Budget Triggers Gas Price Hike | PC

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Wednesday, June 1, 2016

June 1, 2016


For Immediate Release


Budget Triggers Huge Increase at Gas Pumps Thursday, and Further Tax Increases Four Weeks Later


Keith Hutchings, Opposition Finance Critic, said, “The Liberals’ ‘yes’ vote on the 2016 Budget on Tuesday will hit people hard at the gas pumps on Thursday – an increase of over 20 cents - driving up the costs for families, food distributors, taxi drivers, tourists and – by implication – everyone in the province.”


Effective June 2, 2016, the tax on gasoline will rise from 16.5 cents per litre to 33 cents per litre. The tax rate on diesel products will increase by 5 cents per litre. The tax rate for aviation fuel will increase by 1.8 cents per litre.


On July 1, the HST will increase by two points, further raising the costs to families, but the HST credit that the PC government increased to protect vulnerable families in 2015 has been clawed back by the Liberals.


Hutchings said, “The terrible choices the Liberals have made in Budget 2016 were not the only options and certainly not the best options for Newfoundland and Labrador. They will hit families hard and crush our economy when it’s at its most vulnerable, weakening our prospects for recovery. By raising the cost of freight, they will raise the cost of food. And they will crush the tourism sector at the very time when we need tourism revenue most. They will raise the cost of doing business and make our employers less competitive.


"This is why we urged Liberals to listen to people and vote down the Budget in favour of better options. Sadly, the constituents they ignored are now going to reap the consequences of their rubber stamp of approval for this terrible Budget.”




Media Contact:


Heather MacLean,


Director of Communications,


Office of the Official Opposition,


(709) 729 6105,




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