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B.C. small businesses suffering from construction impacts, survey finds

Over 75% say they believe government should compensate them when public projects take away business
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Construction workers lay pavement on a street in Vancouver, B.C. Thursday, Nov. 15, 2012. A 2024 survey from the Canadian Federation of Independent Business found 65 per cent of B.C. small businesses are being disrupted by construction projects.

About two-thirds of B.C. small businesses say local construction projects have negatively impacted them over the last five years, according to a recent survey. 

The Canadian Federation of Independent Business asked owners across the country in May and June how construction has been affecting them. Nationally, 68 per cent of the 1,240 respondents said they have experienced disruptions in the last five years, while 65 per cent of 141 respondents from B.C. said the same. 

“Small businesses face a myriad of issues when local construction projects take place, from traffic congestion and dust and debris, to losing customers and navigating logistical disruptions. Now, imagine dealing with it for over 500 days! Sadly, this is a reality for too many small businesses across Canada," said Emily Boston, CFIB's B.C. senior policy analyst and the survey report's co-author, in a statement.

About 61 per cent of B.C. respondents said traffic, dust, debris and noise have been their main challenge, while another 49 per cent cited customers and staff struggling to access their business or find parking. Just shy of a quarter of B.C. owners said construction projects have caused them significant stress.

On average, B.C. respondents said they endured 518 days of construction-related interruptions over the last five years. That's slightly higher than the national average of 508 days. 

About half of B.C. owners said they have lost sales as a result of the interruptions. Among them, they reported an average drop in revenue of 18 per cent during the worst of it. Additionally, the same owners said they spent an average of $6,000 in clean up and repairs. 

Those numbers are lower than the Canadian average of a 22 per cent drop in revenue and $10,000 in additional expenses.

“We’re not asking governments to stop upgrading roads or repairing sewers. Public infrastructure projects are important, but when they drag on for years, it’s difficult for businesses to survive in the meantime. A large portion of construction costs can be avoided with better planning, execution, and by giving more consideration to the reality of local businesses," Boston said. 

About 68 per cent of the total surveyed Canadian business owners and 76 per cent of the B.C. business owners said they believe the government should compensate them when public construction projects impact their operations. 

CFIB said it is urging governments to better support small businesses during construction projects, including funding to offset to extra expenses owners may take on.

The survey ran from May 16 to June 15 and has a margin of error of plus or minus 2.8 per cent, 19 times out of 20. 

READ ALSO: Rail strike could devastate B.C.'s economy, business leaders say
 

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