Coronavirus Canada Updates: most Nova Scotia businesses won’t survive another year of COVID-19 restrictions

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Coronavirus Canada Updates: Quebec reports 1,395 new COVID-19 cases, 12 more deaths
Coronavirus Canada Updates: Quebec reports 1,395 new COVID-19 cases, 12 more deaths

The Canadian Federation of Independent Business say many Atlantic Canada businesses are on the brink of bankruptcy.

According to their most recent study, 59 percent of Nova Scotia businesses would struggle to survive another year of COVID-19 business restrictions.

Jordi Morgan, Vice President of the Atlantic region for the CFIB, told NEWS 95.7’s The Rick Howe Show that without continued government support, many businesses in the province will slip below the surface, according to research CFIB has been conducting on business revenues ever since the pandemic began.

“In Nova Scotia, we’re looking at about only 33 percent normal or better,” said Morgan of businesses’ revenues compared to before the pandemic began. “So that means the remainder are below that.”

According to Morgan, the sectors most impacted are arts, hospitality and natural resources industries.

He added the most recent figures show 8 percent of businesses in the province are actively considering bankruptcy or winding down.

With the current revenue projections, only about 35 percent of Nova Scotia businesses would survive the year with their current earnings.

Morgan says the provincial government needs to get creative and ease business restrictions to make life easier for buisnesses as they brace for a potential second wave of COVID-19.

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