B.C. Premier John Horgan and Independent MLA Andrew Weaver talk before the NDP government’s throne speech, B.C. Legislature, Feb. 11, 2020. (Chad Hipolito/The Canadian Press)

Budget 2020: Weaver ‘delighted,’ minority B.C. NDP stable

Project spending soars along with B.C.’s capital debt

The B.C. NDP government’s latest budget carries on with its post-election program of subsidized housing, climate measures and taxes, while building up capital debt to record levels for hospital upgrades, transportation and other public works.

“The scale of change is staggering,” Finance Minister Carole James told the legislature as she presented the third full budget of the minority NDP government this week. “$18 billion worth of work is happening in all corners of the province.”

B.C. Liberal opposition critics pointed to stalled housing numbers and other signs of an economic slowdown, and tax increases including extension of provincial sales tax to streaming services. B.C.’s core natural resource revenues are also expected to remain low over three years, down by almost $1 billion from two years ago due to low lumber, coal and natural gas prices.

The budget offered little new for the forest industry, as loggers rallied outside the legislature, with a $13 million fund to pursue the government’s waste wood recovery and delivery of a $69 million package for communities that have lost sawmills.

The budget adds a new top tax bracket for high income earners, and extends the seven per cent sales tax to sweetened carbonated drinks, including sugar-free products.

RELATED: B.C. Liberals blast ‘Netflix tax,’ lack of economic plan

RELATED: ‘Sweet drinks tax’ isn’t just on sugar, diet pop hit too

RELATED: NDP taps top tax bracket again for new revenue

Former B.C. Green leader Andrew Weaver said he is “delighted” with the budget, including one of its few new spending measures, a grant program for post-secondary studies including diplomas and certificates under two years.

Now sitting as an independent, Weaver has pledged to continue supporting the NDP minority through the spring budget, despite his opposition to the government’s Site C dam and LNG Canada commitments.

The capital plan for three years is $7.4 billion for projects including highway projects in Delta, Langley and on the south coast of Vancouver Island, the Pattullo Bridge replacement for Surrey, the Broadway subway in Vancouver and further four-laning of the Kicking Horse Canyon.

The budget projects a $91 million deficit for the Insurance Corp. of B.C. for the current year, with small surpluses in the next two years as Attorney General David Eby moves injury claims from courts to a civil resolution tribunal that is already handling smaller disputes. ICBC lost $2.5 billion in the previous two years.

The budget projects small operating surpluses for three years, helped by personal and business income tax revenue and strong employment from projects including the Trans Mountain and Coastal Gaslink projects.

Public project spending is set to push B.C.’s capital debt to $87.6 billion by 2022, but that level “remains very manageable at 17.1 per cent of Gross Domestic Product, said Bryan Yu, deputy chief economist at Central 1 Credit Union.


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

BC legislature

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

COVID-19: Daily update on the pandemic in Surrey, White Rock and beyond

APRIL 9: Abbotsford inmate diagnosed with COVID-19, temporary rent-supplement applications open

Semiahmoo First Nation declares local state of emergency

Parking lots, beach access on SFN lands closed due to COVID-19

South Surrey man aims to ease stress of pandemic with free online yoga

Patrick Aubert says his one-hour classes are about rest, recovery

Surrey RCMP say $14K in stolen phones recovered following investigation

Police say phones reportedly being sold on Facebook Marketplace

White Rock’s promenade to close to the public

Public access to popular waterfront walkway closing April 10: city

B.C., Alberta health ministers urge public to stay home Easter weekend

Regional politicians, online petition calling for closure of provincial border to non-essential traffic

Human rights complaint over city’s Pride flag tossed out

Kari Simpson’s attempt to block Langley City’s flag raising has failed

Abbotsford prison has confirmed COVID-19 case

Pacific Regional Treatment Centre is the third prison in B.C. in one week to confirm case

B.C.’s COVID-19 rent supplement starts taking applications

$300 to $500 to landlords for April, May and June if eligible

Canadian Olympian diagnosed with heart failure, possible exposure to COVID-19

Olympic soccer star Karina LeBlanc diagnosed with pleural effusion

B.C. unveils $5M for mental health supports during the COVID-19 pandemic

Will include virtual clinics and resources for British Columbians, including front-line workers

B.C. First Nations Health Authority launches virtual doctor program

Program to provide primary health care through COVID-19 pandemic

UPDATE: Canadians awake to extra COVID-19 emergency benefit money, feds clarify changes

The CRA and federal officials are working to clarify the confusion around payments

Most Read

l -->