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Square Launches On-Demand Delivery Service in Canada in Partnership with DoorDash: Interview

Image: Boke Bowl QSR

Square Canada has launched an on-demand delivery service through a third-party delivery partner for orders placed directly on its website with no commission fee.

The delivery service for orders, through DoorDash Drive, is geared for restaurants, bars, breweries, bottle shops, convenience stores or any seller using Square Online across Canada.

Canada is the first international market to offer on-demand delivery since its US launch in 2020.

Image: Boke Bowl QSR
Justin Scott

“We’re super excited that we’re introducing a brand new way for Canadian sellers to get reliable delivery without the marketplace commissions using our on-demand delivery,” said Justin Scott, Head of Product, eCommerce Platform at Square.

“What that means is that when you start up a free Square Online ordering page you can get access to on-demand delivery which is really a cost-effective way to get items delivered to your customers. This is the first international market that we’ve launched this service in since we launched in the US back in 2020.

“It’s a great time for this because we know it’s a super challenging business environment right now. We hear that from our sellers all the time. And so we want to give them the tools. The biggest thing that sellers will notice is saving on commissions. Typically for marketplaces for food orders and those sorts of things sellers end up paying around 30 per cent in commission fees. With our on-demand delivery service, sellers can save a pretty significant amount because they only pay the flat fee of $1.50 Canadian to Square and then they pay a flat fee for the courier provided by DoorDash as well. Both of those fees can actually be passed on to the buyer if that’s what the sellers want to do. We give sellers a lot of control and flexibility over how they price and pass those fees along to customers.”

Scott said sellers can also own the relationship with their customers. If a customer places a direct order with the seller online, the seller gets to own that customer relationship. They get all the customer information which is added to their customer directory and they can use that to continue building and growing their business. They could set up a Square Loyalty program for rewards. They could use Square Marketing to retain and encourage that customer to come back.

“Building that customer relationship is a key differentiator as well,” added Scott.

He said the new service is available to all of Square’s sellers across all the provinces and territories with the exception of Nunavut. So hundreds of thousands of businesses across the country have access to this.

“When we launched this in the US back in 2020 we saw 173 per cent growth year-over-year between June and December 2020 and last year. So we really expect to see a high level of uptake for this service in Canada as well,” explained Scott.

“One of the biggest drivers has really just been, in the case of restaurants, delivery has been providing a lifeline to restaurants during the pandemic allowing them to stay open even when indoor dining has been closed in many places. We’ve really just seen demand for this take off.”

Wilson Shin, the owner of Katsupan Japanese Sandwich in Toronto, Ontario, has been one of the early adopters of on-demand delivery through Square Online in Canada and welcomes the service as a way to reach more customers.

Image: Katsupan Japanese Sandwich

“I think it’s great that Square can now offer a delivery option for customers who buy online, right alongside pickups, as the choice is right in front of them,” said Shin. “The service has been easy to use, which is always important. Overall, it’s a good option for recurring customers and it helps me save on fees as well.”

David Rusenko

David Rusenko, head of eCommerce at Square, said the company is excited to offer a new solution for Canada’s food and beverage industry to get the most out of its businesses in 2022.

“Whether that’s a bakery delivering food to customers, a restaurant monetizing its wine cellar, a grocery store supplementing their on-premise sales, or a local brewery introducing old favourites to a new crowd, we’re proud to provide our sellers with more ways to make money,” he said.

Square launched in Canada in 2012.

Hudson’s Bay Partners with PlantX to Open Café and Retail with Plans for Expansion into Multiple Bay Stores: Interview

XMarket Café at the Rideau Hudson’s Bay in Ottawa

PlantX, which sells 100 per cent plant-based products, has launched a presence in two Hudson’s Bay locations with plans to aggressively expand into more spaces across the country within the iconic retailer’s stores.

Recently, PlantX opened its XMarket Café concept in the Bay’s CF Rideau Centre store in Ottawa. It also opened its retail concept in the Bay’s Yorkdale Shopping Centre in Toronto.

“The Hudson’s Bay experience is evolving, and our stores are fast becoming hubs for discovery and inspiration,” said Wayne Drummond, President, Hudson’s Bay, in a statement. “XMarket Café speaks to a growing consumer segment and incorporates local partnerships that make this new experience special and unique to the community.”

