B.C.’s hard-hit tourism industry is asking the provincial government to fast-track $95 million to help keep it afloat under COVID-19.
The province’s tourism task force on Wednesday released a 26-page report that urged the government to create a $95-million emergency grant fund to help more businesses stay open until additional federal support arrives, as well as immediately match its existing $50 million for the sector with at least another $50 million to help overall recovery. It also called for $5 million to specifically help Indigenous tourism operators.
“It is unlikely that demand will return before 2022 and it will take even longer for revenues and employment to return to pre-COVID levels,” the task force report reads.
“Tourism is a microcosm of B.C.: It has big and small businesses, large revenues and small, a diverse population and a love of our province, but at its core tourism is a people business. With emergency funding now, we can continue to deliver the benefits of this excellence into the future.”
The task force was appointed on Sept. 18 and is made up of representatives from regional tourism groups, hotel associations, unions, and the Vancouver Airport Authority.
The industry is still collecting data on the impact of the pandemic, but an early assessment found that despite some operators reopening over the summer, the sector could still see a drop to $6.7 billion in annual revenue, down from an average of $21.5 billion, this year.
Other examples in the report of how the industry has suffered were direct tourism employment getting cut by about half in April compared to the year before, and only 25 per cent of businesses outside Metro Vancouver and Whistler operating during one five-week period in the summer.
Other recommendations were to develop a safety certificate program, prioritize innovative ways to lift travel restrictions, and allow businesses to consider deferring or be relieved of certain costs.
Pre-pandemic, B.C.’s tourism industry employed about 161,500 people and included more than 19,000 businesses.
In 2018, the last year where comprehensive data is available, it contributed more than $20.5 billion in revenue to the provincial economy and nearly $1.7 billion in provincial taxes.
“The situation in the industry has dramatically worsened since the task force was convened in the fall. To ensure these businesses survive and the workforce remains connected to their jobs, there is a need for a larger emergency relief envelope,” the report reads.
The province said it’s reviewing the recommendations and will respond as soon as possible.
BC Liberal interim leader Shirley Bond said this money should be approved now.
“There are tourism business operators across British Columbia who are in jeopardy of closing forever. It’s one thing to make promises, it is another thing to deliver,” she said.
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