NDP MLA Grace Lore says early Christmas gift is coming for Victoria restaurants with extension of delivery fee cap

VICTORIA – New Democrat MLA Grace Lore says local restaurants and bars will not face a spike in delivery fee charges in the new year, as the province is extending the food delivery fee cap until December 31, 2022.

The cap, which was previously set to expire at the end of 2021, limits the total fees delivery companies can charge food establishments, and helps restaurants continue to operate during the ongoing COVID-19 pandemic.

“Everyone in the food service industry, from restaurant owners and delivery drivers to kitchen and serving staff, has dealt with challenges throughout the pandemic,” said Grace Lore, MLA for Victoria-Beacon Hill. “Capping fees for food delivery provides needed certainty for workers and that’s why we are extending the fee cap for another year.”

The order will continue to cap fees charged to restaurants by food delivery companies to 15%. An additional cap of 5% will also be extended for other related fees associated with use of the service, such as online ordering and processing fees. This will ensure companies cannot shift delivery charges to other fees.

The order also prohibits delivery companies from reducing compensation for their drivers or retaining staff gratuity, making sure workers will continue to be paid their regular wages.

The food delivery service fee cap is being extended under the COVID-19 Related Measures Act. The original order was put in place on December 22, 2020, under the Emergency Program Act and extended in September 2021.

Small delivery service businesses that serve fewer than 500 restaurants will continue to be exempt from the order.

Learn Morehttps://news.gov.bc.ca/25987