Ontario Premier Doug Ford announced that the province's gasoline tax cut is set to be extended for another year.

The Ontario government also reduced the gas tax by 5.7 cents per litre this summer, which was scheduled to end on December 31.

Ford said at a press conference on Sunday in North Etobicoke: "Tomorrow we will introduce legislation to extend the gasoline tax cuts for another year, providing some necessary relief for drivers and businesses for another year." When the tax cut was introduced, Ford said he would consider extending it if inflation remained high.

Also, on July 1, gas prices dropped by about 11 cents overnight in the Toronto area, partly attributed to the tax cuts coming into effect. The legislation also reduced fuel costs, which covers diesel, by 5.3 cents per litre.

"Extending the tax cut for another year means the average family will save $195," Ford added: "We know every dollar helps." His remarks come a day before the province prepares to release the economic fall statement, where a report two weeks ago revealed that Ontario is in a good financial position.

Similarly, the province's Financial Accountability Office expects a surplus of $100 million at the end of this fiscal year, and a surplus of $8.5 billion in 2027-28.

Finance Minister Peter Bethlenfalvy announced in September that Ontario ended the last fiscal year with a surplus of $2.1 billion, far from the $33 billion deficit expected in the budget, thanks to inflation and a strong economy.