XMarket Café at the Rideau Hudson’s Bay in Ottawa
XMarket Café at the Rideau Hudson’s Bay in Ottawa

Sean Dollinger, PlantX Founder, said having a retail presence in Hudson’s Bay’s locations offers incredible opportunities to exert its plant-based impact and build on its retail efforts. 

Sean Dollinger

“We’re thrilled to have physical spaces within Ottawa and Toronto communities to offer a more direct and dynamic PlantX experience,” he said.

PlantX was launched more than a year and a half ago. As the digital face of the plant-based community, PlantX’s platform is the one-stop shop for everything plant-based. With its fast-growing category verticals, the company offers customers across North America more than 5,000 plant-based products. In addition to offering meal and indoor plant deliveries, the company currently has plans underway to expand its product lines to include cosmetics, clothing and its own water brand.

PlantX has a head office in Vancouver and is currently operating in Canada, the US, the UK, Germany and Israel.

Image: PlantX

The company’s retail locations are more or less like education centres and distribution points. 

“Essentially the way Tesla created their showrooms to educate people on electric cars and why they’re better than fuel-powered cars and then they used their centres also as delivery points for their cars and education centres. Same idea. We’re e-comm at the true heart of PlantX but we use our retail locations for same-day fulfillment. So we’ll have same-day fulfillment in Toronto, Ottawa and Vancouver by the end of this month and in the US we have same-day delivery in San Diego, Los Angeles and Chicago,” said Dollinger. 

The 100 per cent plant-based café concept features carefully-crafted vegan beverages and plant-based food options with ingredients sourced from Ottawa businesses, including local bakery Keepin’ It Vegan. PlantX has also opened signature XMarket shops at both Yorkdale and Rideau, offering a curated selection of plant-based products spanning grocery, home, personal care, pets and more.

Image: XMarket

The new store at Rideau will assist PlantX with its distribution for online customers in Eastern Canada, including shoppers on TheBay.com Marketplace, allowing for same day PlantX deliveries in the Ottawa area, as well as accelerated shipping of PlantX products across all of Canada. By further centralizing its Canadian operations, PlantX is advancing its digital and technological growth, while the new fulfillment capabilities will increase cost-savings.

The stores that don’t have a café concept are under 1,000 square feet – about 750 square feet – while the café concepts are anywhere from 1,200 to 2,000 square feet.

“Being with the oldest retailer in the US and Canada and them recognizing PlantX which has just been around for 16 months as an innovative company in Canada and providing us an amazing opportunity to give such great placements, I think speaks volumes for PlantX,” added Dollinger. “We’re going to start our same day delivery rollout in Toronto and Ottawa by the end of January and depending on how that launch goes.”

Cadillac Fairview Announces Major Investment in CF Toronto Eaton Centre

CF Toronto Eaton Centre (Image: Dustin Fuhs)
CF Toronto Eaton Centre (Image: Dustin Fuhs)

Some big changes are coming to CF Toronto Eaton Centre after landlord Cadillac Fairview announced major investments for upgrades over the next couple of years. That includes a replacement of the galleria roof that spans the centre as well as updates to movement and accessibility within the property. The total investment is about $77 million. 

About $60 million will be invested to refurbish the galleria skylight roof at CF Toronto Eaton Centre which spans about 900 feet from Queen Street to the south to the Nordstrom store at the north end of the mall. Cadillac Fairview said in a release that the existing glass will be replaced “with the latest materials and technologies to improve energy efficiency while maintaining its classic design aesthetic”. 

CF Toronto Eaton Centre Galleria. Image provided on behalf of Zeidler Architecture Inc. (CNW Group/Cadillac Fairview Corporation Limited)

The project will be carried out in two phases. Construction will begin this month on the first phase which spans from Queen Street to the Centre Court, while work on the north end will commence in March of 2023. Zeidler Architecture Inc. is involved with the refurbishment along with Read Jones Christoffersen consulting engineers, with construction overseen by EllisDon Corporation. Canadian architect Eberhard Zeidler who conceptualized the centre died last week at the age of 95.

“As the original architects of the galleria, we’re honoured to play a continuing role in one of the city’s most iconic buildings. This revitalization will ensure the skylight roof is fit-for-purpose and sustainable in the long term, all while retaining its original architectural splendor,” said David Collins, Partner at Zeidler Architecture Inc.

Some important artwork will be temporarily removed for the galleria glass retrofit. The “Flight Stop” art installation, which depicts sixty Canada geese mid-flight, will be removed and stored temporarily while the roof is replaced. Law school students will recall “Flight Stop” from a lawsuit in the early 1980s when artist Michael Snow successfully sued the landlord by winning an injunction to remove red ribbons placed on the geese, setting precedent for creator ‘moral rights’. 

