New report says Alberta small businesses squeezed by rising costs as tariff aid delivers little relief

CALGARY — Nearly three in four Alberta small business owners say the Buy Canadian movement has delivered no noticeable benefit, while rising fuel costs and trade uncertainty force some to cut their own pay and borrow personally to keep operating, according to a new report.Merchant Growth’s 2026 Canadian Small Business Report found 74% of Alberta owners surveyed have seen no noticeable impact from the Buy Canadian push, compared with 67% nationally.Government tariff support has also provided little noticeable relief for most Alberta respondents, with 64% saying federal and provincial measures have made no noticeable difference to their business.Meanwhile, 40% of Alberta owners said their business is performing worse so far in 2026 than during the same period last year, compared with 43% nationally.Rising fuel and energy costs were the most commonly reported pressure in Alberta, cited by 50% of owners. That was higher than the 32% reported in British Columbia and 31% in Ontario.Inflation and rising input costs were identified by 44% of Alberta owners, while 35% cited weak customer spending..World Cup boom may bypass many Canadian small businesses despite strong local support.The financial strain is reaching owners’ household finances. Nearly one in four Alberta respondents — 24% — used personal credit, including credit cards, home equity lines of credit or personal loans, to fund their business over the past year.Another 33% reduced their own salary, while 12% stopped paying themselves altogether.More than half of Alberta owners, 57%, said US-Canada trade tensions have affected their business this year, compared with 65% nationally.Higher costs for goods or supplies were the leading reported trade-related impact in Alberta, cited by 36%. Another 26% absorbed higher costs because they could not raise prices, while 22% reported lower revenue.“You don’t have to export anything to feel this trade war. It lands on a supplier’s invoice, or with a customer who decides to hold off, and a lot of owners can’t pass that cost along,” said David Gens, founder and CEO of Merchant Growth, an online small business financing company.Alberta owners were also more likely than those in British Columbia or Ontario to believe small businesses are being left out of trade negotiations with the United States.The report found 52% of Alberta respondents believe small business is not part of the conversation at all, compared with 33% in British Columbia, 28% in Ontario and 37% nationally.Some Alberta businesses have responded by reducing their ties to the American market. The report found 8% stopped working with U.S. suppliers or partners, 5% found new suppliers outside the U.S. and 5% stopped selling to American customers.Over the next six months, 9% plan to seek new customers or suppliers outside the United States.Consumer support for Canadian businesses has yet to translate into a noticeable lift for most Alberta owners..Canada loses 10% of small businesses since pandemic .Nearly half of Alberta consumers surveyed, 48%, said they shopped more from Canadian small businesses over the past year than in previous years. That was down from 51% in the 2025 report.However, the share who said they shopped “much more” at Canadian small businesses rose to 21%, up from 17% in 2025.Supporting the local economy was the leading motivation for Alberta consumers, cited by 69%, followed by supporting Canadian jobs at 61% and US tariffs at 43%.Price was the biggest barrier, identified by 47% of Alberta consumers. Product availability was cited by 39%, while 29% pointed to store locations.“Canadians have shown up for local businesses, and that matters, but it hasn’t been enough to cover what owners are paying for goods and fuel,” said Gens.Facing those pressures, 22% of Alberta owners have increased prices, 17% delayed or cancelled planned spending to expand their business and 11% reduced staff or hours.Further cutbacks could follow. Over the next six months, 19% plan to raise prices, 13% expect to delay or cancel planned spending and just 4% plan to hire additional staff.Another 14% of Alberta owners surveyed plan to wind down their business.

New report says Alberta small businesses squeezed by rising costs as tariff aid delivers little relief

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