Canadian Businesses Demand Faster Investment Approvals

Canadian business leaders are urging Ottawa to accelerate infrastructure projects and simplify regulation ahead of the federal Budget, arguing that investment delays threaten the country's ability to compete for capital and expand domestic industries.

A survey released by KPMG Canada on Wednesday found that 42% of respondents prioritised faster approval of major projects and reduced regulatory burdens. Another 41% wanted policies to attract foreign investment and retain capital at home, while 39% sought greater support for industries such as energy, critical minerals and advanced manufacturing.

Tax policy was also prominent. Some 87% favoured a comprehensive review of the tax system, and 85% called for simpler rules. More than half said the government's Productivity Mega Deduction, which allows immediate deductions for certain qualifying investments, would encourage purchases of machinery, technology or other capital assets. The responses suggest businesses are weighing not only whether to invest, but whether administrative complexity and tax treatment affect the timing of those decisions.

KPMG questioned 346 business owners and decision-makers between 22 September and 2 October. The sample included companies with annual revenues ranging from $10 million to more than $1 billion, so its findings should not be treated as representative of every Canadian small business. Nevertheless, the survey highlights a tension facing policymakers: companies want public infrastructure and targeted incentives, but many are also seeking simpler rules and lower tax burdens. That tension extends beyond the largest corporations. The forthcoming Budget will test how far Ottawa can decisively meet those demands within its fiscal constraints.