- Ottawa temporarily removed the fuel excise tax from retail gas sales in April, a measure that will expire on Sept. 7.
- Pierre Poilievre called on Prime Minister Mark Carney on Aug. 6 to 'cancel the hike.'
- Ontario Premier Doug Ford asked Carney to extend the suspension until at least Jan. 1, 2027.
- Poilievre reiterated his call in a letter on Sunday, arguing the tax should remain paused until at least Canada Day 2027.
- The tax is set to return on Labour Day (Sept. 7/8), with potential increases of 10-11 cents per litre.
- Canadians are struggling with the cost of living, and Poilievre noted that gas prices are rising again while grocery price inflation remains high.
- Current fuel prices are not meaningfully lower than the prices that Manitobans were facing at the pump when Carney cut the gas tax in the first place.
- Leger polling shows that 63 per cent of Canadians oppose the federal government hiking the fuel tax back up.
- Manitoba drivers are already facing high gas prices, with the price of gasoline in Manitoba at about $1.65 per litre, an increase of about 43 cents per litre since March 1.
Conservative Leader Pierre Poilievre is pressing Prime Minister Mark Carney to maintain the suspension of Canada’s fuel excise tax until Canada Day 2027, as Manitoba grapples with rising gas prices and inflation. The tax pause, which began in April, is set to expire on September 7.24
In a letter to Carney, Poilievre emphasized that “when Conservatives first called on you to take all federal taxes off gas and diesel until the new year, Canadians were already struggling with the cost of living.” He noted that conditions have worsened, with gas prices climbing and grocery inflation remaining high. A report from the Organisation for Economic Co-operation and Development indicated that Canada has the highest food price increases in the G7.6
Currently, the national average price for regular gasoline in Canada is approximately CAD$1.67 per litre, up from CAD$1.64 a week ago and CAD$1.33 a year prior. The Canadian Automobile Association reports that drivers have been saving about 10 cents per litre on gasoline due to the tax pause, but this relief is set to end with the planned tax hike on September 8, which could increase costs by about $7 for a minivan and $10 for a pickup truck.
Polling shows that 63% of Canadians oppose the federal government reinstating the fuel tax, with 76% in Manitoba and Saskatchewan wanting to keep the tax cut. Poilievre argues that a tax hike on fuel translates to a tax hike on everything, urging Carney to reconsider the planned increase.
As the situation unfolds, Manitoba Premier Wab Kinew and Ontario Premier Doug Ford have also called for the tax hike to be canceled, highlighting the need for government action to alleviate financial pressures on Canadians.
“The tax pause has saved drivers 10 cents per litre on gasoline and 4 cents on diesel, but its expiry could add 10-11 cents per litre. Leger polling shows 63% of Canadians oppose the hike, with opposition strongest in the Prairies at 76%.”
Global News
