Housing market a major challenge for Vernon businesses | iNFOnews | Thompson-Okanagan's News Source
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Housing market a major challenge for Vernon businesses

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Image Credit: THE CANADIAN PRESS/Sean Kilpatrick

VERNON - The challenging housing market and lack of affordable homes is making it difficult for some local businesses to attract and keep staff.

That was one of the findings of an economic outlook survey presented to Greater Vernon Chamber of Commerce members today, April 26.

Around 200 randomly selected businesses in the Greater Vernon area completed the survey, the first of its kind locally. The report looked at numerous aspects of the local business climate, including housing.

“We are hearing that 45 per cent feel the housing market is impacting business,” Christy Davidson with MNP’s advisory team said.

Businesses said staff — and clients — are having trouble finding affordable housing and have less money to spend due to larger expenses.

READ MORE'It's leading to burnout,' Vernon business owner says of local labour shortage

Other challenges highlighted include uncertainty about the local economy, government regulations, lack of skilled labour and Vernon's image. 

The number one thing local government can do to improve the business climate? According to the survey, most businesses identified lowering taxes, cutting bureaucracy and roadblocks to development and dealing with homelessness.

Of those businesses that responded, 43 per cent are located in downtown Vernon, 24 per cent in Vernon North, and the rest dispersed throughout the city. About 40 per cent said they’ve been in business here for more than 20 years, compared to new businesses within the last two years or less, which accounted for only 16 per cent.

Respondents pointed to tourism as a key economic driver and a top priority for economic development.

Despite the challenges, more than half of respondents (53 per cent) said they are in a better financial position compared to 12 months ago and 35 per cent hired new staff. Looking ahead, 39 per cent expect to hire additional staff in 2018.

The report by MNP is expected to be used as a benchmark for comparison in two-to-three years. 


To contact a reporter for this story, email Charlotte Helston or call 250-309-5230 or email the editor. You can also submit photos, videos or news tips to the newsroom and be entered to win a monthly prize draw.

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