Claimant
Taxable Canadian corporations

Build Canada Apprenticeship Service (Team Canada Strong)

New (2026)
Up to $10,000 toward an apprentice's first-year salary

Announced on April 29, 2026, Team Canada Strong is a $6 billion federal plan to recruit, train, and hire up to 100,000 new Red Seal trades workers over five years. Its employer-facing piece, the new Build Canada Apprenticeship Service, provides up to $10,000 toward an apprentice's first-year salary plus matching and navigation support for hiring and retention. For apprentices, the plan adds a one-time $5,000 completion bonus for Red Seal certification and a $400 weekly top-up during mandatory in-class training, up to $16,000 per apprentice on top of Employment Insurance, and aims to cut certification time in half. As a 2026 proposal, specific intake dates and rules are still rolling out; construction employers should monitor ESDC announcements. Source: Prime Minister of Canada, Team Canada Strong (April 29, 2026).

Best for
Hiring first-year apprentices
Employer support
Up to $10,000 first-year salary
Plan size
$6 billion / 100,000 workers
Status
Proposed 2026, rolling out

Apprenticeship Service (legacy program)

Paused / under review
Was $5,000 per first-year apprentice ($10,000 for equity groups)

The original federal Apprenticeship Service paid employers with 499 or fewer employees $5,000 for each new first-year apprentice hired in one of 39 Red Seal trades, or $10,000 if the apprentice was from an equity-deserving group. The program was placed under review in 2025 and new intake is paused as of 2026. It is being effectively superseded by the new Build Canada Apprenticeship Service under Team Canada Strong. Employers should treat the legacy $5,000 incentive as unavailable for new hires and watch for the replacement's launch details. Source: Employment and Social Development Canada, Apprenticeship Service.

Was for
Hiring first-year apprentices
Former amount
$5,000 / $10,000
Employer size
499 or fewer employees
Status
Paused (new intake)

Building something genuinely new? The SR&ED tax credit can apply

Construction firms developing novel building methods, materials, or processes, where the outcome is technologically uncertain, can claim the Scientific Research and Experimental Development (SR&ED) tax credit: a 35% refundable rate for CCPCs on the first $6M of eligible R&D (raised from $3M by Budget 2025) and 15% otherwise. Budget 2025 also restored capital expenditures as eligible, so specialized R&D equipment can count again.

Routine construction is not R&D, but prototyping a modular system, a new prefabrication technique, or a material that has not been done before may qualify. See the SR&ED Tax Credit guide to test your work against the three CRA criteria. Source: Canada Revenue Agency; Budget 2025.

Which program fits your construction business

A quick decision guide based on what you are trying to fund right now.

If you want to…

Hire a first-year apprentice
Watch for the new Build Canada Apprenticeship Service (up to $10,000 first-year salary), and claim the AJCTC ($2,000) once they are on payroll.
Train your existing crew
Use your province's Canada Job Grant, up to $10,000 per employee (80% in BC), for tickets, certifications, and supervisory training.
Buy clean or electric equipment
Claim the Clean Technology ITC, up to 30% of the capital cost of zero-emission machinery, heat pumps, or charging gear.
Buy conventional equipment
There's no broad grant; use the Canada Small Business Financing Program or provincial capital programs for repayable financing.
Develop a new building method
If it involves genuine technological uncertainty, claim SR&ED (35% refundable for CCPCs on the first $6M).

What's changed in 2026

The biggest news for construction is Team Canada Strong, announced April 29, 2026: a $6 billion, five-year plan to recruit up to 100,000 Red Seal trades workers. It directs $2 billion to paid, job-ready placements that lead into registered apprenticeships, $331 million over five years to modernize and speed up Red Seal certification, and $3.4 billion to completion support, including a $5,000 completion bonus and a $400 weekly top-up during in-class training. For trades-heavy construction firms, this is the most significant new federal funding stream in years. Source: Prime Minister of Canada; CBC News, April 2026.

On the loss side, the original Apprenticeship Service is paused while it is reviewed and folded into the new Build Canada Apprenticeship Service, and the Canada Digital Adoption Program is permanently closed, with no replacement for its $15,000 technology grant. Provincially, the Canada-Ontario Job Grant was paused in November 2025, while Alberta reopened its Job Grant in February 2026 and Nova Scotia launched the more generous WIPSI program. The lesson for 2026 is that program status is volatile, so verify a program is live before building your plan around it. Source: ESDC; provincial program pages; MNP CDAP analysis.

Common mistakes construction businesses make

Searching only for a "construction grant"

Most funding is cross-sector. Searching by activity, hiring, training, equipment, or green retrofit, surfaces far more eligible programs than searching by industry.

Missing the AJCTC at tax time

The Apprenticeship Job Creation Tax Credit is claimed on the corporate or personal return, not applied for separately. Firms with apprentices routinely leave the $2,000 per apprentice unclaimed.

Planning around paused or closed programs

The legacy Apprenticeship Service is paused and CDAP is closed. Confirm current status before counting on a program; the 2026 landscape changed fast.

Treating tax credits as cash up front

The AJCTC and Clean Technology ITC reduce taxes or arrive after filing, not before you spend. Plan cash flow assuming the benefit lands at year-end, not at purchase.

