Today, I had the honour of being an invited guest as Finance Minister Sala unveiled the Kinew Government’s second Budget.
Wow!
The Budget includes numerous initiatives that will both directly and indirectly help our industry.
For the past year, Restaurants Canada and the Manitoba Restaurant & Foodservices Association (MRFA) have been urging the Government to expand the Security Rebate Program to add a specific program designed for businesses. Today, in direct response to our advocacy, the Kinew Government announced $10M for a Business Security Rebate Program. We will work with the government in the coming weeks on program specifics.
The Government also announced a 9.2% increase in the justice budget, including more money for policing, monitoring those out on bail, border security, and other initiatives.
Further, the Government announced payroll relief aimed at supporting Manitoba businesses. The annual thresholds for the Health and Post Secondary Education Tax Levy, commonly referred to as the Payroll Tax, will be adjusted starting on January 1st, 2026, where businesses with payrolls at or under $2.5M will be tax exempt. In addition, the payroll threshold below which businesses pay a reduced effective rate will be raised from $4.5M to $5M.
Budget 2025 will build on the current investment of $13.9M to Travel Manitoba with an additional $4.5M in funding. This increase will support initiatives to encourage Manitobans to travel within the province, attract more out-of-province visitors, and enhance the growth of Indigenous tourism. As dining and culinary is a centerpiece for tourism, we welcome this funding.
To help businesses through the U.S. trade war the government committed to taking action to knock down trade barriers on goods and labour mobility. It is also allowing businesses to defer the remission of provincially collected taxes (I will send additional details in the coming days). In addition, the Government has built in a $500M contingency plan that will give it the flexibility it needs to move quickly to provide financial supports to industries most impacted by the U.S.-led trade war.
The government has pledged to freeze hydro rates for a year.
Importantly, the Government is also taking numerous steps to extend tax relief and supports to individuals, including relief for renters, homeowners, and drivers paying for gasoline. This ensures Manitobans will be less inclined to reduce their restaurant spending to find money for other priorities.
Today’s budget demonstrates that we have the government’s ear and that they will work with us to protect restaurant locations and jobs.
I look forward to sharing additional details as they become available.
The full budget can be found here.
Best,
Kris
