British Columbians did not splurge in restaurants and bars during the last month before the HST came into affect, according to Statistics Canada data released Monday.
Food service and drinking establishment sales fell 0.3% in June to $653.8 million from $655.7 million in May. B.C. was one of only four provinces to report declines during the start of the summer season, and the only province with a decline a month before significant tax changes came into effect.
Restaurant sales in Nova Scotia rose 1.2% in June, a month before HST rose to 15% from 13% July 1, making it the province with the highest HST in the country. Restaurant sales in Ontario also rose 1.1% in June.
Nationally, restaurant sales rose 0.3% to $4.1 billion from $4.09 billion due primarily in a 0.7% increase in sales for limited-service establishments and 2.3% increase for special food services and 1.5% increase for drinking establishments. Sales at full-service restaurants fell 0.7% in June to $1.77 billion from $1.78 billion.
Restaurant sales rose in six provinces, including Saskatchewan (1.4%), Newfoundland (1.3%), Nova Scotia (1.2%), Ontario (1.1%), Alberta (0.7%) and Manitoba (0.3%).