City of Surrey's 2021 - 2025 Financial Plan

ECONOMIC OVERVIEW

BRITISH COLUMBIA As of mid-April, 25.1% of BC residents received at least one dose of COVID-19 vaccine. The provincial government is forecasting that all willing British Columbians will be vaccinated by the end of June 2021. To stem the rise in COVID-19 cases, restrictions were reintroduced in late March to suspend indoor dining and group fitness classes. The Provincial Health Officer also shut down Whistler Blackcomb ski resort to contain the spread of the virus. BC reported over 1,000 daily cases of COVID-19 during the last few days of March with the variants of concern accounting for one-third of reported cases. Although COVID-19 cases are on the rise, the Provincial Health Officer has indicated no further restrictions will be introduced for the time being. To support British Columbians, the provincial government implemented the BC Recovery Benefit which provides a one-time, tax-free payment of up to $1,000 for eligible families and single parents and up to $500 for eligible individuals. The application period extends to the end of June 2021. ICBC announced one-time rebate payments to BC drivers, averaging $190, as a result of $600 million in savings from reduced crashes and claims during the pandemic. The BC government has also announced that, starting in April of this year, income and disability benefits will increase by $175 per month.

StrongerBC (gov.bc.ca)

BC’s Gross Domestic Product (“GDP) contracted by 5.3% in 2020. The provincial economy is expected to see a turnaround this year with growth forecasted at 5.1%. BC’s unemployment rate fell to 6.9% in February with 26,600 jobs added. The labor market has recovered most of the jobs lost through early parts of the pandemic. The technology and professional services sectors, along with sectors supporting the housing market, have fared well throughout the pandemic. The retail, food services, accommodation, hospitality, and tourism sectors will continue to struggle until

City of Surrey | 2021—2025 Financial Plan | Financial Overview

73