Restaurants across Atlantic Canada are paying a premium for patio permits according to a new study from the Canadian Federation of Independent Business (CFIB).
The CFIB found that the average cost for a patio permit in Atlantic Canada is $1,209, which is $375 more than the national average.
A big part of that is because of St. John’s, NFLD as their fee which is the highest in the nation is $2,765.
The high fees are being imposed during a tough time for restaurants with many still struggling to recover to pre-pandemic levels, while also dealing with rising costs of goods and labour.
“We saw municipalities remove multiple barriers to entry during the pandemic by scrapping permit costs and reducing the number of documents required for an application to allow businesses to adapt quick and customers to dine safely outdoors, but most cities have reversed their progress significantly,” said Duncan Robertson, Policy Analyst for Nova Scotia at CFIB. “The City of St. John’s now charges businesses over $2,500 for a patio permit, while other smaller cities across Canada, like Winnipeg and Saskatoon, have no fee associated with patio permits.”
A map showing what it takes to get patio permits in various cities across Canada. Photo: CFIB.
Halifax is also one of the Atlantic Canadian cities above the national average, and they were one of the municipalities that recently raised their fee which now sits at $970.
“It’s really exciting to see some of our regional municipalities updating policies to support our hospitality businesses,” said Robertson. “Unfortunately, other municipalities, like Halifax, actually raised patio permit costs since last summer. Municipalities must make it easier for business owners to set up patios to attract customers during the crucial summer season.”
Moncton is one Atlantic Canadian city bucking the trend. They recently changed their fee structure which previously charged businesses based on the size of each patio, now they charge a flat rate of $350. Their application also only requires two supporting documents, the fewest in Atlantic Canada.
When it comes to red tape involved with getting a permit Atlantic Canadian cities are faring better, with most cities requiring between two and four supporting documents for patio permits. Calgary was found to be the most burdensome requiring at least 8 documents for approval which is estimated to take up to 6 weeks.
