Hi Renee, 

You can make low or no-sugar jams using recipes specially designed for lower sugar quantities, but do not try to simply reduce the sugar amount found in regular, high sugar jam recipes. If you reduce the sugar in a jam recipe that uses classic pectin (or no pectin), you'll end up with a jam that does not set up properly. What's worse, if you are using low-acid ingredients (like hot peppers) and you reduce the sugar, you could even end up with an unsafe product where the high moisture allows bacteria to grow. 

The easiest technique for making reduced sugar jam is to start with pectin designed for reduced sugar quantities. Many of the major pectin brands make a reduced sugar formulation, which uses a different type of pectin to create the jel with less sugar. Follow the manufacturer's instructions depending on the type of fruit you want to preserve. 

You can read our full article on low sugar jams and jellies here for more information: https://extension.oregonstate.edu/food/preservation/low-sugar-jams-jellies/fruit-spreads-sp-50-765

You also ask about using honey in your jam. Honey can be a great substitute, but in limited quantities. It has a stronger flavor than sugar, which may or may not be what you want in your final product. More importantly, it also adds more liquid to your recipe, which can affect the jel structure. We recommend that you substitute up to 1 cup of honey for 1 cup of sugar in a standard jam recipe when you are using commercially bought pectin.

Thanks for using Ask Extension!

Jared