Newly minted Premier John Hogan says he'll axe controversial sugar tax

Elizabeth Whitten · CBC News

· Posted: May 12, 2025 3:17 PM EDT | Last Updated: 4 minutes ago

Newfoundland and Labrador's newest premier says he's cutting a arguable taxation that was meant to deter radical from buying sweetened beverages — a determination helium says is motivated by nationalist concerns astir affordability.

The Sugar Sweetened Beverage Tax, besides known arsenic the sweetener tax, was introduced successful 2022 nether erstwhile premier Andrew Furey. It added 20 cents to the outgo of each litre of sweetener sweetened beverages. In the tax's first year, the provincial authorities took successful $11 million.

The announcement to repeal the taxation was made connected the level of the House of Assembly by Premier John Hogan on Monday afternoon, during the archetypal sitting of the outpouring session.

"This is the archetypal authoritative afloat time connected the job, truthful it'll instrumentality a small spot of clip to enactment done legislative and regulatory mechanisms to spot however we bash it," Hogan told reporters aft question period.

He says helium already wrote to Finance Minister Siobhan Coady earlier connected Monday astir repealing the sweetener tax, but says she volition request clip to work with retailers on reversing 

He says helium came to the determination during the enactment campaign.

"It was beauteous wide passim the enactment run that affordability remains an contented for Newfoundlanders and Labradorians and it's a priority, arsenic I said, of theirs. So it's a precedence of our government," said Hogan.

The sweetener taxation was introduced to promote consumers to marque healthier beverage choices, but Hogan says his announcement isn't a concession the taxation wasn't moving arsenic intended and defended the impetus of the idea.

"I deliberation we request to proceed to absorption connected healthier choices and steadfast surviving successful Newfoundland and Labrador. And premier Furey surely focused connected the well-being of this state arsenic a cardinal constituent of Health Accord N.L." helium said.

Hogan says the provincial government volition proceed to look astatine however radical of the state tin beryllium healthier.

"In the expansive strategy of things, we request to proceed to look astatine different options for well-being," helium said.

'It's astir time,' says Wakeham

Progressive Conservative Leader Tony Wakeham, who has been calling for an extremity to the sweetener taxation since its inception, had reiterated his telephone connected the level of the House of Assembly up of Hogan's announcement.

"My archetypal absorption is, it's astir time. I've been talking astir that taxation since it was archetypal introduced arsenic a measurement to modify people's behaviours. It hasn't worked," said Wakeham.

"All it has efficaciously done is instrumentality millions of dollars retired of the pockets of [the] radical of Newfoundland and Labrador."

Wakeham says helium would person repealed the tax if his enactment formed authorities successful the adjacent provincial election, which has to hap by mid-October.

"And present I volition beryllium asking the premier erstwhile volition we walk authorities successful this league of the House — portion we're sitting present this week oregon adjacent week — to really bring successful the authorities to marque this happen? Or is this simply going to beryllium conscionable different announcement," helium said.

Wakeham says helium intends to clasp the Liberal authorities accountable.

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