A CALL TO EXTEND THE GAS TAX HOLIDAY PAST LABOUR DAY— August 11, 2026

Back in the spring the Federal Government put a pause on the Excise Tax on gas until Labour Day. Conservatives are calling on the Federal government to extend the pause and cut more gas taxes to give Canadians relief.

Canada is in the grips of a
cost-of-living crisis that is
impacting families, seniors,
farmers, truckers, businesses
and everyone.
Just last week
the OECD confirmed that energy
and food prices are the primary
drivers of inflation in Canada.
This is not surprising as the two
are related. Gas and diesel costs
impact the cost of growing food,
processing food, and shipping it
by truck or train. Other key goods
the economy needs are impacted
in a similar fashion.
Unless the excise tax holiday
is extended, the federal excise
tax would add another 10 cents per litre to
gasoline and 4 cents per litre to diesel on
September 8th.

Cutting gas taxes is the most
immediate thing we can do to bring
relief to low and middle income
Canadians on the cost of daily living.

What’s more is that Conservatives are
also calling on the Federal government to
remove the GST on gas and diesel and to
eliminate the new clean fuel regulations
and industrial carbon tax. These were
suggestions we made back in the spring,
but only the Federal excise tax was paused
at that point.
Taken together, these measures would
save around $20 per fill-up and about $500
for a family of four through the rest of the
year. The fuel regulations currently add
7 cents per litre, but will rise to cost Canadians
17 cents per litre by 2030, according to the
Federal Government’s own data.
The cost of these actions to the Federal
treasury from lost revenue would be
partially offset by the additional revenue the
government is already collecting as a result
of higher world oil prices.
Other countries have either reduced or
cut their gas tax entirely amid the surge
in prices, including Australia, Italy, Spain,
Ireland and Portugal.


A first step on the road back to
affordability:

The fact remains that Canada has
everything the world needs and wants.
We should be booming and looking to the
future with confidence. Diversifying trade,
attracting investment in our economy and
investing in port infrastructure are ways we
can seize the opportunities before us.
While this happens and our economy is
transformed, addressing the cost-of-living
crisis is essential. Cutting gas taxes is one
way that would have that immediate impact.
A dozen years ago, Canada had the most
prosperous middle class in the world. Let’s
continue to embrace ideas that restore
that promise.