Ontario to increase beer fee, hitting Beer Store, private retail, bars, restaurants
CBC
Ontario's liquor agency is increasing a fee it charges brewers, a move that would boost the cost of beer for all retailers, restaurants and bars in the province.
The move by the LCBO comes just days before the provincial election on Thursday.
The LCBO posted information about the fee increase on its website Monday within hours of Ontario PC Leader Doug Ford unveiling a new campaign promise to scrap the province's mandatory minimum prices for alcohol.
The increase is set to take effect on April 1.
It amounts to a 4.4 per cent jump in what the LCBO calls "cost of service," a levy that applies to all beer products — whether imported or domestic — sold at retail outlets such as The Beer Store, supermarkets, convenience stores and brewery retail outlets, as well as on beer distributed to bars and restaurants.
For beer sold at a retailer, the fee is currently set at 74.11 cents per litre and would rise to 77.37 cents per litre in April. That translates to a total of $8.78 on a case of 24 "Tall Boy" (473 ml) cans, a 37-cent increase from the current rate.
Retailers are not obligated to pass on the fee increase to consumers, but if they don't, the hike will eat into their profits.
The cost of service fee levied on beer distributed to bars and restaurants is lower than the fee applied to the retail outlets, but is also set to rise by 4.4 per cent.
CBC News asked the LCBO on Tuesday morning to explain the rationale behind the increase, but the agency has yet to reply.
Ontario's craft beer industry is blasting the fee hike, saying it will increase prices for beer drinkers.
"At a time when supporting local has never been more important in the face of U.S. tariffs, these LCBO fee increases are the wrong move at the wrong time," said Scott Simmons, president of Ontario Craft Brewers, in a statement provided to CBC News.
The fee increases "only mean one thing — beer will be more expensive for consumers," said Simmons.
He is calling on all parties in the election campaign to commit to reversing the fee increase and to lower other taxes on Ontario-owned craft brewers.
After CBC News broke this story Tuesday, a spokesperson for the Ontario PC Party campaign said that a re-elected Ford government would not proceed with this increase.
Prince Edward Island's new premier is promising stability during the transition period and assuring Islanders that government work will continue uninterrupted as the province navigates key challenges.
When Anna Foat's late mother-in-law needed a higher level of personal care at the height of the COVID-19 pandemic, the family's original plan was to take care of her in their home.
Diners in a Windsor, Ont., restaurant were stunned and elated over the weekend when an American couple picked up the bill for the packed establishment — citing U.S. President Donald Trump's divisive rhetoric and their love of Canada.
Thursday is election day in Ontario, and while the polls have consistently had the Progressive Conservatives cruising to re-election, there are various ridings across the province in which the results may come down to the wire or have broader implications. Here are 10 ridings to watch on election night.
During a single 24-hour period last October, a total of 390 people experienced homelessness in the Cochrane district, which includes Timmins, and other communities.
Robin Blecker first noticed something growing on her face in December 2023.
Saint John Coun. Paula Radwan says she was shocked when she learned J.D. Irving Ltd.'s paper plant had cut 140 people from its workforce.
When a metal ladder fell and hit Somayeh Ahmadiseddigh in the head at work earlier this month, she was dizzy, nauseous and had trouble standing up.
A retired farmer from MacGregor, Man., is suing the Royal Canadian Mounted Police after an officer allegedly shocked him with a stun gun after busting into his home.
Bryce Sherring and Dawson Leedahl had just dismounted after a sunset horseback ride on a beautiful February evening when Leedahl got down on one knee and popped the big question.
As the Alberta government heads into a spring legislative sitting on Tuesday pledging to follow through with auto insurance reform and tweaking professional regulatory college powers, political observers say much of the public's focus will be on the budget.
The population of Pemberton, B.C., is fast approaching a threshold, which has politicians scrambling to find ways to pay for the steep policing costs that would fall to the charming mountain town once it exceeds 5,000 residents.
Over the last year, Hamilton hair-business owner Lohifa Pogoson Acker has noticed fewer Black youth and others with textured hair have been getting it styled, while some are visiting the salon less frequently.