Surrey Proposes Lower DCC's in 2026 Update

This week, Surrey Council approved an updated Development Cost Charge (DCC) bylaw for submission to the Province, proposing lower residential rates and a simplified fee structure aimed at supporting housing delivery and future growth.

Under the proposed framework, Surrey’s 2026 residential DCC rates would decrease by approximately 7% to 9% compared to 2024 levels, while still remaining competitive with other municipalities in the region. The City highlighted that DCCs for single and small scale housing in Surrey would sit well below comparable municipalities such as Langley, while townhouse DCC rates also remain relatively competitive within the broader market.

At the same time, Surrey is continuing to advance a broader growth funding strategy through the introduction of new Amenity Cost Charge (ACC) bylaws. These charges are intended to help fund recreation centres, libraries, parks, cultural facilities and other community amenities needed to support long term population growth.

According to the City, the ACC framework is expected to generate approximately $350 million over the next 10 years for city wide amenities, along with an additional $147 million over 30 years for the planned Newton Community Centre.

What is notable here is not necessarily that charges are being eliminated, because they are not. Rather, it is the apparent shift toward balancing infrastructure funding needs with the economic realities of housing delivery.

Over the last several years, the cumulative impact of DCCs, ACCs, CACs, servicing requirements, financing costs and construction inflation has created increasing pressure on development economics throughout the region. In many cases, projects simply have not penciled.

Surrey appears to be taking a more pragmatic approach by attempting to maintain infrastructure investment while also acknowledging that overly aggressive government charges can slow housing starts and limit new supply.

The updated DCC bylaw still requires Provincial approval before final adoption, while the ACC bylaws will continue through Council consideration alongside broader planning and zoning updates. Regardless, the direction is notable and will likely be watched closely by other municipalities across Metro Vancouver.