Ottawa mayoral candidate Alex Lawson has unveiled a plan aimed at helping small businesses as part of his election platform, which includes increasing property tax cuts and implementing supports to tackle red tape. The City of Ottawa’s small business tax discount, implemented in 2022, provides small businesses with a 15 per cent reduction in commercial property taxes phased in over two years. If elected as Ottawa mayor later this month, Lawson says he will increase the tax cut for small businesses from 15 per cent to 25 per cent “with no-phase in” in his first budget. The Canadian Federation of Independent Business (CFIB) has previously advocated for the City of Ottawa to increase its small business property tax cut to 25 per cent. Toronto increased its small business commercial property tax discount to 20 per cent in its 2026 budget. “In 2022, Ottawa started giving small businesses a discount on the City’s share of their property tax. By 2023 it reached 15 per cent. It was the right idea. Then it was frozen,” Lawson said in his platform. “Business pays almost a quarter of Ottawa’s property tax. Over the last two years it brought in about four cents of every new tax dollar. When the base doesn’t grow, the rate goes up on everyone.” Lawson adds he will scrap patios fees entirely, including the first-time review fee and processing fee. Lawson says the tax cuts will cost the city about $8.4 million a year, or “roughly a quarter of one year’s new tax growth.” As part of his plan, Lawson says he will implement a “Report Red Tape” portal online and as a 311 option along with a public tracker that would include the status and outcome of the reports. Similar dedicated channels exist in Toronto and Red Deer, Alta., he says. “If it’s slowing you down, City Hall should hear about it,” said Lawson. Lawson also says he will ask staff to prepare a quarterly red tape report that would list the top ten complaints and what’s changed, while also reducing the number of permits it takes to open a restaurant, shop or home-contracted business. He will also ask the city’s auditor general to conduct value-for-money audits for two city departments to be reported before each annual budget. Finally, Lawson says he will implement policies that help businesses if the city needs to close streets and sidewalks to complete essential constitution work. Under Ontario law, municipalities are barred from directly compensating businesses for lost sales. Lawson says his plan focuses on what the city can control, including appointing a named businesses liaison for every major project, buying “open” signs, and penalizing contractors for late finishes. Lawson says he would like to see businesses on a street under construction for more than three months to be able to defer their property taxes and skip penalties, then repay it interest-free when the work ends. He says he will ask the province if the city has the authority to do so. “Roads need fixing. Pipes need replacing. Transit needs building. Nobody argues with that,” he said. “But when the city closes your street for a season, your customers go somewhere else. Today, when Ottawa starts work on your street, you get a notice, a project contact and a lane kept open where possible. Nothing in the plan is built around keeping your doors open.” He also says every major city project will get a “business impact check” before it starts and utilities and developers will have to pay for any lane closure by the day, rather than a flat fee. Incumbent mayoral candidate Mark Sutcliffe says, if re-elected, he will maintain the current small business tax reduction and eliminate patio fees. Sutcliffe has already announced plans to establish a dedicated small business and Business Improvement District (BIA) support team to create a single point of contact for permits, licensing, zoning and other issues. He says he will allow new businesses to defer property taxes interest-free in their first year of operation and the same for existing businesses during “periods of significant economic pressures.” He will also conduct an end-to-end review of costs and fees facing businesses and residents. Jeff Leiper has not made any specific tax pledges for small businesses but has said he would reverse the city’s five-day return-to-office mandate, arguing the move to force workers in the office could have a negative impact on suburban businesses. The veteran councillor says, if elected, he will launch a Meanwhile Leasing Program that matches empty storefronts downtown with small businesses, pop-ups or community organizations on flexible short-term leases. Neil Saravanamuttoo says he will launch a Main Street Safety Partnership that will bring together BIA’s, residents and advocacy organizations that would give businesses “a stronger voice in neighborhood safety planning.” Election day is Oct. 26. Lawson is one of 14 candidates vying for the city’s top job. The others, in alphabetical order, are: Queen Divine Priya Amber Bakshi, Zed Chebib, Bernard Couchman, Suraj Harish, Jeff Leiper, Geoff Nicholas, Josh Rachlis, Neil Saravanamuttoo, Ali Shayvard, Jacob Solomon, Mark Sutcliffe (incumbent), Amjad Ali Syed, and Peter Westaway.
