Restaurant industry breathes a sigh of relief as New Brunswick delivers tough budget

FREDERICTON, March 26, 2013 /CNW/ - Restaurant and bar owners in New Brunswick are relieved the provincial budget delivered today did not increase the HST or beverage alcohol prices. The Canadian Restaurant and Foodservices Association (CRFA) believes this approach will help protect jobs in the important restaurant industry, which generates $1.2 billion each year toward the province's economy. To deal with a spiralling provincial deficit, the government instead chose to raise personal and corporate income taxes while reining in government spending.

"The government deserves credit for making tough decisions to reduce their deficit without targeting restaurant businesses and their customers," says Luc Erjavec, CRFA's Atlantic Canada Vice President. "Our members are happy there is no increase to the HST or beverage alcohol prices, and that government has clearly signalled it wants to poise the province for economic activity and growth. This budget controls costs and government spending while still maintaining some of the most competitive personal and corporate tax rates in the Atlantic region."

"This is a tough budget for tough economic times," says Erjavec. "But in the long run, businesses and residents of the province will benefit."

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 say their first job was in 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 restaurant industry generates $65 billion annually in economic activity and employs more than one million people in communities across the country.

SOURCE: Canadian Restaurant and Foodservices Association

For further information:

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

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Canadian Restaurant and Foodservices Association

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