Premier Doug Ford announced today that he is giving drivers a break from the next increase in the province’s gas tax, stating it will save hundreds of millions of dollars.
The tax relief involves a provincial gas tax increase that was scheduled to take effect in a couple of months, which has now been canceled.
Premier Doug Ford says this latest tax measure aims to make life more affordable.
On July 1, 2020, Ford’s government cut Ontario’s gas tax from 14.7 cents to 9.0 cents per liter by reducing it by 5.7 cents.
Originally, the cut was set to expire on December 31, but Ford announced that it will remain in effect until next June.
“We’ll be extending this tax cut through to June 30, 2025, saving households approximately $380 a year over the three years since the cuts were first introduced,” Ford said.
He explained that the cut will assist people struggling to pay the increasing federal carbon tax.
Green Party leader Mike Schreiner criticized the tax cut as merely an election promise that will divert funds from essential services.
Ford also mentioned the possibility of discussing road toll reductions with the owners of Highway 407 west of Toronto, following recent toll cuts at the eastern end of the highway.
The NDP has proposed ending tolls for truckers on Highway 407.
Political commentator Keith Leslie remarked that any cut like that would be costly for the government.
“I just don’t think the math adds up for them to tackle the 407 at this point,” Leslie said.
Ford’s announcement comes just days before the province’s fall economic statement, with a significant giveaway of $200 expected for every resident in Ontario. No mention of that was made today.
The premier did not answer questions about when the next election could occur, only stating that he is focused on creating a strong economy and that the best is yet to come.