Federal government says it has found almost 500 ways to cut red tape

OTTAWA — The federal government says it has found almost 500 ways to streamline regulations and cut costs following a 60-day red tape review exercise.

Departments and agencies have published reports identifying measures to make them more efficient and eliminate complicated or redundant regulations or processes.

Examples include a Canada Border Services Agency proposal to end the rule requiring that travellers arriving in Canada only on their way to another country, be examined by the agency before making their way to their departing flight.

Transport Canada is looking to introduce rules for transporting certain low-risk dangerous goods by drone, while the Department of National Defence says it plans to streamline the Canadian Armed Forces grievance system.

Treasury Board President Shafqat Ali launched the red tape review in early July by asking ministers to review regulations in their portfolios.

Ali said in a media statement that a federal Red Tape Reduction Office, under the Treasury Board, will continue to work with stakeholders and regulators to move forward with the proposed initiatives.

“For example, the Office will be engaging with partners and stakeholders to undertake horizontal red tape reviews, which will further eliminate regulatory barriers for business and deliver better and faster regulatory service,” Ali said. “Provinces and territories will also be engaged to support a collaborative way forward.”

Martin Potvin, a spokesperson for the Treasury Board of Canada Secretariat, said in an email that each government department or agency is responsible for its initiatives, including moving forward with stakeholder consultations and next steps to support implementation.

Potvin said the Red Tape Reduction Office is providing a “leadership and coordination role” across federal organizations to accelerate red tape reduction, track and communicate results and improve accountability and transparency of the regulatory system.

Ali said the proposed initiatives could deliver some important benefits for Canadians, like faster access to new drugs. He said they will also support key economic sectors, like transportation or agriculture, by speeding up decision-making and streamlining processes to increase productivity.

“Reduced red tape will support Government of Canada priorities, like more efficient reviews of projects to drive economic growth, and greater collaboration with trading partners to reduce barriers and help get products to market faster,” Ali said.

Prime Minister Mark Carney promised the red tape review in his election campaign platform.

Carney said in a statement in July that the government has a mandate to spend less and invest more.

“To that end, we will remove red tape by eliminating outdated regulation,” he said. “It’s time to make government more efficient, make its processes more effective, and to catalyze more private capital so we can build the strongest economy in the G7.”

Bruce Campbell, an adjunct professor at York University and former executive director of the Canadian Centre for Policy Alternatives, warned in a recent CCPA article that the government’s red tape review is “bad news.”

“Reducing red tape is invariably accompanied by fiscal austerity, including cuts to regulatory agencies,” Campbell argued.

Campbell pointed out that the review comes after Finance Minister François-Philippe Champagne directed most ministers to find ways to cut program spending by 15 per cent over the next few years.

He said the review is also consistent with the Carney government’s Bill C-5, which allows it to fast-track major projects.

The Impact Assessment Agency of Canada — which is responsible for conducting federal reviews of major projects like mines, ports and dams for impacts including on the environment — said in its red tape progress report that it is “re-engineering” its processes so that all projects can receive federal approvals in two years or less.

The agency also said it will continue to improve its use of artificial intelligence tools to facilitate faster analysis and document production.

“We’ve seen this movie before,” Campbell said. “Government efforts to root out so-called red tape regulations have a long history. This deregulation trajectory has often compromised public safety — at times with catastrophic consequences.”

Goldy Hyder is president and CEO of the Business Council of Canada, which released a report on red tape last week. He said on social media Sunday that Canada is “drowning” in regulations.

Hyder said the system has become bloated, redundant and slow.

“The cost? A smaller economy, weaker investment, and fewer jobs,” he said. “In a time of geopolitical upheaval, there are many things beyond our control. But we can control our own rules and regulations. We can control how long it takes to build, expand, and invest in Canada.

“Regulatory reform isn’t about cutting corners or compromising. It’s about cutting duplication and designing rules that protect Canadians while also stimulating economic growth. Done right, regulation can be smart, competitive and fast.”

This report by The Canadian Press was first published Sept. 8, 2025.

Catherine Morrison, The Canadian Press