Province commits $10 million toward planning for East Gwillimbury facility and Newmarket upgrades
Investment aims to serve more than 250,000 residents across northern York Region and southern Simcoe County
The Ontario government is moving forward with plans to expand hospital capacity in one of the province’s fastest-growing regions, committing $10 million to support early planning for a new acute care hospital in East Gwillimbury and the redevelopment of Southlake Health’s existing facility in Newmarket.
The projects are designed to improve access to hospital services for more than 250,000 residents across northern York Region and southern Simcoe County, where population growth and aging demographics are placing increasing pressure on health infrastructure.
“Our government is delivering on our plan to protect Ontario’s health-care system by investing $64 billion to build and upgrade over 50 hospitals across the province,” said Doug Ford. “With today’s announcement of a new, state-of-the-art hospital in East Gwillimbury and the redevelopment of Southlake Health in Newmarket, we’re ensuring that people in York Region and Simcoe County have reliable access to world-class care for generations to come.”
New hospital to anchor distributed care network
The proposed East Gwillimbury hospital is part of a broader “distributed health network” model intended to deliver integrated care across multiple sites. The new facility, planned near the future Bradford Bypass corridor, would expand access to a range of services including surgery, orthopedics, rehabilitation, maternal and child health, and pediatric mental health.
Plans also call for increased inpatient capacity, a new emergency department with diagnostic imaging, and upgraded infection prevention and control systems.
“This investment for a new hospital and redeveloped facilities at Southlake Health is another important step in building a stronger health-care system in York Region and Simcoe County that will connect more people and families to the care they need,” said Sylvia Jones.
Redevelopment to modernize existing Southlake site
Alongside the new build, the current Southlake Hospital in Newmarket will undergo significant renovation and expansion. The redevelopment will add inpatient beds, expand emergency capacity, and modernize infrastructure to better accommodate rising patient volumes.
The two facilities are expected to operate in tandem, improving system efficiency and reducing strain on emergency departments.
“today marks a defining moment for Southlake Health as we take a major step forward in transforming care across northern York Region and southern Simcoe County,” said Paul Woods, President and CEO of Southlake Health. “The Government of Ontario’s investment and endorsement of our vision to build a Distributed Health Network will create a more integrated, sustainable local health-care system for generations to come. We are grateful to Premier Ford, Minister Jones and all our provincial and municipal partners for their leadership. Together, we will continue to deliver leading-edge care, close to home.”
Broader regional health investments
The announcement builds on several recent provincial investments in the region’s health-care system. These include funding for expanded primary care teams in Georgina, a new Southlake Family Health Team, and upgrades to mental health, cancer care, and diagnostic imaging services.
Notable allocations include more than $6.5 million to expand Southlake’s Adult Inpatient Mental Health Unit, $5.3 million for cancer care enhancements including a new linear accelerator, and $3.8 million for advanced imaging equipment.
The province says these investments align with its broader strategy, “Your Health: A Plan for Connected and Convenient Care,” which emphasizes faster access and integrated service delivery.
Political and municipal leaders back expansion
Local MPPs and municipal leaders framed the project as critical infrastructure to support rapid population growth.
“After opening the state-of-the-art Cortellucci Vaughan Hospital, our government is investing in another net-new hospital for families in King and Vaughan. This new hospital, along with redevelopment of existing Southlake infrastructure, will deliver better health care, closer to home. Next year, we will start construction on the York University School of Medicine in Vaughan and open a new long-term care home in King, and this year, we are formally giving the green light to build a new acute care hospital for the benefit of our families, seniors and future generations.” said Stephen Lecce.
“Our government is delivering on our plan to bring high-quality care closer to home by modernizing the current Southlake Hospital and building a new acute care hospital in East Gwillimbury. Through these investments, the new acute care hospital will deliver more beds and a new emergency centre that will work in partnership with the newly renovated Southlake Hospital to serve our growing communities.” added Caroline Mulroney.
Municipal leaders also emphasized the long-term regional impact.
“The expansion of the Southlake Health Distributed Health Network regionally and into East Gwillimbury will ensure our growing communities have access to high-quality health care close to home,” said Virginia Hackson.
Next steps and timeline
The Ministry of Health is now working with Southlake Health to complete early planning, including determining the size and capacity of the new hospital. A construction timeline will be established once planning is finalized and contracts are awarded.
Over the next decade, Ontario plans to invest approximately $64 billion in health infrastructure, including more than 50 hospital projects and roughly 3,000 new hospital beds across the province.
For Southlake Health, the expansion marks a significant step toward addressing long-standing capacity challenges while positioning the region for future growth in demand for health services.

