Fraser Institute report flags record spending in B.C. under Eby government

British Columbia’s NDP government under Premier David Eby is overseeing the highest level of per-person provincial program spending on record.

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British Columbia’s NDP government under Premier David Eby is overseeing the highest level of per-person provincial program spending on record, according to a new report released Tuesday by the Fraser Institute.

The inflation-adjusted analysis found that per-person program spending in B.C. is projected to reach $13,711 in the 2025 fiscal year, the highest single-year level in the data collection’s over six-decade history.

The report, authored by Tegan Hill and Joel Emes, reviews annual per-person program spending by B.C. premiers over six decades, adjusting for inflation and population growth while excluding interest costs on government debt.

Under Eby, who became premier in late 2022, per-person spending is projected to rise 3.4 per cent from the end of former premier John Horgan’s tenure in 2022 to 2025, according to the study. However, the authors said that if responsibility for the 2022 budget year were attributed to Eby, the increase would be even larger.

The report’s authors said the $13,711 figure marks the highest level of inflation-adjusted per-person spending recorded under any B.C. premier, surpassing previous peaks during periods of rapid government expansion in the 1970s and during the COVID-19 pandemic.

Over a longer historical view, the report found that former NDP premier David Barrett recorded the largest average annual increase in per-person spending at 14.6 per cent during his tenure in the early 1970s. Former Social Credit premier Rita Johnston ranked second at 6.1 per cent, though she served for less than one fiscal year. Former premier W.A.C. Bennett ranked third at 6.0 per cent, followed by John Horgan at 5.2 per cent.

By contrast, three NDP premiers—Michael Harcourt, Glen Clark, and Ujjal Dosanjh—recorded average annual declines in per-person spending of 0.5, 1.0, and 2.6 per cent, respectively, during their time in office, according to the analysis.

The report noted that Eby’s government is presiding over the highest absolute level of per-person spending ever recorded in the province.

The Fraser Institute said per-person spending adjusted for inflation is a key measure of fiscal policy because it reflects both government expansion and the burden on residents, independent of population growth.

The findings are based on public accounts data and provincial budget projections for 2025, adjusted using Statistics Canada population and consumer price index figures.