Mississauga City Council announced it has approved a motion to provide a municipal contribution towards Trillium Health Partners’ local share for the construction of The Peter Gilgan Mississauga Hospital and the Shah Family Hospital for Women and Children.
The $390 million contribution will be paid by January 1, 2033 with details on the terms of payment to be finalized during 2026 Budget discussions.
Council’s approval of the funding comes after lengthy negotiations between the Mayor, senior City staff and provincial officials, which has resulted in the City’s local share contribution being reduced by $60 million from the original request of $450 million.
“Mississauga Council is pleased to announce this agreement reached with Trillium Health Partners for a local share, much fairer to our taxpayers, supporting the construction of the new Peter Gilgan Mississauga Hospital. Council unanimously endorses this agreement for the development of a state-of-the-art healthcare facility. It will greatly benefit our community, which deserves timely, high-quality healthcare close to home. The THP Foundation has worked hard to reduce the local share required from the municipality. The City continues to work with the Province, exploring ways to reallocate some regional costs, enabling investment in the health and future well-being of our residents, without imposing undue financial pressure on taxpayers. This is a truly collaborative effort, establishing Mississauga as home to the largest community teaching hospital in Canada,” said Mayor Carolyn Parrish.

The demand for health care services provided by Trillium Health Partners is expected to increase by nearly seven times more than the average hospital in Ontario. The Peter Gilgan Mississauga Hospital and the Shah Family Hospital for Women and Children is the largest hospital project in Canadian history and is critical to meeting the healthcare needs of the rapidly growing City of Mississauga, as well as Peel Region and West Toronto.
The funds for the hospital contribution will be provided through the implementation of an annual hospital levy of up to 1 per cent per year, and the issuance of a debenture to cover any remaining shortfalls between the approved contribution amount and the balance of the levy collected as of January 1, 2033. Details of the funding model will be determined through the City’s 2026 Budget process.
“On behalf of the Board of Directors and the more than 17,000 people at Trillium Health Partners who care for the community, I extend our deepest gratitude to our city leaders, Mayor Carolyn Parrish and Council for this historic local share contribution towards The Peter Gilgan Mississauga Hospital and the Shah Family Hospital for Women and Children. This commitment represents more than an investment in our city’s services, it is a powerful declaration of our shared vision for a healthier, more connected, and more compassionate Mississauga. For generations, our city has grown through courage and innovation. With your support, we now take the next bold step in building Canada’s largest and most advanced hospital—one that will serve the evolving and complex needs of the people of Mississauga for generations to come,” said Karli Farrow, president and CEO, Trillium Health Partners.
Trillium Health Partners currently provides care for approximately 335,000 patients per year. The new hospital will bring 2,400 more health care workers and approximately 400 additional doctors to the community. In addition, construction of the new hospital will create approximately 3,000 construction jobs and contribute approximately $1 billion to the local economy over a decade.
The new hospital will be the largest community-based teaching hospital in Canada at 2.8 million square feet, 950 beds and 23 operating rooms.
Trillium Health Partners is also building Ontario’s first hospital dedicated to the specialized health care needs of women and children. When complete, the Shah Family Hospital for Women and Children will span 200,000 square feet and include one of the largest Neonatal Intensive Care Units in the province, and a full suite of highly specialized reproductive, gynecological and children’s health services for all people. Focused on reducing health inequity and nurturing diversity, the hospital will also include dedicated mental health inpatient beds for children and youth – a first for Mississauga.
Featured image: (City of Mississauga)