BC Stops Grocery Rebate Program, Pauses Hiring in Face of US Tariffs

A customer browses the shelves at a grocery store in Vancouver in a file photo. The Canadian Press/Darryl Dyck

B.C.’s finance minister has announced the government will not follow through with its election campaign promise to deliver $1,000 rebate cheques to residents, as it looks to save money in the face of U.S. tariffs.

Finance Minister Brenda Bailey made the announcement on Feb. 13, saying the province is preparing for the impact of U.S. tariffs.

Forests Minister Ravi Parmar said in a press conference on Feb. 15 that U.S. tariffs on softwood lumber, a major export of B.C., could reach 50 to 55 percent from the current 14 percent.

U.S. President Donald Trump has said he would put 25 percent tariffs on all exports from Canada on Feb. 4, but after discussion with Prime Minister Justin Trudeau he pushed back the start date to March 4 to see if Canada takes more action on border security. The president has said the country needs to do more to cut down on drugs and illegal immigrants at the border.

Trump has also announced 25 percent tariffs on steel and aluminum globally. Those tariffs are expected to begin on March 12.

But the Trump administration could impose additional tariffs on top of those on Canadian products after U.S. officials review existing trade agreements with other countries.

B.C. officials estimates the tariffs could cost the province $69 billion.

The governing NDP had promised the grocery rebates while campaigning for the October election, saying the cheques would be delivered by March 31.

The rebates were estimated to cost the province $2 billion.

“I know this is disappointing for people, it is something we wanted to do and were working on. Now is not the time to make new, big expenditures in case businesses and workers need targeted supports down the road,” Bailey told The Epoch Times in an emailed statement.

Conservative Party of B.C. Leader John Rustad said there was no need to take such measures right now.

“The affordability issue is only getting worse,” he said in a video posted on the X platform. “During the election, [Premier] David Eby promised $1,000 relief for families immediately, and to make it permanent going forward.”

He said the NDP was just trying to buy votes with the promise and that it’s now blaming the U.S. president for its decision.

“The Americans have not done anything to us at this point, the budget has not changed.”

Hiring Freeze

Bailey also said the province will also pause hiring in government ministries to save money.

“It’s our objective to find dollars that haven’t perhaps landed exactly as we hoped they would. That’s our first approach and most hopeful piece,” Bailey told reporters on Feb. 13.

“We'll also be looking at things like travel and consultancy costs and places where we might be able to find efficiencies across government.”

In January, Eby asked his cabinet ministers to find areas to cut costs in advance of possible tariffs.

“I have asked every cabinet minister to review programs within their ministry to ensure that we are not wasting money on administration that should go to frontline services,” he said at the time.

B.C. also said earlier this month it wants to fast-track mining and energy projects to mitigate the impact of tariffs. Eby’s office said the projects are worth $20 billion and could create 6,000 jobs.

The list of projects for quick approval includes those that have business cases developed, but still need permits or government approval. Among the list are four mines, three energy security projects, and 11 BC Hydro clean energy proposals that mostly involve wind power.

The Canadian Press contributed to this story.