Restaurant industry applauds New Brunswick budget for reducing deficit without increasing taxes

FREDERICTON, March 27, 2012 /CNW/ - The government of New Brunswick continues to reduce its deficit without increasing the tax burden on small business owners or residents - an approach the Canadian Restaurant and Foodservices Association (CRFA) believes will create economic benefits for small business operators.

"The government deserves a lot of credit for making the tough decisions to reduce their deficit without increased taxes on consumers or restaurant owners," says Luc Erjavec, CRFA's Atlantic Canada Vice President. "Our members are relieved there is no increase to the HST or other taxes, and that government has clearly signaled that it wants the province to be poised for economic activity and growth. This budget reduces the rate of government spending while maintaining some of the most competitive personal and corporate tax rates in the country."

"We believe the government has a strong fiscal plan and has cooked up the right recipe for the right time," says Erjavec.  "In the long run, businesses and residents of the province will benefit from this budget."

As one of New Brunswick's largest private-sector employers, the restaurant industry directly employs nearly 23,000 people at more than 1,600 commercial establishments. Twenty-two per cent of Canadians were first employed by the restaurant industry, making it the number one source of first jobs.

CRFA is one of Canada's largest business associations, with more than 30,000 members representing restaurants, bars, caterers, institutions and other foodservice providers. Canada's $63-billion foodservice industry employs more than one million people in communities across the country.

Luc Erjavec, 902-209-0804 (cell) or [email protected]; Prasanthi Vasanthakumar, Communications Specialist, 1-800-387-5649, ext. 4254 or [email protected].