Some MPs concerned as feds plan to allow cabinet to exempt entities from certain laws

By Canadian Press on February 12, 2026.

OTTAWA — Some members of Parliament are slamming the Liberal government’s plan to give new powers to cabinet to exempt individuals or corporations from some federal laws.

The exemptions are being referred to as “regulatory sandboxes” and are contained in a clause in the government’s omnibus budget implementation bill, currently being debated at a House of Commons committee.

The clause would allow federal ministers to exempt individuals or corporations from non-criminal federal laws within their portfolios.

The Conflict of Interest Act would also still apply, the Treasury Board says.

Several MPs raised concerns about the clause at a House of Commons committee today, with some questioning whether the move could lead to conflicts of interest and whether the projects would be beneficial for the public.

Treasury Board President Shafqat Ali defended the government’s plan, saying the move would allow the government to speed up processes and that exemptions would only be allowed if they were determined to be in the public’s interest.

This report by The Canadian Press was first published Feb. 12, 2026.

Catherine Morrison, The Canadian Press