Ontario Premier Doug Ford introduced he’s set to increase the province’s gasoline tax reduce for an additional 12 months.
The Ontario authorities slashed costs on the pumps by 5.7 cents per litre in the summertime, which was set to run out on Dec. 31.
“Tomorrow, we will introduce legislation to extend the gas tax cut for another year, delivering some needed relief for drivers and businesses for one more year,” Ford mentioned at a Sunday information convention.
When the tax reduce was launched, Ford mentioned he would think about extending it if inflation stays excessive. On July 1, gasoline costs dropped round 11 cents in a single day within the Toronto-area, partially attributed to the tax reduce coming into impact.
The laws additionally reduce the associated fee of gas, which covers diesel, by 5.3 cents per litre.
“Extending the tax cut for an additional year will mean the average household will save $195. We know that every dollar helps,” Ford mentioned.
His remarks come a day earlier than the province is about to launch its fall economic statement.
A report two weeks in the past revealed Ontario is in good monetary form.
The province’s Financial Accountability Office initiatives a $100-million surplus on the finish of this fiscal 12 months, and an $8.5-billion surplus in 2027-28.
Finance Minister Peter Bethlenfalvy introduced in September that Ontario ended the final fiscal 12 months with a $2.1-billion surplus, a far cry from the $33-billion deficit projected within the finances, due to inflation and a robust financial system.
“Ontario, like the rest of the world, will continue to face economic challenges in the year ahead. This is why our government’s Fall Economic Statement will take a responsible approach to advance our plan to build while also being ready for any challenge that may come our way,” Bethlenfalvy mentioned.
With information from The Canadian Press.