Up to 20 per cent of restaurants could go under in early 2011: Move up the HST vote, says NDP
VANCOUVER - New Democrats are renewing their call to move up the HST referendum after the B.C. Restaurant and Foodservices Association said up to 20 per cent of existing restaurants could close in the first quarter of 2011.
“The B.C. Liberals have made a series of policy decisions that are decimating the restaurant industry,” said Spencer Chandra Herbert, the New Democrat tourism critic. “Some restaurants have already shut down, and today we learn that many more could be closing their doors for good.
“The B.C. Liberals must move up the HST referendum to give B.C. the economic certainty it needs, and rebuild consumer confidence.”
Ian Tostenson, President of the B.C. Restaurant and Foodservices Association said on CHNL radio today that, “You could see a net decrease of restaurants, and I would say anywhere from 10 to 20 per cent of that 12,000 could just evaporate in the first quarter of 2011.”
Tostenson also called for the HST vote to be moved up.
“It’s like a perfect storm for restaurants – B.C. Liberal policies mixed with traditionally slower months for restaurants,” said Chandra Herbert. “At a time when the B.C. Liberals should be doing what they can to help restaurants stay open, the leadership hopefuls are bickering over whether to allow British Columbians to have their say on the HST deception through a referendum.
“The HST has already shut down many restaurants, such as A Kettle of Fish in downtown Vancouver. The restaurant industry can’t weather much more.”
All B.C. Liberal leadership hopefuls support the HST. Chandra Herbert noted that while Christy Clark said in the fall she thought it was “high time” there was a referendum on the HST, once she announced she wanted to be premier, Clark changed her tune.
“British Columbians are tired of the B.C. Liberals’ doublespeak. Christy Clark needs to be clear with British Columbians. If she is going to cancel the referendum, will she commit to eliminating the HST?” said Chandra Herbert.
While Elections B.C. has started some preparations for the referendum, they have said they need four to six months to prepare.
Bruce Ralston, New Democrat finance critic, noted 3,400 jobs were lost in the accommodation and food services industry over the last year.
“There was a short spike in jobs for the Olympics, followed by a steep drop,” said Ralston. “But then in August, shortly after the HST took effect, 5,300 jobs were lost in the industry.
Ralston said B.C. had the worst job loss record in the country last month. Despite an increasing population, B.C. finished off 2010 with 1,900 fewer full-time jobs than it started the year with.
“The B.C. Liberals told British Columbians the HST was the single best thing they could do for the economy, but so far it feels like the single biggest anchor,” said Ralston.
Under the B.C. Liberal government, between 2001 and 2009, B.C. had the lowest growth in average hourly wages and the second-lowest growth in weekly wages in Canada.
The B.C. New Democrats’ vision for a strong, dynamic economy includes a fair and competitive tax environment, support for small business, fiscal responsibility, a fair minimum wage with predictable increases, and investment in green jobs to diversify our economic base.