St. John’s, NL, November 27, 2025 – As municipalities across Newfoundland and Labrador prepare their 2026 budgets, the Canadian Federation of Independent Business (CFIB) is calling for action on three pressing issues: the widening property tax gap, excessive red tape, and the need for fiscal discipline.
According to CFIB’s Atlantic municipal tax report, six in 10 Atlantic Canadian small businesses cite property taxes as the top concern, while 68% identify tax and regulatory costs as major constraints. These findings underscore the growing pressure on local entrepreneurs as councils finalize their spending plans.
“Small businesses continue to shoulder a disproportionate share of municipal property taxes,” said Jonathan Galgay, CFIB’s Director of Legislative Affairs for Newfoundland and Labrador. “Closing the property tax gap and reducing unnecessary regulatory burdens must be top priorities for councils as they finalize their budgets.”
CFIB’s Atlantic property tax gap report shows that commercial property tax rates are often more than double those of residential properties, creating an unfair and unsustainable gap. In fact, over 70% of business owners believe municipalities should make limiting property tax increases and closing the gap a priority.
“Municipal leaders have an opportunity to demonstrate real fiscal responsibility by controlling spending and avoiding further tax increases,” Galgay added. “Every dollar saved by municipalities helps keep local businesses competitive and communities thriving.”
CFIB is calling on municipalities to:
- Reduce the property tax gap between residential and commercial rates.1
- Cut red tape by streamlining permitting processes.2
- Adopt financial responsibility measures to limit spending growth and avoid unnecessary tax hikes.3
For media inquiries, please contact:
Jonathan Galgay
Director of Legislative Affairs, Newfoundland and Labrador
709-743-6069
Jonathan.galgay@cfib.ca
About CFIB
The Canadian Federation of Independent Business (CFIB) is Canada’s largest association of small- and medium-sized businesses with 100,000 members across every industry and region, including 1,700 in Newfoundland and Labrador. CFIB is dedicated to increasing business owners’ chances of success by driving policy change at all levels of government, providing expert advice and tools, and negotiating exclusive savings. Learn more at cfib.ca.
1 Atlantic property tax gap report
2 Provincial Red Tape Report Card
3 Atlantic municipal report
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