‘Not a flashy budget’: How B.C.’s 2025 budget impacts your pocket

Amongst the measures the B.C. government announced on Tuesday within its 2025 budget to address the newly implemented U.S. tariffs and its ensuing economic impacts, you may be wondering what that means for your own hip pocket this year.

The BC NDP’s 2024 election-winning platform included a grocery rebate that would’ve seen $1,000 in the pockets of most British Columbians. With that now taken off the table, B.C.’s budget might be slimmer in what it will give back to workers and families than in years before.

CLICK HERE TO LISTEN TO 1130 NEWSRADIO VANCOUVER LIVE!

However, the Ministry of Finance says it continues to work toward reducing costs for families and enhancing tax measures to support jobs and economic growth.

“It is not a flashy budget,” Minister Brenda Bailey explained.

ICBC rebate coming to eligible policy holders

For a fourth time since May 2021, the government will be issuing an ICBC rebate to eligible drivers across the province. The $110 cheque is estimated to cost over $410 million in total.

The province adds that the base ICBC rate will not be increasing in 2025. It will remain at the same rate through March 31, 2026, “marking six years in a row with no increases, keeping rates more affordable for British Columbians.”

Climate Action Tax Credit to continue for as long as federal carbon tax is in place

The B.C. government is planning for the federal carbon tax to continue through 2028, and with that, the province will continue to provide the Climate Action Tax Credit to those eligible British Columbians.

“Government remains committed to removing the consumer carbon tax should the federal government remove the requirement for carbon pricing across Canada (also known as the federal backstop),” the ministry stated.

“As it stands, 100 per cent of incremental carbon tax revenue is returned to British Columbians through the climate action tax credit,” it added.

Rental Assistance Program threshold increasing to $60,000

The province says the number of lower-income families who receive help with their monthly rent payments will nearly double over the next three years.

“To qualify, families must meet a total before-tax household income threshold, have income at some point in the last year and have at least one dependent child. Budget 2025 will increase the income threshold from $40,000 to $60,000 and increase the average supplement families receive by nearly 75 per cent from around $400 per month to $700 per month,” the ministry of finance explained.

Shelter Aid For Elder Renters (SAFER) threshold increases

For British Columbians 60 years and older who rent their homes, the threshold for subsidies is increasing in 2025.

“Budget 2025 makes further eligibility changes that are estimated to benefit up to 1,600 more seniors, by further increasing to the income threshold to $40,000,” the ministry stated. “Enhancements to the program will also provide nearly 30 per cent more funding on average, with the average supplement increasing from $261 to $337 per month. Overall, it is estimated that over 25,000 seniors will benefit from these enhancements.”

Children with support needs to receive more funding

Children and youth in B.C. with autism are set to receive more support this coming year, the 2025 budget explains. The province is investing $172 million through 2028 “to support more children and youth with an autism diagnosis, as well as families accessing medical benefits for children and youth with severe disability or complex health care needs.”

“Autism funding helps pay for eligible services or supports that promote skill development for children with autism. New funding will provide over 2,700 more children with access to supports, bringing the estimated total in 2025/26 to nearly 30,400 children and youth.”

Struggling B.C. film industry sees bolsters to tax credits

As some workers continue to look for jobs in B.C.’s struggling film industry, the government says it is hoping to lure more productions to the province by enhancing its film tax credits.

“The basic Film Incentive BC tax credit is increased from 35 per cent to 40 per cent, and the basic production services tax credit is increased from 28 per cent to 36 per cent. These new rates apply to productions with principal photography beginning on or after January 1, 2025,” the ministry stated in its budget.

The province is also introducing a new credit. The major production tax credit is available to production services tax credit claimants with B.C. production costs greater than $200 million. Meanwhile, the regional and distant location tax credits have been amended to allow animation productions with a “brick-and-mortar presence” in a regional or distant location to claim supplemental credits.