Burnaby Hospital redevelopment halted as government cancels £1.7B contract

Years of fundraising and promises shattered as the province hits pause. Will Burnaby's overburdened hospital ever get its long-awaited upgrade?

, and Administrator

2026 May 2 . 12:12 AM

1 min read

The image shows a black and white drawing of a plan of a city with a lot of buildings, which is... — The image shows a black and white drawing of a plan of a city with a lot of buildings, which is believed to be the site of the Royal Hospital in London. The paper also has some text written on it, likely providing further details about the plan.

Burnaby Hospital redevelopment halted as government cancels £1.7B contract

The British Columbia government has cancelled the contract for the Burnaby Hospital redevelopment, citing budget concerns and the need for a 'reset'. The decision has sparked frustration, particularly as the community had already raised over £55 million to support the project. Officials insist the hospital will still be completed—but under a new plan. The scrapped contract was part of a £1.7 billion project listed on Infrastructure B.C.’s website. It included Phase 2 of the Burnaby Hospital expansion, which promised 160 new beds and a dedicated BC Cancer Centre. Despite the cancellation, the government has pledged to move forward with these elements.

The original project faced criticism for cost overruns and design changes that residents felt excluded from. Burnaby currently has one of the lowest hospital bed counts in the province, serving a population of over 500,000. The CEO of the Burnaby Hospital and Community Foundation called the cancellation 'deeply disappointing' after years of fundraising efforts. Authorities claim the decision will allow them to rebuild the project more responsibly. The hospital remains one of several healthcare developments recently paused or altered by the government.

Phase 2 of the Burnaby Hospital project, including the cancer centre and additional beds, will still go ahead under revised terms. The government’s move aims to control costs while delivering on its commitment. However, the delay leaves a community that raised millions in limbo as they wait for a new timeline.