The 2023 B.C. budget has been released, and government said it focuses on creating affordable housing, growing a clean economy, providing health and mental-health care, and creating opportunities—especially for those most affected by global inflation—to access help with costs. 

“B.C. is a great place to live, but people are facing real challenges – not only from global inflation and the pandemic, but from ongoing and systemic challenges,” said Katrine Conroy, Minister of Finance as she tabled this year’s provincial budget. 

“This year’s budget helps protect people who can’t afford today’s high prices and takes action on the issues people care about, like finding affordable housing and accessing health care.”

Budget 2023 includes new investments over three years aimed at strengthening the healthcare system. Nearly $6.4 billion has been allocated to bolster B.C.’s health-care workforce and create better support for health-care workers and family doctors. Included in this investment is $1 billion in funding to expand mental-health and addiction services in light of B.C.’s ongoing toxic drug crisis. 

Conroy also noted that her budget includes the largest three-year housing investment in B.C. history, noting her government is focused on providing more homes for people who rent, Indigenous people, and middle-income families. Renters in B.C. will be eligible to receive up to $400 a year through an income-tested renter’s tax credit starting in 2024. The credit is expected to benefit more than 80% of renter households. 

“Budget 2023 reinforces that affordable housing is a key priority for this government,” said Jill Atkey, CEO of BC Non-Profit Housing Association. 

“Investments and interventions are critical to protect the existing affordability of our rental stock at the same time that we’re building new units and providing supports to those without homes – this is a budget that reflects the investments that we’ve been calling for and will be welcome news for the community housing sector.” 

Approximately 75% of families with children are eligible for the new BC Family Benefit. Starting in July 2023, eligible families will see a 10 percent increase in monthly payments. Single parents will receive up to $500 per year in addition to the increase, which will also be delivered in July.

Roughly $1.3 billion is aimed at supporting reduced costs for people, which includes free prescription contraception for B.C residents, and expanding K-12 food programs. The budget also features additional financial support for post-secondary students, people receiving income and disability assistance, and foster families and other caregivers. 

This year’s budget supports the Future Ready plan, which the province says makes post-secondary education and skills accessible and affordable in response to the biggest challenge heard from businesses across B.C. – the need for people. Future Ready investments will increase the amount of training seats by the thousands and will offer a grant for short-term training programs to train people for high-demand fields. This plan includes funding for small and medium sized businesses to find and implement technology and practical solutions to labour market challenges, and is supported by the BC Chamber of Commerce. 

“The BC Chamber of Commerce is optimistic the new Future Ready Plan will provide small- and medium-sized businesses with support to address critical labour force challenges,” said Fiona Famulak, president and CEO of the BC Chamber.

The Climate Action Tax Credit will expand to help people with low to moderate incomes offset the carbon tax, which increases in April 2023. B.C. noted that the majority of people are expected to receive more through the enhanced credit than they pay in increased carbon tax by 2030. People with lower incomes will have higher payments. Before the increase, a four-person family could receive a maximum of $500 a year. In July 2023, a four-person family could receive a maximum of $900. 

Although the BC Chamber of Commerce is supportive of the Future Ready Plan, they have a different view of how the Climate Action Tax Credit will be affecting British Columbians over the next seven years. They also voiced concerns with the lack of direct support for businesses in the new budget, adding that healthy businesses are needed as part of a healthy community.

“Of particular concern to small- and medium-sized businesses is the increase to the carbon tax of $15 per tonne per year through 2030 with little to offset the costs they will incur,” said Famulak. 

“This is going to impact our supply chains and raise costs of producing goods in British Columbia.”

Conroy is confident that the 2023 budget is making investments in the interest of the future of all British Columbians. 

“We know there are some economic headwinds ahead of us as the global economy shifts in response to the pandemic, the war in Ukraine and rising costs,” Conroy added.

“That’s not a signal for our government to pull back and cut services – it’s a signal that we need to keep making smart investments so that we can continue to be there for British Columbians and build the stronger, more secure future we all want.”