Mark Carney scraps carbon tax on first day, signals early election

Canada's new prime minister unveils a smaller cabinet and moves quickly to reverse Trudeau's policies

Mark Carney assumed office as Canada's new prime minister and immediately took steps to dismantle a key policy of his predecessor, Justin Trudeau.

According to BNN Bloomberg, Carney announced the termination of the consumer carbon tax and hinted that Canadians should expect an early election.

On Friday, Carney was sworn in and presented his streamlined cabinet to Governor General Mary Simon.

Shortly after, he held the first meeting with his ministers before issuing an order-in-council reducing the carbon price to zero dollars.

Despite this, legislation related to the fuel charge remains in place. He also confirmed that those receiving the carbon rebate would get a final payment in April.

Carney suggested voters would soon have their say on his decisions.

Outside Rideau Hall, he told reporters, “We will be going to take some decisions,” adding that further announcements would follow in the coming days.

He stated that Canadians “certainly should expect to go to the polls before November.”

His cabinet features 23 ministers—12 men and 11 women—a significant reduction from Trudeau’s 36-person team.

The Prime Minister’s Office described the new cabinet as “leaner” and focused on economic and security priorities. It includes experienced ministers alongside fresh voices, but lacks representation from Alberta and Prince Edward Island.

Trudeau formally resigned in a private meeting with Simon before Carney’s swearing-in.

Later, he posted on social media, “Thank you, Canada—for trusting in me, for challenging me, and for granting me the privilege to serve.”

Among the high-profile attendees at Carney’s ceremony were former governors general Michaelle Jean and David Johnston, as well as Liberal party president Sachit Mehra and Chief of Defence Staff Jennie Carignan.

Carney’s first international trip as prime minister is scheduled for next week at the invitation of leaders from France and the UK.

While no official meeting is planned with US President Donald Trump, discussions are underway to schedule a call between them.

Conservative Leader Pierre Poilievre criticized Carney’s cabinet, calling it “the same Liberal gang with the same Liberal agenda” and dismissing the changes as “a little bit of cosmetic surgery.”

Meanwhile, NDP Leader Jagmeet Singh indicated he might support Carney’s government for a short period if it prioritizes protections for workers amid ongoing trade tensions.