Business And Economic Strength Archives

Consumers get break as BC eliminating carbon tax April 1

March 26, 2025/in BizNews This Week, Business And Economic Strength, Chamber Awareness, Climate Change Solutions, Global Uncertainty, Government Federal, Government Provincial, Inflation And Rising Costs/by Jim Zeeben

Energy costs are set to go down starting April 1 as the province announced yesterday it will make good on its promise to eliminate the consumer carbon tax after the federal government promised to do the same.

BC’s tax adds about 17 cents per litre at the gas pump, and 15 cents per cubic metre of natural gas.

“The Province will continue to act on the commitment to battle climate change by ensuring people in British Columbia have affordable options to make sustainable choices and by encouraging industry to innovate,” the BC Ministry of Finance said in a statement.

Eliminating the tax will help businesses and individuals facing increasing costs and economic uncertainty due to the threats of tariffs and tradewar with the US.

The latest news on the tradewar is a 25% tariff on the auto industry imposed today. The action is expected to increase the cost of vehicles and cause generational chaos to automakers on both sides of the border.

The national Chamber network continues to work on mitigating the threat of tariffs. This week, the Canadian Chamber released a report on US cities that are the most export-dependent on Canada.

Chamber prepping for pro-business campaign

March 19, 2025/in BizNews This Week, Business And Economic Strength, Chamber Awareness, Government Federal/by Jim Zeeben

With a federal election expected to be called as soon as this Sunday, the Canadian Chamber is working on a toolkit that will make sure all political parties understand what businesses need.

The main message is that businesses are under threat. We need the next government to commit to going all-in on Canada. That means delivering on the promise of free trade between provinces, improving existing trade infrastructure and cutting red tape and taxes.

Canada could gain as much as 4% of our GDP by opening up east to west trade. We also require more investment in roads, rail, airports, pipelines and ports in order to grow our economy and fulfill our potential. And, perhaps most timely, there must be immediate relief from regulatory burdens and suffocating tax structures that constrict our private sector. We need to compete internationally and increase the size of our economy in order to sustainably fund the social programs that help improve everyone’s quality of life.

Inflation adds uncertainty to future interest rate cuts

March 19, 2025/in BizNews This Week, Business And Economic Strength, Global Uncertainty/by Jim Zeeben

A surprising uptick in inflation has increased the focus on April 2, when the world is expected to learn how the US administration will roll out tariffs aimed at changing the global economy.

Canada’s Consumer Price Index rose 2.6% year over year in February, following an increase of 1.9% in January. The Bank of Canada considers 2% its target for sustainable growth.

Some of the increase can be contributed to the end of the federal government’s GST holiday on Feb. 15. However, even categories not affected by the tax break rose more than expected.

The Bank of Canada’s next interest rate announcement is April 10. Currently, economists are calling for further cuts to the rate to spur the economy if tariffs are introduced on April 2. However, if Canada is spared from the threatened tariffs, the Bank is expected to hold to allow inflation to settle.

Jobless rate down, but unease being felt nationally

February 12, 2025/in BizNews This Week, Business And Economic Strength, Finding And Keeping Workers/by Jim Zeeben

Greater Victoria continues to have one of the lowest unemployment rates in the country, according to Statistics Canada’s latest numbers.

Our region had a rate of 3.6%, with 244,700 people working out of a labour force of 253,800. Nationally, the unemployment rate was 6.6%. Notably, fewer people are switching jobs likely because of the ongoing uncertainty of a looming trade war.

“The job changing rate, which measures the proportion of workers who remained employed from one month to the next but who had changed jobs, was 0.4% in January,” Statistics Canada reported. “This was lower than the corresponding proportion in January 2024 (0.5%) and lower than the pre-pandemic average for January from 2017 to 2019 (0.7%)”

The national job market was something cited by the Bank of Canada today when it released its Summary of Governing Council Deliberations explaining it’s decision to cut interest rates on Jan. 29.

“According to multiple indicators, the job market remained soft. The unemployment rate was 6.7% in December, with new entrants into the labour market — mostly younger workers and newcomers to Canada — finding it particularly hard to get a job,” the Bank said.

Trump takes to social media to threaten huge tariffs

November 27, 2024/in BizNews This Week, Business And Economic Strength, Chamber Awareness, Fair Rules, Global Uncertainty, Government Federal, Government Provincial/by Jim Zeeben

There’s the economy, and then there’s the attention economy. The incoming US President has seized the spotlight with his comments on his Truth Social platform calling for a 25% tariff on products from Canada.

The damage such a move would do to the Canadian and US economies makes this pronouncement shocking, which is likely what Donald Trump intended.

Chamber Board Chair Kris Wirk spoke to CFAX this morning about the issue, noting that the uncertainty is not helpful regardless of whether any tariffs are introduced.

Chamber CEO Bruce Williams said it’s easy for Trump to be loud on social media, but there has already been a tremendous amount of work behind the scenes to mitigate the damage tariffs would cause.

“We need to remember that this is a public relations tactic and probably much different than what will occur in reality,” Williams said. “Our national Chamber network has built strong relationships with states along Canada’s border. Their leaders understand the trade relationship with Canada and its importance to American jobs, factories and consumers. They’ll bring a strong voice to any negotiations.”

Speaking of the Canadian Chamber, new President and CEO Candace Laing has issued a statement condemning any attempt to hurt Canada’s economy.

