CRFA poll shows drop in B.C. sales from the HST

VANCOUVER—Since the B.C. government brought in the harmonized sales tax on July 1, restaurants in the province have noticed a 10 per cent drop in sales, according to a recent survey.

When polled by the Canadian Restaurant and Foodservices Association, 72 per cent of respondents indicated the HST has negatively impacted sales when compared to the same time frame in 2009.

“There’s no question the HST is hurting B.C. restaurants of all times, from fine dining to take-out,” said CRFA president Garth Whyte, in a statement.

The survey also learned that 53 per cent of customers are spending less when they go out for dinner and the 56 per cent of restaurants are seeing less customers coming through the doors.

As a result, 47 per cent of respondents indicated they have slashed staff hours and cut staff numbers to keep up with the shortfall. Just three per cent of those polled said the HST is actually helping their business.

“The HST has dramatically tipped the playing field against restaurant operators,” said the CRFA’s western vice-president, Mark von Schellwitz, in a statement.

The CRFA conducted its survey from July 36-31 and just over 800 restaurants provided feedback.