B.C. fiscal update’s $5.7B surplus dwarfs previous estimate

Click to play video: 'What will B.C. do with unexpected $5.7B surplus?'
What will B.C. do with unexpected $5.7B surplus?
Buoyed by an economy surpassing all predictions, British Columbia posted a $5.7 billion surplus in the first six months of the province's fiscal year, up from an earlier $700 million surplus. Richard Zussman reports. – Nov 25, 2022

The B.C. government on Friday announced a forecasted budget surplus of $5.7 billion, dwarfing the previous estimate.

Finance Minister Selina Robinson said the increase from the previous $5-billion projection came from higher personal and corporate income tax revenues, at $3.7 billion, in 2021.

Read more: Opposition questions spending as Eby pledges $1.2B in first week

“The Second Quarterly Report shows that we have experienced a faster economic recovery than private- or public-sector economists initially forecasted,” Robinson said in a news release, adding the province is “well-positioned” to continue supporting people through economic uncertainty.

Click to play video: 'B.C. has experienced a faster economic recovery than initially forecasted'
B.C. has experienced a faster economic recovery than initially forecasted

A week ago, on the day he was sworn in as premier, David Eby announced a one-time cost of living credit to residential and commercial BC Hydro customers this fall, and a new B.C. Affordability Credit in January.

Read more: BC Housing’s record-keeping, financial transactions under microscope in financial audit

The NDP government said it has rolled out nearly $2 billion in cost-of-living measures.

Despite the rosy economic picture, ICBC is expecting to lose almost $300 million this year because of investment losses.

Click to play video: 'B.C. government allocates $230M for rural RCMP'
B.C. government allocates $230M for rural RCMP

– with files from The Canadian Press

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