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During a time of rapid urban growth and development, it is becoming ever more important to monitor the carbon fluxes of our cities. Unlike Canada's commercially managed forests that have a long history of inventory and modelling tools, there is both a lack of coordinated data and considerable uncertainty on assessment procedures for urban forest carbon. Nonetheless, independent studies have been carried out across Canada. To improve upon Canada's federal government reporting on carbon storage and sequestration by urban forests, this study builds on existing data to develop an updated assessment of carbon storage and sequestration for Canada's urban forests. Using canopy cover estimates derived from ortho-imagery and satellite imagery ranging from 2008 to 2012 and field-based urban forest inventory and assessment data from 16 Canadian cities and one US city, this study found that Canadian urban forests store approximately 27,297.8 kt C (− 37%, + 45%) in above and belowground biomass and sequester approximately 1497.7 kt C year−1 (− 26%, + 28%). In comparison with the previous national assessment of urban forest carbon, this study suggested that in urban areas carbon storage has been overestimated and carbon sequestration has been underestimated. Maximizing urban forest carbon sinks will contribute to Canada's mitigation efforts and, while being a smaller carbon sink compared to commercial forests, will also provide important ecosystem services and co-benefits to approximately 83% of Canadian people. [ABSTRACT FROM AUTHOR]