The BC Construction Association (BCCA) has released its Fall 2025 Stat Pack, a semi-annual report that explores economic and labour conditions across British Columbia’s construction sector.
The data revealed that construction material costs have increased by 4 per cent year-over-year, which BCCA says is double the Bank of Canada’s inflation target.
At a time when trade uncertainty and other pressures continue to contribute to BC’s affordability challenges, these sustained cost increases are raising the overall cost of building.
As costs rise, sector activity also remains steady. The report noted that industrial, commercial, and institutional (ICI) permit values are up 9 per cent year over year, and the number of multi-unit residential permits issued is up 10 per cent.
“While overall inflation in BC and Canada has cooled, we continue to see construction material costs rise at a higher rate in BC’s construction sector,” said Chris Atchison, president, BCCA. “These pressures are driving construction costs higher at a time when trade uncertainty is already causing many to rethink their investments, creating a secondary impact across the industry.”
BC’s construction sector remains a key driver of the provincial economy, contributing a total of 9.2 per cent of GDP and employing more than 267,000 people, which demonstrates strength and resilience. BCCA continues to support initiatives that encourage growth and investment across the sector.
The release of the Stat Pack comes as the provincial government introduced Prompt Payment legislation, designed to ensure workers and businesses are paid on time for completed work. BCCA has been a leading advocate on this issue and continues to champion the Bill’s passage.
“There are many external pressures on our industry that we cannot control, but advocating for prompt payment and fairness across our industry is something we can,” said Atchison. “We look forward to working with the government to advance this legislation and provide contractors with relief from the ongoing pressures created by trade and payment uncertainty.”