Almost half of B.C. restaurants are struggling, many at risk of closure

Nov 27 2025, 10:58 pm

The last few years have been tough on restaurants in B.C., and a new report outlines just how badly some are struggling.

Data collected from establishments around the province by the British Columbia Restaurant & Foodservices Association (BCRFA) shows that almost half (45.6 per cent) of restaurants are struggling in the province.

While 7.6 per cent of restaurants said they’re thriving, another 7.6 per cent said they’re at risk of closing, revealing a startling divide.

35.7 per cent of surveyed establishments said they’re stable.

2025 brought specific challenges to the restaurant industry due to the BCGEU strike, which impacted the BC Liquor Distribution Branch (LDB). In October, restaurants said they were actually running out of alcohol, adding additional strain on some establishments.

Others in the industry have also raised an alarm.

Earlier this year, Daily Hive spoke to Corvette Romero and Matt Brennan, owners of Shameless Buns food truck and Jack’s Chowder on Fraser Street. Their thoughts reflect some of the realities of the BCRFA report.

Romero went as far as to say that the industry is on “life support.”

“Even the legacy restaurants,” he said.

“Unless you have a lineup from open to close, you aren’t making money. There are only about 10 restaurants in the city that are doing that.”

Many in the industry haven’t forgotten the battles that were waged against the COVID-19 pandemic, including Romero.

“Over our years of operation, we have battled a pandemic, heat domes, atmospheric rivers, a crippled economy, delivery apps and rapidly changing customer habits. The last two years have been incredibly difficult for us and virtually everyone we know with a food business. The bottom line is, people just aren’t spending as much money and the cost of goods continues to rise.”

Other realities that restaurants have expressed some dismay about over the last two years include minimum wage increases.

65.5 per cent of respondents told the BCRFA that rising costs, including food, inputs and inflation, were the top operational challenge. 48.5 per cent of restaurants said they were struggling to hire or attract staff.

In terms of the biggest concerns heading into next year, 83 per cent said it was rising costs, 46.2 per cent said it was provincial policy changes, and 40.4 per cent said labour availability. 27.5 per cent of respondents said they were concerned about customer demand.

2025 has been a particularly challenging time for plant-based restaurants in Vancouver, with many major establishments in the vegan scene closing.

With files from Daniel Chai

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