“Being America’s ‘nice neighbour’ won’t get us anywhere in this situation. President-elect Trump’s intention to impose 25% tariffs signals that the U.S.-Canada trade relationship is no longer about mutual benefit. To him, it’s about winners and losers—with Canada on the losing end,” Laing said. “We’re facing a significant shift in the relationship between long-standing allies. Canada’s signature approach needs to evolve: we must be prepared to take a couple of punches if we’re going to stake out our position. It’s time to trade ‘sorry’ for ‘sorry, not sorry.’”

BC delegation to LA seeks film and TV productions

November 20, 2024/in BizNews This Week, Business And Economic Strength, Chamber Awareness/by Jim Zeeben

The Chamber applauds today’s announcement that the province is sending a delegation to the heart of Hollywood to encourage more productions in BC.

Film production in Greater Victoria has many benefits.

Movies and TV series promote the beauty of our region. Companies employ skilled workers on set and purchase from local suppliers. For example, the hit Netlfix show Maid generated more than $10 million in economic benefits for Greater Victoria.

The delegation is seeking investment in more major productions. BC is already one of North America’s largest motion-picture hubs. The industry supported more than 47,500 jobs and contributed $3.3 billion to the province’s GDP in 2022.

Back in the 1970s, the Chamber was the first organization to promote our region to film makers. We played an integral role in attracting producers of the movie Five Easy Pieces. Eventually, this led to the creation of the Vancouver Island South Film and Media Commission.

Greater Victoria cruise ship season concludes today

October 30, 2024/in BizNews This Week, Business And Economic Strength, Transportation Options/by Jim Zeeben

Today marks the end of cruise ship season as the Greater Victoria Harbour Authority welcomed the 316th ship to call at the Breakwater District at Ogden Point this year.

More than 700,000 passengers of about 930,000 that arrived here disembarked their ship and explored Victoria’s attractions, landmarks and restaurants.

“The industry remains a strong economic driver for Victoria. The Alaska itinerary is an important growth market,” GVHA CEO Robert Lewis-Manning said in a media release. “The GVHA team is already looking towards the future, with a similar number of cruise ship calls anticipated for 2025. We will continue listening to our communities and improving the cruise experience for passengers, local businesses and residents to ensure everyone benefits from this growing sector.”

Our cruise ship industry contributes $130 million annually to Greater Victoria’s economy and helps create 800 jobs. The Breakwater District at Ogden Point is Canada’s busiest port for ship calls.

“The Chamber has supported the development of our region’s cruise industry since ships began calling at Ogden Point. Every cruise ship season now provides a substantial contribution to our regional economy and its workforce,” Chamber CEO Bruce Williams said. “Of course, as with every industry, there are always challenges, especially around the environment. I think all of us take pride in our region’s well-deserved reputation for climate action leadership, and in the work being done locally by the cruise ship industry to reduce its carbon footprint. The Chamber will continue to support our community partners, and I expect we’ll see more innovations led by business brought in before the start of next year’s cruise season.”

Better policies key to helping small businesses grow

October 23, 2024/in BizNews This Week, Business And Economic Strength, Chamber Awareness, Finding And Keeping Workers, New And Established Businesses/by Jim Zeeben

It’s often said that small businesses are the backbone of their communities, and a new report shows that the numbers back up that claim.

The Canadian Chamber’s Business Data Lab recently published Scaling Success: Enabling Small Businesses to Grow. Among its findings are that nearly 70% of private-sector jobs are created by small businesses. The report also shows that businesses projecting high growth are typically between five and 19 employees, are owned by immigrants or visible minorities and have been operating between three and 10 years.

In order to grow, the biggest challenges facing businesses are access to financing and technology, as well as a supportive policy environment that provides opportunities to export.

Supersized interest rate cut aims to spur economy

October 23, 2024/in BizNews This Week, Business And Economic Strength, Global Uncertainty, Inflation And Rising Costs/by Jim Zeeben

Does today’s news from the Bank of Canada mark the start of better times? Maybe.

There is certainly plenty of buzz surrounding this morning’s announcement that the policy interest rate has been cut by 0.5% to stand at 3.75%. It’s the biggest drop since 2020, back when the bank needed to reassure an economy frozen by fear in the early days of the pandemic.

To better understand today’s situation, the following post by RBC is helpful. Cutting Through Interest Rate Chatter: What Interest Rate Changes Really Mean for You offers a few ways to think about today’s news. The cut has potentially created a “sweet spot” for first-time home buyers. As more people decide the time is right to list their house, buyers might be able to take advantage of a lag in prices before they return to previous levels.

Today’s rate cut is also welcome news for homeowners needing to renew mortgages. The landscape looks much better than it did before the Bank started its series of four straight rate cuts. Variable mortgage holders will also feel immediate relief with more money staying in their pockets or going toward their mortgage’s principal.

And best of all, more rate cuts appear to be on the horizon. According to the Bank of Canada’s Governing Council, it will continue to lower the rate if the economy stays on its expected path.

Go beyond the headlines to learn about BC Ferries

October 17, 2024/in BizNews This Week, Business And Economic Strength, Chamber Awareness, Transportation Options/by Jim Zeeben

It’s not an overstatement to say Greater Victoria depends on BC Ferries to connect us to the world. We rely on this iconic institution for so many of our material needs, from groceries to industrial supplies, and for our connections to family and friends. However, hardly a day goes by without BC Ferries making headlines for sailing waits, electioneering promises or plans for new vessels.

With mounting pressures on transportation and tourism, it’s vital for businesses in our region to understand the state of our primary route off Island. The Chamber is helping our community stay informed by hosting BC Ferries CEO Nicolas Jimenez on Nov. 26.

Reserve your spot now and submit your questions to hear firsthand about the future of ferries in our region.

Register now for BC Ferries Business Leader Luncheon