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Province puts temporary cap on food delivery fees beginning next week

Delivery fees for third-party delivery providors will be capped at 18 per cent beginning next week
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(Getty Images)

The provincial government is capping the fees on food delivery charges, just one day after announcing that Regina restaurants will be mandated to close next week amid concerns over COVID-19 variants.

All third-party food delivery providers in the province will be required to cap delivery fees at 18 per cent of the customer’s pre-tax order if the food is being delivered, and at 10 per cent on the purchase price for orders picked up by customers at the restaurant.

"Our restaurant sector has been especially challenged by the economic impacts of COVID-19 and this is one more way we are working with industry to support this important sector and the jobs it provides," said Trade and Export Development Minister Jeremy Harrison, in a press release.

The announcement follows changes made to public health orders for Regina and area, mandating restaurants to close their indoor dining services and switch to take-out and delivery beginning March 28. 

"This is terrific news for the industry," said Hospitality Saskatchewan President and CEO Jim Bence, in a press release. "These are extremely difficult times for hospitality, especially in Regina right now, and further demonstrates the government's unwavering commitment to our sector."

The temporary cap will come into effect beginning March 28, lasting until April 30. It will be enforced under the Emergency Planning Act, and applies to third-party delivery companies that provide services to more than 50 restaurants across the province.

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