2021-2022 NL Budget Provides Key Investments, But Misses Mark on Recovery
Atlantic Chamber Offers Mixed Review of Newfoundland and Labrador Budget 2021
St. John’s, NL (May 31, 2021) – While strategic investments in tourism and access to internet are welcome news, the Atlantic Chamber of Commerce (ACC) is raising concerns with the Government of Newfoundland and Labrador’s continued deficit spending of $826 million and the lack of policy proposals to help the economy recover in a post-pandemic world. A reduction in tax burden may not be possible at the present time due to Newfoundland and Labrador’s financial burden, but an emphasis on the reduction of regulatory burden would be a low-cost item for Government that provides high value for business.
The 2021 Newfoundland and Labrador Budget features a much-needed investment of $30 million in support of the tourism and hospitality sector to support businesses impacted by the pandemic. There is also a key investment of $25 million over the next three years in cellular and broadband connectivity by Government. Investing in rural connectivity is key to ensuring a level playing field in an increasingly digitized world.
“The Atlantic Chamber is glad to see investments that will assist businesses deeply impacted by the pandemic, particularly in the hospitality and tourism sector and for rural internet access to help business stay connected,” said Sheri Somerville, CEO, Atlantic Chamber of Commerce. “However, Budget 2021 unfortunately missed the mark to provide meaningful economic recovery in Newfoundland and Labrador. While other areas of the region are reducing both tax and regulatory burden for businesses, the Government of Newfoundland and Labrador has remained stagnant on this issue.”
With the highest expenditures per capita in all of Canada, time is crucial to ensure the future of the Newfoundland and Labrador economy, and active steps must be taken to reduce Government expenditures, regulatory burden, and taxation on businesses within the province. The Atlantic Chamber and its 21 member chambers in Newfoundland and Labrador remain a willing to partner to work with Government and contribute to business and the province’s economic recovery.
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About the Atlantic Chamber – The Voice of Atlantic Canadian Business
The Atlantic Chamber of Commerce (ACC) is the largest accredited business organization of influence in Atlantic Canada representing more than 16,000 businesses through its network of 94 Chambers of Commerce and Boards of Trade and 29 corporate partners in the four Atlantic Provinces.
For more than 125 years, ACC has served as the voice of Atlantic Canadian business and actively partners with its members and other organizations to help create a strong, vibrant, and growing Atlantic Canada. ACC does this through strategic advocacy that shapes policy issues that impact business, the delivery of high-value programs and services to support business, and the facilitation and promotion of initiatives for business that contribute to sustainable economic growth in the region.
For more information contact:
Patti Colson
Manager, Communications & PR
patti@atlanticchamber.ca
