Costs of Business

Niagara has Competitive Business Costs

The three basic business costs - wages, taxes and development charges - are very competitive in Niagara. Wage rates for the industries located in Niagara are very low compared to provincial averages. From office buildings to large industrial facilities, property taxes also rank below the average rate for regions across Southern Ontario. Within the Greater Toronto Area (GTA), which includes communities around the western end of Lake Ontario from Oshawa to Niagara Falls, the Niagara Region has the lowest development charges. Development charges apply to developments that range from residential to industrial in nature, as a way to recover a portion of the cost of capital expenditures attributable to growth.
 

Business costs from a provincial and national perspective

  • KPMG's comprehensive 2010 Competitive Alternatives study of international business costs confirmed once again that Ontario business costs are among the most competitive of the G8 countries.

  • Business costs are lower in Canada than the United States by 5%, and Niagara ranks at 6.3% lower than the USA business costs baseline.

  • Canada has a low effective corporate income tax for manufacturing operations. Our labour costs, including benefits, are globally competitive.

  • Ontario's public health care systems keeps the costs to employee health benefits low, especially compared to costs in the United States.

  • More than $750 million in business tax cuts will further strengthen the competitive advantage of Ontario business in the global markets.

  • The cost of doing business in Niagara is 94.7*.

*Note: Business costs are expressed as an index, with United States being assigned the baseline index of 100.00. A cost index less than 100 indicates lower costs than the US. A cost index greater than 100 indicates higher costs than the US. For example, an index of 95.0 represents a 5.0% cost advantage relative to the United States.

For more information on business costs in Niagara, contact one of our economic development officers.

 
print