With the provincial surplus sitting at $12.3 billion, the decisions made in the next provincial budget are critical to Alberta’s continued economic prosperity. Albertans, and Alberta businesses, have high expectations for the future. They are seeking a balance between fiscal responsibility, strategic investments, and affordability spending that will prepare future generations for long-term economic growth.

Our budget submission proposes specific recommendations that will strengthen our economic position by providing relief for businesses facing the pressures of rising costs and inflation, supporting those struggling with the skills gap and labour shortage, and promoting economic competitiveness and diversification across the province – all while ensuring Alberta remains a welcoming place with an inclusive economy.

Business priorities

1. AFFORDABILITY & RISING COSTS

Calgary businesses continue to face headwinds with the rising cost of inputs and record-high inflation. The provincial government must work collaboratively with the business community and other levels of government to identify opportunities to reduce costs and provide support.

1. Commit to competitive and predictable tax rates by ensuring the current corporate income tax rate will be no higher than eight per cent and the small business tax rate to be no higher than two per cent.  
   
   
2. Maintain and expand affordability supports, including fuel tax relief, electricity and natural gas rebates, and low-income transit passes.
   
   
3. Invest in supply chain infrastructure, including rail and domestic manufacturing capacity, to mitigate pressure points and bottlenecks and ensure businesses receive the goods and services they require to operate, grow, and expand.
   
   
4. Provide immediate support of $30 million to community service providers and increase existing operation agreements by 10 per cent to address issues of social disorder and safety related to houselessness, mental health, and addictions.
   

2. ECONOMIC DIVERSIFICATION & COMPETITIVENESS

The province must focus on diversification by incenting investment in new and emerging sectors. We must continue to position Alberta as Canada’s most competitive jurisdiction by ensuring clear, consistent, and competitive regulatory conditions. This includes working directly with Alberta’s businesses to identify supports for growth while reducing red tape.

BUILDING ON OUR ECONOMIC STRENGTHS

1. Create stackable tax credits matching the federally proposed tax credits:
   - Clean Technology Investment Tax Credit at 30 per cent
   - Clean Hydrogen Investment Tax Credit at 40 per cent
   - Carbon Capture, Utilization, and Storage Investment Tax Credit at 50 per cent
   
   
2. Financially support and de-risk the development and scaling of decarbonization technologies to help make Alberta a leading clean technology leader.
   
   
3. Support the agriculture sector through investments in transportation and supply chain infrastructure including increased rail capacity.
   

INVESTING IN EMERGING INDUSTRIES

1. Invest in hydrogen in the Calgary region using the Alberta Petrochemicals Incentive Program, similar to the recent $160 million investment in Air Products.
   
   
2. Invest in and promote the development of Sustainable Aviation Fuel (SAF) across the province, supporting the agricultural and aviation industry.
   
   
3. Add a 30 per cent post-production tax credit to support the full value chain in the film and television industry.
   
   
4. Continue applications for the financial services and fintech regulatory sandbox.

3. TALENT & LABOUR

Businesses across all sectors are threatened by a lack of available talent, skills gaps, and greater competition for skilled workers. Addressing Calgary’s – and Alberta’s – talent gap requires sustained focus, collaboration, and new perspectives from all orders of government.

EDUCATION & SKILLS DEVELOPMENT

1. Invest in skill development including:
   - Restore funding to post-secondary institutions
   - Re-open the training component of the Alberta Jobs Now program
   - Multi-year micro-credentialing support
   
   
2. Create tuition credits and financial supports for students and businesses participating in work-integrated learning and professional development.
   
   
3. Decrease interest rates on student loans to make education more accessible.
   

IMMIGRATION & RECRUITMENT

1. Within the provincial Alberta Opportunity Stream, review and modify eligibility requirements to increase the pool of potential immigration candidates.
   
   
2. Direct Alberta Settlement and Integration Program funding toward organizations stewarding social infrastructure projects and housing developments – such as immediate-term and mixed-income housing – to support recently arrived newcomers.
   
   
3. Continue support for the $2.6 million “Alberta is Calling” campaign to recruit talent to Alberta.
   

INCLUSIVE ECONOMIC GROWTH

1. Commit $90 million annually for the next three years to deliver on the province’s promised new affordable housing units helping cover 25 per cent of the current cost for new builds.
   
   
2. Continue to improve affordability and quality of childcare in Alberta within the federal-provincial childcare agreement.
   - Top-up funding for childcare operators to respond to the inflationary environment.  
   - Provide grant funding for infrastructure improvements.
   

4. INFRASTRUCTURE

Investing in infrastructure helps retain and attract new talent to Calgary, which is particularly critical in a labour shortage.

1. Support existing downtown Calgary community development and regentrification projects, including Olympic Plaza, Stephen Avenue, and Downtown West by matching the City of Calgary’s recent $108 million one-time budget investment.
   
   
2. Advance the Culture + Entertainment District, including the Event Centre, by providing $100 million and waiving provincial property tax for the District.
   
   
3. Provide $200 million in additional support for arts in Calgary, including funds for Arts Commons, the National Music Centre, Glenbow Museum, Contemporary Calgary, and Calgary Arts Development.
   
   
4. Invest $40 million in office conversions in downtown Calgary, matching the municipal government’s $20 million for office to post-secondary conversions and allocating $20 million for mixed-use housing, affordable working spaces for start-ups.  
   
   
5. Invest in new transportation infrastructure, including rail connecting the Calgary Airport to downtown and beyond to enhance the city’s position as an international convention and event centre.
   

5. FISCAL RESPONSIBILITY

As the government prepares Budget 2023, the Calgary business community urges fiscal responsibility by:

1. Focusing on long-term fiscal sustainability through both revenue generation and spending efficiency.
   
   
2. Critically examining all government spending to ensure fiscal responsibility, with a particular focus on finding efficiencies in recurring expenses.
   
   
3. Bring the debt-to-GDP ratio to eight per cent immediately.
   
   
4. Plan to increase contributions to the Heritage Savings Trust Fund beginning with 40 per cent of the surplus in Budget 2023.

ABOUT THE CALGARY CHAMBER OF COMMERCE

The Calgary Chamber exists to help businesses thrive. As the convenor and catalyst for a vibrant, inclusive, and prosperous business community, the Chamber works to build strength and resilience among its members and position Calgary as a magnet for talent, diversification, and opportunity. As an independent, non-profit, non-partisan organization, we build on our 131-year history to serve and advocate for businesses of all sizes, in all sectors, and across the city.