February 27, 2026

The Honourable Rob Lantz                                                                               
Premier of Prince Edward Island
 
Dear Premier Lantz,

We welcome the recent establishment of the Cabinet Committee on Fiscal Responsibility and Red Tape Reduction as a timely and important step toward addressing administrative burdens and improving government efficiency in Prince Edward Island (PEI). As the recognized voice of business across Atlantic Canada, the Atlantic Chamber of Commerce sees firsthand, through our network of local chambers and the more than 16,000 businesses we represent, how excessive regulation limits growth, discourages innovation, and weakens competitiveness for small businesses in PEI and beyond. At a time when businesses are facing rising costs and global economic uncertainty, this committee's mandate to reduce red tape across departments and streamline services aligns closely with the priorities of the business community. Government action in this area is essential to creating a business climate that attracts investment, supports job creation, and strengthens long-term economic sustainability across the region.

Reducing regulatory burden remains one of the most effective tools available to lower the cost of doing business and deliver real value to Islanders. Building on the committee's important work, we ask your government to commit to reducing regulatory burden by at least 25 percent over the next five years, supported by transparent annual public reporting on progress. Every new regulation should be subject to a competitiveness impact assessment to ensure it does not unnecessarily restrict economic activity.

To help achieve and support the committee's mandate, we recommend the following three practical measures:

1. Implement a Standard Cost Model (SCM) to measure administrative and compliance costs in both dollars and hours. Widely recognized as the gold standard in leading red-tape-reduction jurisdictions, the SCM provides transparent, evidence-based measurement. It would enable the committee to set credible targets, track measurable savings for businesses, and demonstrate real progress in reducing unnecessary burdens. More information about SCM can be found here.
2. Establish a dedicated unit within government, ideally reporting directly to you as Premier, to measure, track, and analyze private-sector regulatory burden. This unit would reinforce that regulatory efficiency is a whole-of-government priority, provide ongoing data to inform the committee's reviews, and help position PEI as a leader in regulatory modernization across Atlantic Canada.
3. Create a task force that includes representation from the Atlantic Chamber of Commerce, our affiliated PEI chambers of commerce and boards of trade, and key business organizations. Our network is well positioned to identify unnecessary barriers from the front lines and help design practical, workable solutions. Sustained collaboration with the private sector would accelerate the committee's results, ensure recommendations are grounded in real-world experience, and deliver measurable benefits for Islanders.