CF Toronto Eaton Centre opened to the public in 1977 and it immediately became a draw. The centre’s construction was controversial and involved the demolition of retail storefronts along Yonge Street as well as a former multi-level Eaton’s flagship store at the south end of the site. The new shopping centre was unlike anything seen in downtown Toronto with its expanse of glass and hundreds of retail stores contained within a weather-protected environment. 

“At Cadillac Fairview we are proud to continually invest in our properties to deliver a world-class shopping experience,” said Wayne Barwise, Executive Vice President of Development at Cadillac Fairview. “The galleria’s original design was inspired by the Galleria Vittorio Emanuele II in Italy and has served as a distinguishing feature of the mall since the centre’s opening in 1977. As custodians of this unique architectural element, our priority is to ensure the integrity of its design as we significantly enhance its functional performance.” 

Cadillac Fairview also announced that it will invest an additional $17 million to improve shoppers’ movement and accessibility at CF Toronto Eaton Centre with the addition of three new staircases in the South Court and Urban Eatery, improvements to elevators in the mall, and the installation of a larger cab in an existing elevator to better accommodate strollers and mobility scooters. Cadillac Fairview said that the enhancements will facilitate convenient connections while creating “a more welcoming environment throughout the property”.

CF Toronto Eaton Centre Galleria. Image provided on behalf of Zeidler Architecture Inc. (CNW Group/Cadillac Fairview Corporation Limited)

CF Toronto Eaton Centre is the largest urban shopping centre in North America and prior to the pandemic it was possibly the busiest retail centre in the world with over 50-million annual visitors. Over the past 12 years, Cadillac Fairview has invested a whopping $1.6 billion into CF Toronto Eaton Centre, making it the second largest shopping centre asset in Canada after West Edmonton Mall in terms of retail square footage. 

Investments in the centre since 2010 included the addition of the Hudson’s Bay building and adjacent 401 Bay Street office tower that were acquired by Cadillac Fairview for $650 million in early 2014, ushering in updates that included the addition of a new Saks Fifth Avenue store within the Hudson’s Bay building in 2016. Cadillac Fairview then spent millions to build a new pedestrian bridge between Hudson’s Bay/Saks and CF Toronto Eaton Centre which was unveiled in 2017. Other major investments to CF Toronto Eaton Centre included buying back the Sears space in 2013 for the redevelopment and 2016 opening of Nordstrom and other tenants including Uniqlo and Samsung, and this year a new BMO Urban Campus will open above. Other major upgrades in 2011 to CF Toronto Eaton Centre included a $120 million investment to replace flooring and hand railings among other updates. 

Canadian Tire Store Near Yonge & Bloor in Toronto Slated for Redevelopment: Sources

Canadian Tire store at 839 Yonge Street, January 2022. Photo: Craig Patterson

The historic Canadian Tire store at 839 Yonge Street in downtown Toronto will eventually be demolished for an intensified redevelopment that could include residential towers as well as a new Canadian Tire store. That’s according to sources noting that a development application will be brought to the City of Toronto in the next while. 

The proposed plans would include a multi-tower configuration according to one source. The building site encompasses about 2.4 acres and an adjacent gas station adds another 0.2 acres to the site. 

A new Canadian Tire store would ideally be built on the site according to the source. The existing store was recently renovated to reflect the more modern design seen in some Canadian Tire locations. A historic component known as the Grand Central Markets Building was built in 1929 and is heritage protected, characterized by a Spanish Colonial Revival-style type architecture. It would be expected that it would somehow be preserved and incorporated into the new proposal.  

Image: Northern Light via Urban Toronto

Canadian Tire owns the site according to another source, who also said that after the development application is approved Canadian Tire will likely sell the site, valued well in excess of $100 million. 

The location on Yonge Street backs onto the subway tracks. In behind the tracks lies Rosedale, the wealthy leafy and historic residential area with winding streets and multi-million dollar mansions that is unlike anything in North America in terms of its proximity to a downtown core. Some of the wealthiest people in Canada live in Rosedale including David Thomson who is worth over $50 billion USD.  

Historic store component and gas station at the corner of Yonge and Church Streets. Photo: Craig Patterson

Other commercial buildings in the area will be demolished for future redevelopment as well according to reports in Urban Toronto. Forum poster ‘Northern Light’ also posted a conversation thread on the Urban Toronto Forum about the proposed redevelopment. 

