B.C. actually has more money than the government thought.
The B.C. government said they are actually working with a $5.7 billion surplus compared to the $5 billion surplus reported in the first-quarter report.
According to the province, the reason for the increase was because of a significant update from the Canada Revenue Agency for 2021 personal and corporate income tax results.
“The Second Quarterly Report shows that we have experienced a faster economic recovery than private- or public-sector economists initially forecasted,” said Selina Robinson, Minister of Finance.
“The changes we’re seeing are primarily due to updated income tax revenue data from the Canada Revenue Agency here in B.C. and across the country – far beyond what was forecasted when we built our budget.”
Provincial officials said the surplus allows them to offer more support for B.C. residents including the $2 billion in new cost-of-living supports since the summer.
While the government said B.C.’s economy bounced back quickly from the pandemic, they need to be cautious of their spending with rising inflation and interest rates.