On the heels of a modest increase in consumer confidence in January, Retail BC welcomed the confidence-building 2009 provincial budget today.

“Retailers are encouraged by significant decreases to both personal and business taxes this past year, and are optimistic that these cuts will generate increased discretionary spending for consumers” said Mark Startup, President and CEO of Retail BC.

“BC is already one of the lowest tax jurisdictions in Canada for personal income tax and business taxes” continued Startup. “In spite of the slowing global economy, British Columbians will have even more discretionary spending in 2009 than last year.”

Increased capital expenditures of $14 billion will offer much needed job creation and spending, which is imperative for maintaining healthy BC communities.

“Relatively low unemployment rates, low interest rates, lower gas prices and a competitive market bodes well for continued growth in consumer confidence” said Startup.

After several months of belt – tightening themselves, BC’s retailers believe the 2009 budget provides a prudent fiscal path for British Columbia. “Retailers have been responding to the financial downturn for some time, and it’s encouraging to see the provincial government recognize the need to take action through capital expenditure and cost containment” noted Startup.