B.C.'s budget deficit lower than forecast at $5.5 billion: finance minister
COVID-19 is battering British Columbia's economy and the provincial government's bottom line, but the effects of the pandemic haven't been as bad as earlier feared, says Finance Minister Selina Robinson.
B.C.'s public accounts, which cover the 2020-21 fiscal year that ended March 31, show better budget numbers than originally forecast and stronger growth than much of Canada has experienced, she said Wednesday.
The deficit of $5.5 billion has come in almost $3 billion lower than was forecast for 2020-21 and the projected economic growth rate is above the national average, Robinson said at a news conference. The final numbers record a budget deficit of $5.46 billion compared to the original forecast of almost $8.2 billion.
The strength of B.C.'s economy helped keep the province's finances on stable ground, said Robinson.
“I'm pleased to say that given the uncertain times that we were all dealing with this last year, the year-end provincial financial statements look significantly better than our worst-case scenario projection,” she said.
Economic growth in B.C. declined 3.8 per cent last year, but outpaced the national average, which dropped 5.3 per cent, said Robinson. The province's jobless rate of 8.9 per cent was also lower than the Canadian average of 9.5 per cent, she added.
Robinson said she expects to lay out a plan in next year's budget that outlines how the province will return to future surpluses.
“It will take time to get back to balance, and that's our commitment, to get back to balance,” she said.
The budget released in April for the 2021-22 fiscal year forecasts a deficit of $9.7 billion, followed by at least two more years of billion-dollar deficits.
Robinson also said in April it could take seven to nine years before the province has another balanced budget.
Opposition Liberal finance critic Mike Bernier said the documents show the need for an economic recovery plan, which the New Democrat government has failed to implement.
“We've known for a year-and-a-half that in addition to impacting public health, this pandemic has been costly to our economic future,” he said in a statement. “The NDP had plenty of time to prepare a plan to deal with the post-pandemic reality and get our economy back on track, but they have nothing to show for it.”
Robinson said the public accounts show B.C. spent more than $10 billion on COVID-19 response and recovery programs, which included funding for health and shelter as well as economic supports and benefits.
This report by The Canadian Press was first published July 28, 2021.
CTVNews.ca Top Stories
Doctors say capital gains tax changes will jeopardize their retirement. Is that true?
The Canadian Medical Association asserts the Liberals' proposed changes to capital gains taxation will put doctors' retirement savings in jeopardy, but some financial experts insist incorporated professionals are not as doomed as they say they are.
Something in the water? Canadian family latest to spot elusive 'Loch Ness Monster'
For centuries, people have wondered what, if anything, might be lurking beneath the surface of Loch Ness in Scotland. When Canadian couple Parry Malm and Shannon Wiseman visited the Scottish highlands earlier this month with their two children, they didn’t expect to become part of the mystery.
What do weight loss drugs mean for a diet industry built on eating less and exercising more?
Recent injected drugs like Wegovy and its predecessor, the diabetes medication Ozempic, are reshaping the health and fitness industries.
2 military horses that broke free and ran loose across London are in serious condition
Two military horses that bolted and ran miles through the streets of London after being spooked by construction noise and tossing their riders were in a serious condition and required operations, a British government official said Thursday.
'It was instant karma': Viral video captures failed theft attempt in Nanaimo, B.C.
Mounties in Nanaimo, B.C., say two late-night revellers are lucky their allegedly drunken antics weren't reported to police after security cameras captured the men trying to steal a heavy sign from a downtown business.
Fair in Ontario, flurries in Labrador: Weather systems make for an erratic spring
It's no secret that spring can be a tumultuous time for Canadian weather, and as an unseasonably mild El Nino winter gives way to summer, there's bound to be a few swings in temperature that seem out of the ordinary. From Ontario to the Atlantic, though, this week is about to feel a little erratic.
He replaced Mickey Mantle. Now baseball's oldest living major leaguer is turning 100
The oldest living former major leaguer, Art Schallock turns 100 on Thursday and is being celebrated in the Bay Area and beyond as the milestone approaches.
What a urologist wants you to know about male infertility
When opposite sex couples are trying and failing to get pregnant, the attention often focuses on the woman. That’s not always the case.
Made-in-Newfoundland vodka claims top prize at worldwide competition
A Newfoundland-made vodka has been named one of the world’s best by judges at this year’s World Vodka Awards.