High real estate prices in Canadian centres is leading to landlords seeking to intensify building sites. That includes individual stores with enough land and even entire shopping centre properties. It’s a trend expected to continue for years to come amid a population and housing boom in some markets. 

Canadian Apparel Retailers to Struggle and Continue Losing Market Share Amid New COVID Variant: Trendex Report

Yorkdale Shopping Centre (Photo: Craig Patterson)

The reemergence of COVID will continue to put a strain on the Canadian apparel industry with uncertainty over shopping restrictions in 2022.

But a new report by Trendex North America, a marketing research and consulting firm, says apparel specialty chains will lose share in the market for the sixth year in a row. 

The Canadian Apparel Insights report, released in December, also said the growth rate for apparel e-commerce will slow assuming consumers are able to shop in brick and mortar stores and luxury apparel sales, after a disappointing 2020 and 2021, will increase in proportion to the growth of foreign tourism. 

Randy Harris, photo supplied

“I think the expectations from a value metric standpoint, meaning sales, you can’t really speculate because you don’t know how long the newest phase of COVID is going to affect shopping restrictions,” said Randy Harris, president and owner of Trendex North America. “I was very optimistic last July when it looked like we were beginning to come back to pre-COVID sales levels on a monthly basis. Certainly, beginning June and July the industry was selling more apparel than it was, not just the previous year but than in 2019. So it made me very optimistic from a sales standpoint.

“Right now, I have no idea what to expect in terms of sales for this year and anybody that says they do is crazy.” 

In November, a report by Trendex said Canadian retail apparel sales fell by 23.6 per cent year-over-year in 2020 and the forecast growth was 13.9 per cent in 2021. At that time, Trendex was forecasting 8.2 per cent year-over-year growth in 2022.

“I expect that we’ll continue to see evolutionary changes in apparel retailing as opposed to revolutionary changes in apparel retailing. In a sense, the Canadian apparel industry when it comes to change it moves at kind of glacial speed,” said Harris. “When you look back at last year, you see very few changes were made in the industry. If the changes were made, they were often made in the back rooms if you will, but not in the stores themselves.

“I think one of the things people miss right now is how little apparel retailing has really changed compared to some other industries. Yes, e-commerce has become bigger, buy online and pickup in store has become bigger. But so many other things have not changed that much.”

The latest Trendex report predicted for 2022:

  • Resale apparel sales will increase thanks to luxury resale e-commerce;
  • SSENSE and Indochino will take advantage of a buoyant IPO market by going public;
  • Athleisure sales growth will slow while dress apparel sales will increase from their record low sales levels during 2020/2021;
  • Almost 40 per cent of Canadian headquartered apparel retailers will offer a buy now/pay later option by year’s end;
  • Personalized digital marketing will increase at the expense of print advertising;
  • Turkey will disproportionately increase its apparel exports to Canada as a result of the recent major devaluation of the country’s currency;
  • Apparel supply chain problems will sort themselves out by mid-summer; and
  • Retail apparel prices will, starting in April, climb steadily during the year.

“If there was one big surprise that I had last year, I expected a flood of bankruptcies in January and February of last year. That did not happen. The lack of bankruptcies for the most part during the entire year last year surprised me,” said Harris. 

“From the apparel industry standpoint, e-commerce’s growth really saved the industry for the last two years although the rate of growth last year was far less than the previous year. I think a lot of retailers have batten down the hatches in the last year and a half or so and were able to make it through the year. What surprised me though is yes there were fewer bankruptcies but I also thought companies blew an opportunity to close unprofitable stores. But so many companies kept limping along and I thought this would have been a good time for them closing some stores.”

Harris said some Canadian retailers are opening more stores around the world which is an optimistic sign but it’s in very narrow industries such as outerwear. He expects that trend will continue.

“There’s no doubt that in the coming year the one thing we will notice is that mall traffic will continue to fall. That will have an effect not on the major retailers in the major malls but certainly have a greater effect on the retailers who are basically based in second and third tier malls,” said Harris.

CF MARKET MALL. PHOTO: CADILLAC FAIRVIEW

“E-commerce has got an inertia right now and it’s going to continue to grow but we won’t see a triple digit rate in growth. The one that I’m worried about right now is luxury retailing which again last year I believe apparel retailing had a very poor year and I attribute that to the lack of tourists coming in, especially from the Orient. Tourism basically in 2021 shut down for a good part of the year, especially the beginning of the year and that had an adverse effect on the luxury retailers. Tourism numbers started to crank back up at the end of last year but with what’s going on in Canada it might lag it down again. That’s another segment that everything is up in the air right at the moment about.”

