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As summer draws to a close, vacations become cherished memories, and students prepare to return to school, Canadians are facing another September reality: a Liberal gas tax hike.
Beginning September 7, the federal government plans to increase the fuel excise tax by approximately ten cents per litre on gasoline and four cents per litre on diesel. This comes as Canadian drivers are already paying 17 cents more per litre than drivers in the United States.
Higher fuel costs do not stop at the gas pump. Fuel is an input into virtually every part of the economy. When it costs more to operate a truck, train, farm or delivery vehicle, those costs are ultimately reflected in the price of groceries, building materials and other everyday necessities. At a time when food prices in Canada are already rising faster than in any other G7 country, Canadians cannot afford additional costs.
Conservatives are calling on the Liberal government to cancel the September tax increase and adopt our Conservative plan that provides immediate relief. That means suspending all federal taxes on fuel until at least Canada Day 2027, after which a decision can be made to further extend this tax relief. This is in addition to our previous call to permanently scrap the Clean Fuel Standard and industrial carbon tax.
Under the full Conservative plan, drivers would save approximately 25 cents per litre, while a family of four would save roughly $1,200 per year.
These savings matter to Canadians, who have been clear that they want relief. A recent poll found that 63 per cent oppose bringing back the federal fuel excise tax in September, including 43 per cent who strongly oppose it. Opposition is strong across the country, with majorities in every region surveyed.
The Canadian Taxpayers Federation has also argued that the government is on track to spend approximately $6 billion more than budgeted, and that staying within its spending plan could create enough fiscal room to eliminate the federal fuel tax for a year.
The Liberals have no excuse. Canadians work hard for their money. The government should let them keep more of it.
Instead of increasing costs this September, Mark Carney should cancel the gas tax hike, remove federal tax on fuel until next Canada Day, and permanently eliminate the policies that drive up the cost of energy and transportation.
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