Beer, wine – and competitive pricing – coming to Ontario corner stores by 2026

Premier Doug Ford says Ontarians will be able to buy beer, wine, cider and ready-to-drink cocktails in convenience stores and gas stations starting in January 2026.

Government officials say these are some of the biggest changes in alcohol sales in the history of the province, making Ontario just the second jurisdiction in Canada – after Quebec – to offer beer in corner stores and the first to offer ready-to-drink cocktails in those locations.

The move would fulfil a promise Ford made during the 2018 election and marks the second attempt the premier has made to put beer and wine in corner stores, previously passing but not enacting legislation to cancel an agreement with the Beer Store.

That agreement saw sales of beer and wine expanded to a maximum of 450 grocery stores across the province, with the Beer Store retaining exclusive rights to sell 12- and 24-packs of beer, and Ontario is announcing today that deal and those terms will end in 2025.

Officials say certain amounts of shelf space will have to be dedicated to small beer and wine producers.

Under Ford’s plan, eligible retail outlets across the province, including an estimated 6,700 convenience stores and another 1,800 grocery stores, will be able to set their own pricing – right now, all retail outlets have to adhere to pricing set by the Liquor Control Board of Ontario.

As part of the alcohol sales modernization, the government announced Thursday that it will introduce legislation to eliminate a 6.1 per cent basic tax on all on-site retail sales of 100 per cent Ontario wines, a move the industry has long urged.

Under the new plan, The Beer Store will continue to handle distribution and run its recycling program for five years.

The changes will be permitted because the province is not renewing its deal with The Beer Store

Since the end of prohibition, beer in Ontario has primarily been sold at The Beer Store which began as a collection of Canadian brewers. These days, two multinational companies – Molson Coors and Anheuser-Busch InBev – own a majority of the operation which has 424 locations across the province, giving it a huge competitive advantage.

In 2015, the Liberals under Kathleen Wynne unveiled the Master Framework Agreement (MFA) which allowed some grocery stores the opportunity to bid for beer-selling licenses. Currently, there are 450 grocery stores selling beer and wine across the province.

Shortly after Ford and the Conservatives took office, he attempted to cancel the MFA with the privately owned beer store only to find out it would cost the province millions of dollars to prematurely end the contract. Now, Ford is prepared to let the agreement expire in 2025, which would then pave the way for beer and wine sales across a number of retail outlets.

The Beer Store said the company looks forward to the next stage in its evolution.

“The agreement acknowledges the important role The Beer Store plays in the responsible sale of beer and ensures it will be able to continue its environmental stewardship for years to come through its recycling program and the Ontario Deposit Return Program,” the Beer Store wrote in a statement.

The government will work on providing an as-yet unspecified amount of increased funding for social responsibility initiatives, officials said.

Ontario’s auditor general said in a report this month that government officials have not consulted Public Health Ontario on the implications of the expansion of alcohol sales in recent years.

The Ontario Public Health Association raised concerns earlier this year about a possible expansion of alcohol sales, saying it would have negative health implications.

“Research and real-world evidence show that when alcohol becomes cheaper and more available, consumption increases, and so does alcohol-related harm,” the group wrote in a press release.

“Alcohol is the most widely used substance in Ontario, yet most people are not aware of the harm it can cause to their health.”

The Canadian Centre on Substance Use and Addiction, funded by Health Canada, said in a report this year that consuming more than two drinks per week constitutes a moderate health risk due to evidence linking alcohol to cancer.

Files from The Canadian Press were used in this report