House of Commons Hansard #27 of the 43rd Parliament, 2nd Session. (The original version is on Parliament's site.) The word of the day was ndp.
Chrystia Freeland Liberal University—Rosedale, ON
Madam Chair, agriculture is so key to the Canadian economy. It is key to Canadian society and Canadian communities. I think we should all be proud of our farmers, and of course agriculture and our farmers are going to be a key part. They are a key part of our economic—
Lindsay Mathyssen NDP London—Fanshawe, ON
Madam Chair, before I ask questions, I just want to acknowledge that the NDP has worked hard on this to push the government to improve its legislation, and I wanted to thank my colleagues for that. Sadly, it took a long time, but I also want to speak to the incredible resilience of the small and medium-sized businesses in my riding. They have shown dedication to their craft, and loyalty to their clients and their employees. I want to also give special thanks to the Argyle and Hamilton Road BIAs. They have often advocated for their members throughout this pandemic and fought alongside them for their survival.
In London—Fanshawe, I also wanted to tell the House about Matilda, who owns Enchanté Hair Studio, and Melanie, who owns Madison's Boutique & Consignment. Their landlord refused to apply for the government's first failed commercial rent program.
What is the government doing to make sure this new program undoes the damage of the first?
Chrystia Freeland LiberalDeputy Prime Minister and Minister of Finance
Madam Chair, I would like to thank the member opposite for her visible hard work on behalf of her constituents and the businesses in her riding.
What we are talking about tonight is a very substantial, comprehensive set of measures that will help Canadian businesses, like the ones the member opposite has described in her riding, going forward. The rent subsidy means 65% of rent covered and up to 90% if they are subject to a local lockdown, and that goes back to September 27. The wage subsidy is up to 65% of wages covered, and, of course, there is CEBA, which we are going to expand so businesses can get a 60% loan—
Lindsay Mathyssen NDP London—Fanshawe, ON
Madam Chair, there is also an incredible Lebanese restaurant in south London. The owners are still trying to catch up on debts because they were not eligible for CECRA. They are just one example of so many in my riding.
Will the minister ensure this new rental subsidy program is retroactive from the start of the pandemic to help these businesses recover?
Chrystia Freeland Liberal University—Rosedale, ON
Madam Chair, the member opposite makes me want to go dine in London, Ontario with that description.
This program will apply from September 27. It is focused on the future and provides really generous support for businesses.
Lindsay Mathyssen NDP London—Fanshawe, ON
Madam Chair, the minister has said that the answer for companies that need help is they should go further into debt. Is that her only solution? Does she truly believe that is the most help her government can provide?
Chrystia Freeland Liberal University—Rosedale, ON
Madam Chair, we are talking tonight about providing really significant support for enterprises, with up to 65% of wages covered. That is a grant, not a loan.
Lindsay Mathyssen NDP London—Fanshawe, ON
Madam Chair, businesses cannot take on bigger loans. It just puts them further into debt. She does not understand.
There are several cultural clubs in my riding that provide an incredible connection for their members through their history, culture, language and identities. Several clubs survive by hosting events, celebrations and ceremonies and that cannot happen now because of COVID—19.
These clubs own their own land and their buildings, so they are not eligible for the programs under the former or the currently proposed programs, and they are drowning in debt from other fixed costs. Is there a plan to help these clubs?
Chrystia Freeland Liberal University—Rosedale, ON
Madam Chair, I will conclude my answer to the last question, because it is important for Canadians to understand. Neither the wage subsidy nor the rent subsidy involve additional debt for businesses. These are straight grants from the government to Canadian enterprises. I agree that is what Canadian enterprises need. That is why we are going to be there for them.
I would also like to point out a new feature of the rent support program. It is available not only to enterprises that are renters but also to support enterprises and entities that are—
Lindsay Mathyssen NDP London—Fanshawe, ON
Madam Chair, why did this government choose not to make the program retroactive to April?
Chrystia Freeland Liberal University—Rosedale, ON
Madam Chair, our focus is on keeping businesses that are viable today viable going—
Lindsay Mathyssen NDP London—Fanshawe, ON
Madam Chair, a constituent in my riding named Matthew fears the loss of his job. He works for a company that has a few franchises. In this new program proposed by the Liberals, they have placed a $300,000 cap on support provided to businesses. However, for companies that are franchises with a few locations, many rents can add up quickly and $300,000 does not cover them for very long or at all. Would the government consider increasing that cap?
Chrystia Freeland Liberal University—Rosedale, ON
Madam Chair, I think the New Democratic Party shares our government's absolute focus on helping the small businesses that need the support the most. That is what this program has been—
James Bezan Conservative Selkirk—Interlake—Eastman, MB
Madam Chair, I am going to be asking questions of the Minister of Finance. I want to really focus in on those issues that are important to my riding and have been expressed to me by many businesses and farmers.
As was already alluded to by the member for Lakeland, a lot of our farmers have had trouble accessing the CEBA account. I want to ensure the current forms of the new wage subsidy and rent subsidy will not involve any problems with people accessing them if they do not have business bank accounts, which is so important to sole proprietorships.
Jean-Yves Duclos LiberalPresident of the Treasury Board
Madam Chair, I appreciate the member's excellent question. The idea is exactly what the Minister of Finance said earlier, which is to make sure that everything is put into place so that businesses in his riding and across Canada have access to the type of support that they need according to their conditions in the current crisis.
James Bezan Conservative Selkirk—Interlake—Eastman, MB
Therefore, Madam Chair, in the situation of a sole proprietorship that does not have a business account, or may not even have a business registration number with the Government of Canada because as a farm it is GST exempt and is not collecting taxes on behalf of the government, will the business owner be able to access these programs if they are eligible?
Jean-Yves Duclos Liberal Québec, QC
Madam Chair, again I am very pleased to support and repeat what the Minister of Finance said very clearly earlier, which is that the objectives of this very important piece of legislation are to support business owners in a very difficult time, and to be adapted to their specific—
James Bezan Conservative Selkirk—Interlake—Eastman, MB
Madam Chair, I am going to hold the minister to account on this because I really do believe that we want to make sure that business owners can access it. Right now, we know on the CEBA program that if people do not have a business registration number with Revenue Canada they do not qualify. To me, that is discriminatory against those sole proprietorships.
I will ask the minister one more time: Will the Liberals make sure, for these new programs as well as for CEBA, which is currently in effect, that they get rid of the requirement for business registration numbers for sole proprietorships, especially for farmers?
Mary Ng LiberalMinister of Small Business
Madam Chair, I want to thank the hon. member for that question and for his great advocacy for small business owners, particularly for those farmers who operate on a personal account. We announced, and of course it is being made available, the CEBA loan for those very business owners who operate on a personal account.
