Budget Update Lays Groundwork for Future Expansion of Economy

Posted September 3, 2009

Budget Update Lays Groundwork for Future Expansion of Economy

 

The Kamloops Chamber of Commerce recognizes that most businesses would prefer to see the provincial government’s budget be presented without a deficit, however they also recognize that under certain circumstances the government must use deficit budgeting to maintain the confidence of business and attract investment in our Province.

 

Unpopular decisions are sometimes required to be made during slow economic climates so that job losses are minimized and businesses can continue to invest. 

 

The Chamber applauds the government for protecting health, education and infrastructure with increases to their budgets as this ensures that the public needs are being met.  Increases in infrastructure spending also ensures that the foundations for future growth are established in anticipation of an economic recovery.  Had the government chosen to cut these funds it would have left the province unprepared during any subsequent upturn in the economy.

 

The budgets provision of rebates for residential energy and increasing the basic personal income tax credit to $11,000 from $9,373 (17% increase) will greatly assist low income earners.  The establishment of the lowest income taxes in Canada for persons earning under $118,000.00 will also enable the province to be more attractive to businesses and skilled workers.   The increase in the Apprenticeship Training Tax Credit program also will be of great assistance to certain sectors of the business community and indicates that the government understands the skills shortage issue remains.  This step helps business to plan for the years ahead as our largest population demographic begins to retire.

 

“We are cautiously optimistic that the path the government has taken with regard to deficit financing will only be short term,” stated Rick Heney, Policy Chair for the Kamloops Chamber of Commerce.  It is only under the most extreme of circumstances where the Chamber is in support of such financing and only where the use of the financing will have a tangible effect on the subsequent recovery of the economy of the Province.   We believe that current budget is moving in that direction.

 

 

Media Contact:

Rick Heney, Policy Chair

250.372.5542

 

 

Budget Update Lays Groundwork for Future Expansion of Economy

 

The Kamloops Chamber of Commerce recognizes that most businesses would prefer to see the provincial government’s budget be presented without a deficit, however they also recognize that under certain circumstances the government must use deficit budgeting to maintain the confidence of business and attract investment in our Province.

 

Unpopular decisions are sometimes required to be made during slow economic climates so that job losses are minimized and businesses can continue to invest. 

 

The Chamber applauds the government for protecting health, education and infrastructure with increases to their budgets as this ensures that the public needs are being met.  Increases in infrastructure spending also ensures that the foundations for future growth are established in anticipation of an economic recovery.  Had the government chosen to cut these funds it would have left the province unprepared during any subsequent upturn in the economy.

 

The budget’s provision of rebates for residential energy and increasing the basic personal income tax credit to $11,000 from $9,373 (17% increase) will greatly assist low income earners.  The establishment of the lowest income taxes in Canada for persons earning under $118,000.00 will also enable the province to be more attractive to businesses and skilled workers.   The increase in the Apprenticeship Training Tax Credit program also will be of great assistance to certain sectors of the business community and indicates that the government understands the skills shortage issue remains.  This step helps business to plan for the years ahead as our largest population demographic begins to retire.

 

 “We are cautiously optimistic that the path the government has taken with regard to deficit financing will only be short term,” stated Rick Heney, Policy Chair for the Kamloops Chamber of Commerce.  “It is only under the most extreme of circumstances where the Chamber is in support of such financing and only where the use of the financing will have a tangible effect on the subsequent recovery of the economy of the Province.   We believe that current budget is moving in that direction.”

 

 

Media Contact:

Rick Heney, Policy Chair

250.372.5542

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