As business optimism across Canada fell to its lowest level since June, small business owners in British Columbia reported having the highest optimism in the country in December, according to the Canadian Federation of Independent Business (CFIB).
B.C.’s confidence increased 0.3 percentage points to 72.6 in December, compared with the national average of 62.3, which is 3.5 points lower than in November.
The CFIB found that 21% of small business anticipate hiring staff within three months, while 6% plan to reduce staffing levels.
Tax and regulatory costs was found to be the biggest cost complaint (62%).
The survey found that the biggest limitations to sales or production were:
- insufficient domestic demand (39%);
- shortage of skilled labour (32%);
- management skills, time constraints (28%); and
- shortage of working capital (24%).
Across the country, optimism fell in seven of 10 provinces, with Prince Edward Island (58.3) and New Brunswick (56.7) seeing an increase in confidence. The retail sector saw the biggest national drop in December, falling almost seven points to 60.0.
Quebec had the lowest business confidence, with a score of 53.8.
