B.C. permanently capping fees charged by food delivery companies

B.C.’s temporary cap on fees that food-delivery companies can charge restaurants will now be permanent, as the province looks to support restaurant and bar owners facing challenges brought on by the pandemic and inflation.

A cap on fees charged to B.C. restaurants by food-delivery companies will be made permanent as the province looks to support restaurant and bar owners facing challenges brought on by the pandemic and inflation.

The new legislation is being introduced ahead of the temporary cap’s expiry date of Dec. 31. The cap first came into effect in December 2020, when restaurants were growing reliant on delivery services due to the pandemic and were being charged fees as high as 30 per cent.

In a statement released Thursday, Jobs Minister Ravi Kahlon explains the goal is to provide more certainty to the restaurant industry, as well as to delivery drivers.

“As the costs of food and labour rise worldwide, B.C. restaurants need to be supported to ensure prices are affordable and that delivery companies aren't charging unfair fees,” Kahlon says.

BC Restaurant and Foodservices Association President Ian Tostenson says he’s grateful the government has listened to his industry’s concerns.

“Transforming the temporary delivery fee cap into a permanent model is a game changer for the recovery of our industry and setting restaurants up to be able to thrive in the future,” said Tostenson in the release. 

This is a developing story and will be updated.