Trendex said the sales pattern for footwear over the past three years is unexpectedly similar to that for apparel. Footwear sales decreased 21.3 per cent in 2020 and are forecasted by Trendex to increase 17.3 per cent in 2021. Athletic footwear in 2021 should account for 34.1 per cent of all footwear – an increase from 29.3 per cent in 2019. 

“As a result, footwear specialty stores during that period lost share to sporting goods stores and e-commerce retailers. The net result of these two changes is that malls continue to decrease in importance for footwear sales. Although little information is available on the footwear sales of individual footwear retailers, consensus is that the largest retailers are Aldo Inc, CTC (Marks and Sport Chek) and DSW Canada. The latter, a public held company, according to Trendex will have sales of US$236 million in 2021,” said the report.

Related Retail Insider Articles

Podcast: 2021 Most-Read Articles, LV/Dior Exit Saks in Toronto

2021 Most-Read Articles, LV/Dior Exit Saks in Toronto

This week Craig and Lee talk about the Louis Vuitton and Dior boutiques closuring in Saks Fifth Avenue in downtown Toronto before reviewing some of the most read articles for Retail Insider in 2021.

The Weekly podcast by Retail Insider Canada is available on Apple Podcasts, Stitcher, TuneIn, Google Play, or through our dedicated RSS feed for Overcast and other podcast players. Also check out our The Interview Series podcast where Craig interviews guests from across the Canadian retail landscape as part of the The Retail Insider Podcast Network.

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Background Music Credit: Hard Boiled Kevin MacLeod (incompetech.com). Licensed under Creative Commons: By Attribution 3.0 License. http://creativecommons.org/licenses/by/3.0/

Small Business Relief Grant for Ontario Small Businesses Not Enough for Lockdown Losses: Interviews

Training Lane Sign from January 5th, 2022 (Image: Dustin Fuhs)

Support programs introduced by the Ontario government to mitigate losses for businesses during the province’s latest lockdown measures are welcome news for many entrepreneurs but simply don’t go far enough to compensate for their losses.

The Small Business Relief Grant for small businesses that are subject to closure under the modified Step Two of the Roadmap to Reopen will provide eligible small businesses with a grant payment of $10,000.

Linkedin: Rocco Rossi

The Ontario government is also providing electricity-rate relief to support small businesses.

Rocco Rossi, President & CEO, Ontario Chamber of Commerce, said the organization is pleased with the provincial government’s responsiveness to its feedback.

“However, we are deeply concerned about those businesses that will be left behind. On the one hand, the grant is too narrow as it only applies to businesses that were required to fully close. It misses those that are at limited capacity or those losing revenue as a result of restrictions affecting their clients (such as food service suppliers). On the other hand, the electricity subsidy is too broad as it will largely benefit ratepayers that are not impacted by current restrictions,” said Rossi.

“We recognize that public health and a healthy economy are intrinsically linked. However, sweeping new restrictions – impacting employers, workers, and families – unaccompanied by appropriately targeted and commensurate supports are unacceptable nearly two years into the pandemic. Beyond this, we need a comprehensive plan that ties restrictions to clear, data-based metrics so that employers, workers, and families can plan ahead.”

Brookfield Place Food Court Sign from January 6th, 2022 (Image: Dustin Fuhs)

In a statement, Restaurants Canada said it appreciates the government’s announcement to re-introduce the Ontario Small Business Support Grant, but it falls well short of the needs of the industry.

“The restriction to businesses with fewer than 100 employees is unfair to restaurants. The restaurant industry is more labour intensive and dependent on part-time employees than any other industry. Many small businesses will not qualify despite size and need,” said the organization. 

“The grant will help, but it will not provide the support many need to keep their businesses running. We need targeted, significant funding that will keep businesses afloat. There is no reason to delay the money until February. Businesses need to pay bills now.

“We still need a ban on the evictions so that restaurants are not locked out of their buildings when the lockdown is over. We have heard nothing on this request, or the need to defer HST remittances to help businesses pay their bills now. The government needs to sit down with us as soon as possible to find ways to ensure restaurants are able to reopen, and stay open, after January 26th.”

