On April 8, 2026, the Canadian Federation of Independent Business (CFIB) released a sobering report:50% of Canadian small business owners say crime has increased in their community over the past yearonly 2% reported a decrease. Retail theft has surged 66% since 2014, growing for four consecutive years. Nearly half of business owners worry about their own and their employees' physical safety. Meanwhile, the number of Canadian business closures has exceeded new openings for six straight quarters—crime is becoming another straw breaking small businesses' backs.
The report titled 'Crime Remains a Daily Pressure for Small Businesses' is based on a CFIB survey of 2,899 members (October 9-24, 2025, margin of error ±1.82 percentage points), along with Statistics Canada police crime data. The report reveals a structural safety crisis facing Canadian main streets.
CFIB 2026 Small Business Crime Report Key Data
- Crime Perception:50% of small business owners report increased crime, only 2% report a decrease
- Retail theft (under $5,000):Up 14% year-over-year in 2024, cumulative surge of 66% since 2014
- Theft ($5,000+):Up 8.4% year-over-year
- Safety Concerns:49% of business owners worry about their own and employee safety
- Profit Shrinkage:Approximately 1.5%, nearly double pre-pandemic levels
- BC Reporting Rate:71% of crime victims do not report to police
- Survey Sample:2,899 CFIB members, 95% confidence level, ±1.82% margin of error
From Data to Reality: How Crime Changes the Daily Operations of Small Businesses
The report reveals not just statistical growth, but a commercial landscape being reshaped by crime. Many small business owners have adopted security measures unimaginable five years ago:
- Lock the door during business hours:Retail stores and convenience stores that once welcomed customers with open doors now often require customers to ring a bell or be let in by staff—directly impacting foot traffic and shopping experience.
- Employees Prohibited from Working Alone:Implementing a buddy system, increasing shift staffing, driving up labour costs
- Advanced Monitoring System:Installing high-definition cameras, facial recognition systems, cloud storage, and some even equipping employees with body-worn cameras—previously mainly seen in large chain stores and law enforcement agencies.
- Reinforce Facilities:Replacing smashed storefront glass, reinforcing display cases, installing shatterproof film — costs can run thousands of dollars
- Night Remote Monitoring:Some business owners can't sleep at night, lying in bed staring at their phone's security feed, praying no one breaks in again tonight.
The industry calls this phenomenonSecurity inflationSmall businesses' security spending keeps rising, while profit shrink is about 1.5%—nearly double pre-pandemic levels—steadily eroding already thin margins. CFIB Senior Policy Analyst Kayode Southwood notes: Business owners shouldn't have to spend more time and money dealing with theft, vandalism, and security risks than running their business. The dual economic and emotional toll is draining their energy.
Would rather go back to the pandemic: a shocking comparison
One of the most striking details in the report is the direct quote from some business owners:They'd rather go back to the pandemic than face today's crime problems.This comparison is striking because the impact of pandemic lockdowns on small businesses is well-known—closures, layoffs, zero revenue. Yet, for some business owners, the daily threat of crime feels more draining than a one-time lockdown: lockdowns had a clear end (vaccines, reopening), while crime is an endless war of attrition.
The underrated truth: Why official data may not tell the full story
The CFIB report highlights a key issue—many crimes go unreported to police. Data from BC's Save Our Streets coalition shows:
- 71% of crime victims did not report to police, mainly because they believe the judicial system cannot provide effective help.
- 73% of BC ResidentsIndicated that crime and public disorder affected their quality of life
- 85% of BC Small Business OwnersIndicating that the taxes they paid did not result in improved community safety.
this type ofStatistics of silenceThis means official crime statistics may significantly underreport actual crime. When most crimes in a community go unrecorded, policymakers see a picture that looks safe and manageable, while frontline business owners face a completely different reality.
At the same time, organized crime targeting retail is escalating. Launched in August 2025,Project SommesSpecifically targeting cross-jurisdictional and cross-border organized retail theft networks. Unlike random street theft, these professional crime rings have systematic target selection, fencing channels, and counter-surveillance methods, causing far greater losses to small businesses.
