The geography of Canadian venture capital paints a stark picture for Winnipeg. Our city doesn’t even show up as a tiny blip on the report’s radar. This isn’t surprising, considering that similar data for the first half of 2024 revealed Manitoba had zero venture capital deals and investments. Meanwhile, Guelph, Ontario—a city with a population of about 130,000—performs exceptionally well on a per capita basis. This glaring contrast raises a critical question: why are some cities flourishing while Winnipeg continues to lag behind?
Winnipeg’s potential is undeniable. Our weather is ideal for testing all types of equipment, and our geography positions us perfectly to serve as a North American transportation hub. In the past, Winnipeg was even recognized as a “testing” market, where companies would try products before launching them nationwide. We are home to universities and colleges producing highly skilled graduates, yet many of these young professionals leave. Why are investors giving Winnipeg a last look? Why are they not flocking to our city as they do to Guelph?
The answers to these questions are complex and involve government decisions and policies that seem to work against us. In Guelph, obtaining a building permit is a relatively smooth process. Residential applications are reviewed within 10 business days. Larger residential and non-residential applications take 15 to 30 business days. Applications for Part 9 buildings, multi-family residential, commercial, and industrial buildings are reviewed in 15 business days if they meet size and height criteria. The process is orderly, transparent, and designed to minimize delays. In contrast, Winnipeg’s bureaucracy creates hurdles that drive businesses away. Costco’s abandoned plan to build near Assiniboia Downs is a prime example. Delays in permitting increased costs to the point that the project was no longer viable. These inefficiencies harm Winnipeg’s attractiveness to venture capital and other investments.
Housing is another critical consideration for companies. Winnipeg has the potential to lead the country in affordable housing, but only if we address the bureaucratic delays that plague home builders. In October 2024, the average selling price of a single-family home in Winnipeg rose to $380,900, while Guelph’s median list price was $847,135. Despite this affordability advantage, our city’s cumbersome processes negate the benefits. Investors see these delays as unnecessary costs and risks.
Crime also plays a significant role in deterring investment. Guelph’s Crime Severity Index decreased by 7% overall in 2023. Non-violent crime dropped by 9.3%, and the city ranks among the safest in Ontario and Canada. Winnipeg, on the other hand, faces alarming statistics. Our homicide rate in 2023 was more than double that of most other Canadian cities, with 46 homicides recorded. Aggravated assaults, robberies, and sexual assaults have all increased significantly year-over-year. Crimes involving knives, firearms, and other weapons are also on the rise. Youth crimes involving weapons have doubled since 2021. These statistics paint a grim picture for potential investors, who prioritize safety for their employees and operations. While federal policies play a role, the province could take decisive action to address these issues. Substantial investments in Crown attorneys, police hiring, and organized crime units are necessary to improve public safety and make Winnipeg more attractive to businesses.
Economic development is another area where Winnipeg falls short. Guelph’s Economic Development Advisory Committee serves as a consultative body that includes local business representatives and focuses on promoting economic growth. The committee reviews performance indicators and provides input on city proposals. Meetings are held regularly, ensuring continuous dialogue between the city and its business community. Winnipeg, by contrast, relies on a city department, a council committee without business representation, and two arm’s-length economic development organizations. While our city’s larger size justifies a more extensive investment, the returns on these investments are questionable. We need to assess whether these organizations deliver value and ask why our city’s economic strategy isn’t yielding better results. Creating a committee with business leaders—free from bureaucratic and political influence—could be a step in the right direction.
Winnipeg’s struggles also extend to taxation. We remain the only city in Canada with a business tax, further discouraging investment. CenterPort, a key asset for transportation and logistics, is underperforming on the Winnipeg side while thriving in the Rural Municipality of Rosser. This disparity underscores the need for more effective economic policies within the city.
Public sentiment about Winnipeg’s economic challenges is also telling. One reader recently commented that “Winnipeg essentially runs on welfare,” adding that the city’s political mindset favours dependency overgrowth and prosperity. While harsh, this observation highlights the need for a cultural shift. Blaming other levels of government for our problems—as former Mayor Brian Bowman often did—is not a solution. The delays and inefficiencies at city hall are issues we must address locally. Other governments cannot fix problems we refuse to confront.
Winnipeg has the resources, talent, and geographic advantages to succeed, but we must want to change. Success requires more than words; it demands action. Politicians today often speak about change without committing to the hard work needed to achieve it. That mindset must shift. We need leaders who are willing to tackle bureaucracy, prioritize public safety, and foster a business-friendly environment. We need to reassess our economic strategies and make meaningful investments in our city's future.
I believe in Winnipeg. I believe in its potential. But belief alone is not enough. We must work to make this city better, to ensure that Winnipeg becomes a destination for venture capital and a place where businesses and families thrive. The path forward requires collaboration, determination, and a willingness to make tough decisions. We cannot afford to wait any longer.
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