Generally, there's no advantage to substituting honey for sugar in a diabetes eating plan. Both honey and sugar will affect your blood sugar level.
Honey is sweeter than granulated sugar, so you might use a smaller amount of honey for sugar in some recipes. But honey actually has slightly more carbohydrates and more calories per teaspoon than does granulated sugar — so any calories and carbohydrates you save will be minimal.
If you prefer the taste of honey, go ahead and use it — but only in moderation. Be sure to count the carbohydrates in honey as part of your diabetes eating plan.