February 18, 2026

The Honourable Craig Pardy
Department of Finance

Re: Newfoundland and Labrador Pre-Budget Submission

Minister Pardy,

The chamber of commerce movement in Atlantic Canada is a coordinated, community-embedded network that reaches thousands of small businesses across the four provinces. Within this network, the Atlantic Chamber of Commerce (ACC) serves and engages the 21 chambers of commerce and boards of trade located in Newfoundland and Labrador, providing a shared platform for collaboration, insight, and regional advocacy.

Local chambers provide on-the-ground intelligence and direct support to entrepreneurs, while the ACC strengthens this work through regional alignment and shared advocacy. National partners, including the Chambers of the Federation and the Canadian Chamber of Commerce, ensure that local business priorities from our region influence national economic policy.

If your government is aiming to support small business at the grassroots level, investing in a partnership with local chambers is one of the most effective tools available. Chambers and boards of trade have the trust, reach, and channels to deliver programs quickly and credibly. An investment in this network strengthens small business, builds community capacity and aligns local action with regional and national economic priorities

The ACC submits the following items for consideration for Budget 2026/27.

1. Regulatory Burden
Reducing regulatory burden remains the most efficient way that your government can lower the cost of doing business. Newfoundland and Labrador should adopt a proactive regulatory approach and legislate a permanent commitment to reduce the total compliance burden by at least 25% over the next five years, with annual public reporting on progress. Every new regulation should require a competitiveness impact assessment, and government should introduce a Standard Cost Model (SCM) framework to systematically measure administrative and compliance costs in both dollars and hours for businesses and citizens. Widely regarded as the gold standard in leading red-tape-reduction jurisdictions, SCM delivers transparent, evidence-based measurements that allow governments to set ambitious yet achievable targets, track real savings for businesses and individuals, and demonstrate tangible progress to the public. Newfoundland and Labrador should also establish an office dedicated to the proactive reduction of regulatory burden and to oversee the measurement, tracking, and analysis of private sector burden and position Newfoundland and Labrador as a leader in regulatory burden reduction in Atlantic Canada.

2.Comprehensive Tax Review

The Government should initiate a comprehensive provincial tax review to assess whether the existing tax framework promotes fiscal responsibility and economic equity. This effort should aim to evaluate the overall effectiveness and efficiency of the entire tax system in Newfoundland and Labrador by streamlining the tax code to lower compliance costs for individuals and businesses, making obligations simpler to understand and meet. By reducing complexity and eliminating unnecessary barriers, a modernized system could boost economic participation, attract greater investment from both domestic and international sources, and enhance the province’s competitiveness.

3. Access to Qualified Talent

Labour shortages in critical trades and sectors continue to pose a significant challenge to Newfoundland and Labrador's economic development, limiting the province's ability to meet demands in key areas such as construction, healthcare, manufacturing, oil and gas, mining, aquaculture, and emerging renewable energy/hydrogen projects.

With major retirements projected and competition for workers amid large-scale developments, the Government of Newfoundland and Labrador should introduce the following:

• a refundable tax credit incentive, such as a rebate on provincial income tax paid on the first $50,000 of earnings, for apprentices and workers under the age of 30 in designated high-demand occupations. This would enhance the province's competitiveness in attracting and retaining talent from across Canada and internationally and would build on existing supports currently in place. By implementing this incentive, the government could accelerate workforce growth, support training and apprenticeship completions, close skills gaps, and foster innovation in vital industries, ultimately contributing to sustained productivity gains and economic resilience for businesses and communities throughout Newfoundland and Labrador.
• Invest in training and capacity for local chambers and industry associations to facilitate the Talent Pipeline Management model. A new to Canada approach for building talent pipelines for upcoming projects that will require a planned approach to workforce development. We canwork with your government on an investment to grow the workforce in NL. Learn more here: https://www.atlanticchamber.ca/talent-pipeline-management

4. Atlantic Graduate Retention Tax Credit

The Atlantic Chamber of Commerce, in partnership with Chambers of Commerce and Boards of Trade from across the region to develop an Atlantic Population Growth Strategy. One of the primary recommendations for Governments is to implement an Atlantic Graduate Retention Tax Credit (AGRTC). The AGRTC would create an incentive for domestic and international graduates to remain in Atlantic Canada for at least three years, addressing retention challenges and workforce gaps. The Government of Newfoundland and Labrador should implement an AGRTC and implore its Atlantic counterparts to also pursue implementation.

The ACC is requesting to meet to discuss how we can support your government’s efforts to improve economic conditions for all businesses to thrive and prosper.

Sincerely,
Rhonda Tulk-Lane
President & CEO
Atlantic Chamber of Commerce