Saskatchewan

Government of Sask. to temporarily cap food delivery fees

On Wedneday the province announced it would be introducing a cap on the fees third-party delivery companies can charge on both delivery and pickup orders.

Fees capped at 18 per cent for delivery, 10 per cent for pickup options

The Saskatchewan government says it's introducing caps on the fees delivery companies can charge that will be in place until April 30, 2021. (Bryan Eneas/CBC )

The Saskatchewan government says it's going to cap food delivery charges in a move to support restaurants. 

Delivery fees are to be capped at 18 per cent of a customer's pre-tax order if the food deliver service provider completes the delivery and 10 per cent if a customer picks up their food. 

Minister of Trade and Export Development Jeremy Harrison said the restaurant sector in particular faced challenges through the COVID-19 pandemic.

"These caps will mean more money remains with small business and I encourage all Saskatchewan residents to continue to support their local restaurants," Harrison said in a prepared statement. 

The cap on delivery fees will apply to providers that serve more than 50 restaurants across the province. The cap will be enforced by the minister's order under the Emergency Planning Act and is to be in effect starting Wednesday until April 30, 2021.

The cap will be in place alongside previous support measures the provincial government introduced for restaurants, including the small business emergency payment.

Hospitality Saskatchewan president and CEO Jim Bence said the move was "terrific news" for the local restaurant industry.

"These are extremely difficult times for hospitality, especially in Regina right now, and [this] further demonstrates the government's unwavering commitment to our sector," Bence said in the government's release.

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