Ontario extends 5.7-cent gas tax cut to the end of the year

Ontario is extending a 5.7-cent per litre cut to the provincial gas tax until the end of the year.

Premier Doug Ford made the announcement today about one key affordability item that will be in the budget Tuesday.

Ford says it has never been more important to keep costs down for people, and he took the opportunity to rail against the increase to the federal carbon price set to take effect April 1, which he says will raise the cost of gas by three cents per litre.

The Ontario government launched its gas tax cut in July 2022 and has extended it several times since, and now the reduction – along with a 5.3-cent cut to the price of diesel fuel – will remain until Dec. 31, 2024.

Finance Minister Peter Bethlenfalvy says his budget will present a prudent and responsible plan to manage the province’s finances and provide targeted relief.

Help for drivers appears set to feature centrally in the budget, with the CBC reporting that auto insurance reforms will be a key part.