Press Release | Tri-Cities Chamber Reacts to Federal Budget 2021
(TRI-CITIES) April 23, 2021 – On April 19, the Government of Canada announced its 2021 Federal Budget, providing the clearest picture of the federal financial landscape and Canada’s economic recovery plan in over two years.
Budget 2021 includes $101.4 billion over three years in proposed investments as part of the Government of Canada’s growth plan to create jobs and support an economic recovery that will extend business and income support measures through to the fall while investing in job creation.
The Budget 2021 includes several announcements that will support business, economic growth, and job creation, as well as a number of others that will help build a strong federal economy.
Business Supports and Subsidies
- A new “Canada Recovery Hiring Program” will be available for businesses that continue to experience declines in revenues compared to before the pandemic and will help offset some of the extra costs of increasing wages or hours worked or hiring more staff. The subsidy will be available from June 6 to November 20, 2021.
- Extension of both the federal wage subsidy and the commercial rent subsidy until September 25, 2021. Both will gradually decrease the subsidy rate, beginning July 4, 2021, to ensure an orderly phaseout of the program as vaccinations are completed and the economy reopens.
- $30 billion over the next five years, plus $8.3 billion in ongoing funding to support developing and launching a national childcare program, aiming to reduce fees for childcare by 50% on average by 2022, with the target of reaching $10 per day by 2026.
- $960 million over three years, to Employment and Social Development Canada for a new Sectoral Workforce Solutions Program to help design and deliver training that is relevant especially to small and medium-sized businesses also to help recruit and retain a diverse and inclusive workforce.
Technology Adoption and Innovation
- An additional $1 billion over six years to the Universal Broadband Fund to support a more rapid rollout of broadband projects in collaboration with provinces and territories and other partners.
- $2.6 billion on a cash basis over four years to the Business Development Bank of Canada to help small and medium-sized businesses finance technology adoption.
- $2.2 billion in biomanufacturing and life sciences for developing greater domestic supply.
- 21 million over three years to work with provincial and territorial partners to enhance the capacity of the Internal Trade Secretariat that supports the Canadian Free Trade Agreement to accelerate the reduction of trade barriers within Canada.
- $1.9 billion over four years to recapitalize the National Trade Corridors Fund.
- $22.6 million over four years to Infrastructure Canada to conduct Canada’s first-ever National Infrastructure Assessment.
- $35 million to help establish in British Columbia the Centre for Innovation and Clean Energy to advance the scale-up and commercialization of clean technologies in B.C. and across Canada.
- $5 billion over seven years to the Net Zero Accelerator to support projects that will help decarbonize heavy industry, support clean technologies, and help accelerate domestic greenhouse gas emissions reductions by 2030.
- $319 million over seven years to support research, development, and demonstrations that would improve the commercial viability of carbon capture, utilization, and storage technologies, and will seek to also introduce an investment tax credit for capital invested in such projects.
- $4.4 billion to homeowners to provide interest-free loans worth up to $40,000 each to do retrofits and energy efficiency upgrades to homes.
- $1 billion to incentivize private sector capital into clean technology companies.
Tourism, Sports, Arts, and Culture
- $1 billion to support Canada’s tourism, major and local festivals, cultural events, heritage celebrations, amateur sports events, and to support investments by local tourism businesses in adapting their products and services to public health measures and other investments that will help them recover from the pandemic.
An additional $430 million in additional supports for the heritage, performing arts, sports, musicians and music venues, and cultural spaces.
The Tri-Cities Chamber of Commerce is optimistic with the initiatives announced in the budget and sees many as positives for businesses as they look to adapt and exit the pandemic. In this regard, the Chamber will continue engaging with the government on the implementation of these initiatives and will continue advocating for any additional measures that our businesses need not only to survive, but to thrive in the post-pandemic economy.
For more detailed information on the 2021 Federal Budget:
Federal Budget 2021 Website
Canadian Chamber of Commerce Federal Budget 2021 Statement
The Tri-Cities Chamber of Commerce is a proactive network of business-minded individuals that are committed to acting as an accessible, visible, supportive and reciprocal resource to our members and the Tri-Cities at large, communicating their collective voice to help shape a prosperous business community.
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For further information, please contact:
|Michael Hind, Chief Executive Officer|
Tri-Cities Chamber of Commerce
|Carlos Haddad, Policy &Communications Manager
Tri-Cities Chamber of Commerce