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

Community Gaming Grants program announces $3 million donation to Food Banks B.C.

Langley Food Bank is in great need of size six diapers, baby wipes, milk, and cheese donations

VIDEO: Young Langley residents celebrate their birthdays with personalized parades

Growing trend amid COVID-19 closures is having decorated vehicles honk past homes

Thieves caught in the act at Aldergrove go-cart track

Three weeks ago, the Langley Quarter Midget Association decided to upgrade security after a theft

What can people still do outside during COVID-19?

A list of ideas that can still be done in order to get a little exercise and fresh air

Canada expands 75% wage subsidy to COVID-19 affected businesses of all sizes: Trudeau

Program will provide up to $847 per week for each worker

IN DEPTH: How B.C. emptied its hospitals to prepare for COVID-19

Thousands of beds have been freed up, but patients and seniors have had to sacrifice

‘Nothing concrete’: Tenants, landlords lack details after B.C. unveils COVID-19 rental aid

Single mom in Golden says she’s already going to the food bank after being laid off

B.C. is seeing the highest rate of COVID-19 recovery in Canada, and there’s a few reasons why

British Columbia was one of the first to see rise in COVID-19 cases, and has also switched up testing

Crucial details of Ottawa’s proposed wage subsidy program expected today

The government has rolled out a bailout package totalling more than $200 billion

World COVID-19 morning update: Olympics delayed one year; 12,000 health care workers infected

Comprehensive world news update: Lockdown in UK showing signs of hope

Newspapers are safe to touch, World Health Organization confirms

Just make sure to wash your hands as you would after touching any surface or object

‘It’s up to us: Recently-returned B.C. couple urges Canadians to take COVID-19 seriously

Garrett Kucher and Tory Apostoliuk make it home after almost a week of lockdown in Spain

Most Read