Crime + store closures: a double blow to commercial districts
The crime issue does not exist in isolation. That same month, CFIB released another equally concerning report: Canadian businessesClosures have exceeded new business openings for six consecutive quarters.—The entrepreneurial drought since early 2024. 55% of small business owners say they wouldn't recommend starting a business right now.
Crime is another straw that breaks small businesses—on top of high operating costs, tax burdens, regulatory red tape, labor shortages, and trade uncertainty, rising security expenses and personal safety anxiety directly accelerate owner burnout and closure decisions. As CFIB Senior Policy Analyst Kalith Nanayakkara puts it: small businesses love their communities—they live here, hire locally, and want vibrant streets. But too many owners feel exhausted, anxious, and alone in carrying the load.
CFIB's four policy recommendations
1. Criminal Code Reform
Stronger penalties for repeat and organized crime. The current justice system is seen as lacking sufficient deterrence for habitual offenders, with the same faces appearing repeatedly at different crime scenes while facing little real consequence.
2. Law Enforcement Service Standards
Improve police response times to commercial crime reports, simplify the reporting process, and ensure consistent follow-up. Too many business owners report that their reports disappear into a black hole.
3. Security Rebates
Provides subsidies for small businesses to purchase and install security equipment, helping them prepare and recover while waiting for long-term solutions. This is not just cost assistance but a government statement on small business security.
4. Policy Participation Rights
ensuring small businesses have a seat at the table in public safety policy discussions. The government may talk more about crime, but progress is only real when business owners feel a tangible improvement in safety on the ground.
The CFIB report is more than just data—it's a signal that the sense of safety on Canada's main streets is eroding, and this erosion is creating a vicious cycle with small business closures. Community safety isn't a numbers game on a crime statistics table; it's about whether every ordinary business owner who stays open late and serves their neighbors on the corner can sleep soundly at night.
Frequently Asked Questions
Q: How serious is the small business crime problem? Are there specific statistics?
A CFIB report from April 2026 provides several key figures: 50% of small business owners say crime has increased in their community over the past year, only 2% say it decreased; police-recorded thefts under $5,000 CAD rose 14% year-over-year in 2024, up 66% cumulatively since 2014, with four consecutive years of growth; 49% of business owners are concerned about the safety of themselves, their employees, and their customers. Behind these numbers is a structural problem eroding Canadian main streets.
Q: What protective measures have small business owners taken? Are they costly?
Many small business owners have been forced to take extensive additional security measures: installing advanced surveillance systems, reinforcing doors, windows, and display cases, equipping employees with body cameras, locking doors during business hours, and banning solo employee shifts. The industry calls this phenomenon 'security inflation.' Profit shrink is about 1.5%, nearly double pre-pandemic levels. Some owners report spending thousands of dollars on security equipment, with one owner even saying they'd rather go back to the pandemic era.
Q: Why don't many small business owners report to the police?
BC's Save Our Streets coalition data shows 71% of crime victims did not report to police, mainly becauseLack of confidence in the justice system—believing that police response is slow, follow-up is insufficient, and there is a lack of effective deterrence against repeat offenders and organized crime. 85% of small business owners in BC say taxes haven't translated into improved community safety, and 73% of residents believe crime and public disorder affect their quality of life. This silent data suggests official statistics may significantly underestimate the actual scale of crime.
Q: What specific recommendations did CFIB make to the government?
CFIB made four core recommendations to all levels of government: 1)Criminal Code Reform— Stronger penalties for repeat offenders and organized crime; 2)Enforcement Service Standards— improves police response times, simplifies the reporting process, and ensures consistent follow-up; 3)Security Subsidies— provides practical support like security equipment subsidies for small businesses to help with prevention and recovery; 4)Policy Participation Rights—Ensure small businesses have a voice in public safety policy discussions.
Q: What's the relationship between crime issues and business closures?
A CFIB report on the startup drought shows that Canadian business closures have exceeded new business openings for six consecutive quarters—a trend since early 2024. 55% of small business owners say they wouldn't recommend starting a business now. Crime is another straw breaking the camel's back—alongside high costs, tax burdens, regulatory red tape, and labor shortages, rising security expenses and personal safety anxiety are accelerating owner burnout and closure decisions.
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