Calling routine work R&D

SR&ED requires genuine technological uncertainty. Standard construction, even difficult standard construction, does not qualify; only work that breaks new technical ground does.

Frequently asked questions

What grants are available for construction businesses in Canada in 2026?
Construction and trades businesses do not have a single dedicated grant; instead they draw on cross-sector programs. The most reliable for builders are: the Apprenticeship Job Creation Tax Credit (a non-refundable credit of up to $2,000 per eligible apprentice), the Canada Job Grant (which reimburses two-thirds of training costs up to $10,000 per employee, through provincial programs), the Clean Technology Investment Tax Credit (up to 30% of the capital cost of eligible equipment such as heavy-duty zero-emission machinery and heat pumps), and provincial employer training grants. Hiring incentives and wage subsidies add to this. Note that the original federal Apprenticeship Service was paused in 2025 and replaced by a new Build Canada Apprenticeship Service announced in April 2026.
How much is the Apprenticeship Job Creation Tax Credit for construction employers?
The Apprenticeship Job Creation Tax Credit (AJCTC) is a non-refundable tax credit equal to 10% of the eligible salaries and wages paid to a qualifying apprentice, to a maximum of $2,000 per apprentice per year. An eligible apprentice works in a prescribed (Red Seal) trade in the first two years of an apprenticeship contract registered with a federal, provincial, or territorial government. Most construction trades, electricians, plumbers, carpenters, welders, heavy-equipment operators, are Red Seal trades, so the AJCTC is one of the most broadly available construction incentives. Employers claim it on their corporate or individual return using Form T2038.
Can a construction company get funding to train its workers?
Yes. The Canada Job Grant, delivered through provincial and territorial programs, reimburses up to two-thirds of eligible third-party training costs to a maximum of $10,000 per employee. Provincial variants differ: the B.C. Employer Training Grant covers up to 80% of costs, capped at $10,000 per employee and $300,000 per employer per year; the Canada-Alberta Job Grant reopened on February 3, 2026 with a $39 million pool; and Nova Scotia's WIPSI covers 100% of the first $10,000 for small businesses. The Canada-Ontario Job Grant was paused in November 2025 for review, so Ontario construction employers should confirm its status before planning around it.
Are there grants for construction equipment in Canada?
There is no broad federal cash grant for general construction equipment, but the Clean Technology Investment Tax Credit covers up to 30% of the capital cost of eligible clean equipment, including non-road zero-emission vehicles such as heavy-duty construction machinery, heat pumps, and charging equipment, for taxable Canadian corporations. For conventional equipment, builders typically use repayable financing such as the Canada Small Business Financing Program (which can finance equipment and leasehold improvements) and provincial capital programs, rather than grants. Equipment purchased specifically for research and development may also qualify for the SR&ED tax credit after Budget 2025 restored capital expenditures as eligible.
What is Team Canada Strong and what does it offer construction businesses?
Team Canada Strong is a $6 billion federal plan announced on April 29, 2026 to recruit, train, and hire up to 100,000 new Red Seal trades workers over five years. For employers, the headline measure is the new Build Canada Apprenticeship Service, which provides up to $10,000 toward an apprentice's first-year salary plus matching and navigation support. For apprentices, it includes a one-time $5,000 completion bonus for obtaining Red Seal certification and a $400 weekly top-up during mandatory in-class training, up to $16,000 per apprentice in addition to Employment Insurance. The plan was proposed in 2026, so specific intake dates and program rules are still rolling out, and construction employers should monitor ESDC announcements.
Is the Canada Digital Adoption Program still available for construction companies?
No. The Canada Digital Adoption Program (CDAP), including the $15,000 Boost Your Business Technology grant and the $100,000 interest-free BDC loan, is permanently closed. It stopped accepting new Boost Your Business Technology applications on February 19, 2024 and was cancelled on March 26, 2024. There is no replacement program. Construction businesses looking to fund software, estimating tools, or project-management technology should look to provincial productivity and innovation programs and the Canada Small Business Financing Program instead.
Are there grants for green or sustainable construction in Canada?
Green construction funding in Canada flows mainly through tax credits and demonstration programs rather than open grants. The Clean Technology Investment Tax Credit gives up to 30% on eligible clean equipment. The Green Construction through Wood (GCWood) program, run by Natural Resources Canada, funds demonstration projects using advanced wood-based building products and modern methods of construction, though its current demonstration-project intake is closed. Provincial green building incentives and energy-retrofit rebates add further support. Builders should pair the federal Clean Technology ITC with whatever provincial energy or building-efficiency program applies in their region.
Do construction businesses qualify for the same grants as other small businesses?
Largely yes. Most Canadian government funding is cross-sector rather than industry-specific, so a construction SME competes for the same hiring, training, equipment, and clean-technology programs as any other small business. The construction-specific advantage is the trades layer: apprenticeship incentives, the Apprenticeship Job Creation Tax Credit, and the 2026 Team Canada Strong measures are far more relevant to construction than to most industries because construction is trades-heavy. The most efficient approach is to match your specific business stage, province, and activities (hiring, training, equipment, green retrofit) to the programs that fit, rather than searching for a single "construction grant."

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