Cutting Red Tape: Ontario’s Next Step Toward Business Growth 

The province of Ontario recently introduced the Building a More Competitive Economy Act (Bill 56) with a clear mission to make the province a faster, simpler place for business growth. 

In a marketplace where global competition is only a click away, this move signals that Ontario is prioritizing business growth at an accelerated pace. 

“This is about protecting Ontario’s competitive advantage because the status quo isn’t good enough. We’re cutting red tape to make government work better for people and smarter for business, so there’s faster service with less paperwork. These changes are delivering on our plan to protect Ontario: our economy, our jobs, and our future.” 
– Andrea Khanjin, Minister of Red Tape Reduction 

This article works through what Bill 56 means, how it impacts Ontario business growth, and why your company should understand more about it. 

 

About the Building a More Competitive Economy Act  

The Building a More Competitive Economy Act (Bill 56) aims to reduce regulatory and administrative burdens, speed up approvals, and increase labour mobility.  

Key elements: 

• The government has flagged around 11 major initiatives tied to Bill 56, covering everything from permits to labour mobility rules. 
• Among the technical details, amendments have been made to existing laws, including the Ontario Labour Mobility Act and the Regulated Health Professions Act, to streamline professional registration across provinces. 
• By focusing on sectors such as forestry, mining, and manufacturing, Bill 56 highlights efforts to shift from lengthy approvals toward more efficient processes. 

“We’re taking bold action to strengthen Ontario’s economy and position our province as a leader in competitiveness and innovation. By advancing labour mobility and making it easier for skilled workers to get to work, we’re helping businesses grow, filling critical labour gaps, and building a more resilient, self-sustaining economy that works for everyone.” 
-David Piccini, Minister of Labour, Immigration, Training and Skills Development 

In short, Bill 56 sets the legislative framework for faster decisions, fewer manual processes, and clearer pathways for business expansion. 

Why This Matters for Ontario Business Economics 

If your business is assessing growth, expansion, or funding investments in Ontario today, Bill 56 matters for three core reasons: 

Faster Approvals Mean Faster Time to Value 

For businesses that wait months or years for permits, approvals, or compliance checks, time equals cost. Bill 56 targets streamlining these processes. For example, miners in Ontario face historically long lead times, and government commentary notes that reform is underway. Shorter lead times improve planning certainty and reduce financing costs. 

Competitive Edge in a Global Marketplace  

Ontario is positioning itself to be the most competitive place in the G7 to do business. That implies lower administrative overhead, quicker expansions, and better responsiveness to changing market demands. For companies looking at global supply chains, investing in Ontario becomes more attractive. 

Government Funding and Investment Alignment 

The policy shift pairs well with access to government funding for business growth. Ontario offers a range of grants, loans, and tax credits aimed at manufacturers, exporters, and service firms. For example, our blog on Top Ontario Grants, Loans, and Tax Credits in 2025 outlines how funding support is active right now. When regulatory friction drops and funding is accessible, investment decisions become more compelling. 

For business leaders, this means new projects can be planned with more confidence by applying for funding and knowing the environment is more favourable—and a business can scale operations in Ontario with fewer hidden delays. 

How Your Ontario Business Can Act Now 

Here are practical steps for businesses to leverage this moment: 

Review Your Business Growth Plan 

If you have projects in manufacturing, forestry, export, or regional expansion, this is a good time to revisit them. Are regulatory approvals a bottleneck? Would more certainty change the ROI calculation? With Bill 56 in motion, those answers may shift. 

“Ontario’s forestry sector is the backbone of communities across the province and a key driver of our economy. By cutting red tape and modernizing forest management approvals, we’re helping mills, harvesters, and operators spend less time on paperwork and more time getting logs moving and trucks on the road. This is about building a stronger, more competitive Ontario and keeping good jobs here at home.”  
– Kevin Holland, Associate Minister of Forestry and Forest Products 

Review Your Government Funding Plan 

Visit our Government Funding Directory to see live programs, deadlines, and eligibility. Many Ontario programs are geared toward capital investment, innovation, workforce training, and export growth. Being eligible for funding today, plus operating in a more streamlined regulatory environment, enhances your competitive position. 

Engage with Policy Change Proactively 

While Bill 56 still requires passage and regulations, businesses can already engage with Ontario’s Red Tape Reduction initiatives, track upcoming digital portals for approvals, and prepare for faster labour mobility changes. Early movers will realize benefits before others. 

In the evolving landscape of Ontario business economics, Bill 56 marks a meaningful shift. It signals that reducing red tape is about actionable and strategic policy improvements. For businesses that act now, regulatory reform and funding support offer an updated operational landscape, including faster decisions, clearer processes, and stronger growth potential. 

Ready to take advantage of this moment? Our Canadian Government Funding team is here to help your business turn this policy shift into strategic opportunity. 

Whether you’re exploring expansion, modernizing operations, or applying for government funding, our team can guide your business every step of the way. Reach out today, and let’s get your next project moving.