Balzac’s Coffee Sign from January 5th, 2022 (Image: Dustin Fuhs)

The new Ontario lockdown measures became effective Wednesday, January 5 at 12:01 a.m. for at least 21 days (until January 26).

“It is good news the Ontario government will provide $10,000 grants to help compensate for lockdowns. It appears those who received earlier rounds won’t need to reapply. But if lockdowns go on for longer than three weeks, this is entirely insufficient,” said Dan Kelly, President and CEO of the Canadian Federation of Independent Business

Dan Kelly

“The grant won’t help those affected by deep capacity restrictions (like retail), suppliers to locked down industries, those losing customers because of fear of Omicron or those who are affected by ‘work from home’ orders (like dry cleaners). More comprehensive help is needed.”

Kelly said only 35 per cent of Ontario’s small firms are at normal revenues. The average COVID-19 debt for an Ontario small business is an alarming $190,000, and 18.5 per cent are actively considering bankruptcy.

“As the pandemic restrictions continue and consumers are told to stay home, small businesses are struggling with limited sales and staggering debt. The average small business (in Canada) has taken on $170,000 in fresh COVID-related debt and it is this burden that will drag many into bankruptcy or wind down,” added Kelly.

“CEBA (Canada Emergency Business Account) could play a big role in ensuring more small firms survive. CFIB is advocating that the (federal) government add another $20,000 to CEBA loans for a total of $80,000. But loans on their own are not enough. The federal government should significantly increase the portion forgiven to 50 per cent of the total. We are also advocating that the loan repayment period be delayed until the end of 2024 to ensure small firms have more time to get back to normal.” 

Peter Bethlenfalvy

Peter Bethlenfalvy, Minister of Finance in Ontario, said the provincial government understands that public health measures needed to blunt the spread of the Omicron variant are impacting the lives and livelihoods of small businesses, workers and families across Ontario.

“Since the first day of the pandemic, we have provided unprecedented levels of support to protect people, jobs and our economy. We will continue to deliver on that commitment,” he said.

Eligible small businesses for the Ontario COVID-19 Small Business Relief Grant for small businesses that are subject to closure under the modified Step Two of the Roadmap to Reopen include:

  • Restaurants and bars;
  • Facilities for indoor sports and recreational fitness activities (including fitness centres and gyms);
  • Performing arts and cinemas;
  • Museums, galleries, aquariums, zoos, science centres, landmarks, historic sites, botanical gardens and similar attractions;
  • Meeting or event spaces;
  • Tour and guide services;
  • Conference centres and convention centres;
  • Driving instruction for individuals; and
  • Before- and after- school programs.

“Small businesses, job creators and the entrepreneurial spirit are the backbone of Ontario’s economy. Unfortunately, these businesses have been some of the most impacted by COVID-19, and many continue to struggle,” said Vic Fedeli, Minister of Economic Development, Job Creation and Trade. “Since the start of the pandemic, we have provided unprecedented supports for businesses in every region of the province. With the new Ontario COVID-19 Small Business Relief Grant, our government will provide relief for thousands of small businesses that create jobs for hard working Ontarians.”

The government said eligible businesses that qualified for the Ontario Small Business Support Grant and that are subject to closure under modified Step Two of the Roadmap to Reopen will be pre-screened to verify eligibility and will not need to apply to the new program. Newly established and newly eligible small businesses will need to apply once the application portal opens in the coming weeks. Small businesses that qualify can expect to receive their payment in February.

The Ontario government said it is also providing electricity-rate relief to support small businesses, as well as workers and families spending more time at home while the province is in Modified Step Two. For 21 days starting at 12:01 am on Tuesday, January 18, electricity prices will be set 24 hours a day at the current off-peak rate of 8.2 cents per kilowatt-hour, which is less than half the cost of the current on-peak rate. The off-peak rate will apply automatically to residential, small businesses and farms who pay regulated rates set by the Ontario Energy Board and get a bill from a utility and will benefit customers on both Time-of-Use and Tiered rate plans.

The government said it is also improving cash flows for Ontario businesses by providing up to $7.5 billion through a six-month interest- and penalty-free period starting January 1 for Ontario businesses to make payments for most provincially administered taxes. This supports businesses now and provides the flexibility they will need for long-term planning. Building on Ontario’s efforts to improve cash flows for businesses, the province continues to call on the federal government to match provincial tax deferral efforts by allowing small businesses impacted by public health restrictions to defer their HST remittances for a period of six months, it added.