Restaurant Industry Statistics in Canada

The eclectic mix of cultures in Canada has created an equally eclectic mix of restaurants, serving Canadians foods from all over the world. Across the country you can find unique family‑run eateries, places serving local delicacies, and restaurants operating as part of large international chains. There is certainly something for everyone.

In this article, we look at restaurant industry statistics in Canada with an emphasis on recent years, including employment figures, sales trends, which city has the most restaurants per capita, and the largest food chains in the country.

Restaurant Industry Statistics for Canadians

• Canada’s food service and drinking places generated $96.5 billion in annual sales in 2024, up about 4.0 % from 2023. 
• Sales increased for limited‑service (fast food), full‑service restaurants, and special food services, although drinking places saw a slight decline.
• Restaurants are a major part of the Canadian economy, with industry revenue expected to surpass $100 billion in 2025.
• The foodservice sector added nearly 24,000 jobs in the first nine months of 2025.
• Commercial foodservice sales in 2025 were projected to grow by around 5.4 % before inflation adjustment.
• Employment in the sector reached its highest levels in years in early 2025, with over 1.17 million jobs in January 2025.
• Around 80% of Canadian restaurants carry some level of debt.

Restaurant Industry in Canada

Canada’s restaurant and foodservice sector employs nearly 1.2 million people, making it one of the largest private‑sector employers in the country and a key source of first‑time jobs for many Canadians.

In 2024, limited‑service eating places (fast food) accounted for significant growth, with sales reaching $44.8 billion, while full‑service restaurants saw $41.6 billion in sales.

Despite this overall growth, restaurants across Canada are having to navigate rising costs, including wages, food, insurance, and rent, which continue to squeeze profit margins and influence Canadian consumer behaviour.

Canadian Restaurant Industry Statistics Before COVID

In March 2019, a year before the COVID pandemic disrupted life around the world, the restaurant industry in Canada was experiencing steady growth. The food service and drinking places sales were $6.2 billion in March 2019, up 1.2% from the previous month.

Sales in limited-service restaurants were up the most at 1.9%, while Alberta and British Columbia saw the biggest increases in sales. Restaurant food prices were up 2.8% compared to the same month in 2018 and alcoholic beverages prices were up 2.1%.

During the COVID-19 Pandemic

The pandemic was quick to hit the restaurant business with sales in March 2020 only reaching $4 billion, down 36.6% from the previous month, which was the last normal operating month before the pandemic closed business across the country.

Drinking places were affected the most with sales down by 55.8%, followed by full-service restaurants where sales fell by 48.6%. However, as restaurant and drinking place alcohol sales dropped, sales of alcoholic beverages at supermarkets and grocery stores increased by 27.1% and at beer, wine, and liquor stores by 17.5%.

Restaurants that offered limited service were the least affected but even they saw sales fall by 23.8%. Their results were supported by takeout and delivery services. Among special food services, covering contractors and caterers serving, for example, business and school cafeterias, sporting events and concerts, weddings, and conferences, sales fell by 33.8%.

The largest declines were seen in Quebec, British Columbia, and Ontario, where sales fell by 39.6%, 37.6%, and 36.9%, respectively. These three provinces were among the first to impose restrictions on gatherings and then to close all non-essential services. Manitoba, where restrictions came into force later than in other provinces saw the smallest drop in sales. However, the sales still fell by 30.4%.

March 2021

In March 2021, the restaurant industry sales were only a little better than in the previous year, with sales of $4.9 billion. Compared to March 2019, sales were 23.3% lower. However, sales were up by 9.8% compared to the previous month showing signs of recovery.

Full-service restaurants and drinking places saw the biggest improvement at 15.8% and 15.3% respectively. Among the provinces, Ontario had the biggest increase in restaurant and drink sales at 14.1%.

Over Two-Third of Foodservice Businesses Operated at a Loss in January 2021

In 2020, 86.5% of businesses in the food service industry reported lower revenues than before the pandemic. This was higher than the average for all businesses at 60.5%. 67% of food service companies were operating at a loss at the start of 2021 and 15% were just breaking even. Quick-service restaurants were doing better than table-service restaurants, with 37% operating at a loss compared to 71%.

At that point, four out of ten independent restaurants said they would have to close permanently if the situation did not change in the next six months. Half of the chain restaurants said they would have to close at least one of their restaurants if the situation did not change.

After the Pandemic

By March 2022, the Canadian restaurant industry had been back to normal services for a while and this was reflected in the sales of $6.8 billion. The sales were up by 6.5% compared to February 2022.

Drinking places saw the biggest sales increase at 23.1%, followed by special food services at 11.6%, full-service restaurants at 11%, and limited-service restaurants at 0.9%. While the increase is small for limited-service restaurants, it has to be remembered that they were not affected by COVID-19 to the same extent as the other services were.

Compared to March 2021 and March 2020, the March 2022 sales were up 35% and 62.9% respectively. They were 4.9% higher than they were before the pandemic in March 2019. Restaurant food prices were up 5.4% compared to the previous year and alcoholic beverages by 3.6%.

2023 and Beyond

In March 2023, restaurant and drinking place sales in Canada were $7.7 billion, with limited‑service restaurants and drinking places showing the largest monthly declines, even as special food services saw modest growth. By March 2024, total sales in food services and drinking places had increased to $8.0 billion, remaining relatively stable compared with the same month in the previous year.

More recent figures from March 2025 show continued expansion in the sector, with total sales rising to $8.4 billion, representing a monthly increase of about 1.8 %. 

Looking at annual trends, 2024 revenue for food services and drinking places across Canada grew to roughly $96.5 billion, representing about a 4 % increase from 2023. Limited‑service and full‑service restaurants both contributed to this growth, although sales at drinking places declined slightly in that period.

Restaurant Industry Employment

Most of Canada’s restaurant industry employees work in full- or limited-service restaurants. Statistics from before the pandemic show that 58.8% of permanent employees were women and 30.2% were immigrants. Out of the temporary workers within the sector, about half had not been born in Canada.

A quarter of the employees were between 15 and 24 years old. 22% of Canadians start their working life with a job in a restaurant. This is the highest percentage of first-time workers among all industries in Canada.

Ontario has the most employees working in the restaurant industry, with approximately 497,400 employees. It is followed by Quebec, with 277,400 employees, and British Columbia with 169,300 employees.

The restaurant industry has experienced considerable staff shortages. To respond to these shortages, 72% of restaurants had owners and management-level staff working more hours, while 64% had reduced their opening hours. 77% of restaurants had tried to attract employees with higher wages.

Restaurant Debt

Debt continues to be a common challenge for Canadian restaurants. Around 80 % of restaurants carry some level of debt, with nearly two‑thirds reporting that it could take over a year to stabilise finances. Of these, 23 % have borrowed less than $50,000, 44 % between $50,000 and $100,000, and 35 % over $100,000. Rising operational costs, including labour and food, mean that debt management remains a key concern for many operators seeking to maintain profitability and growth.

Victoria Has The Most Restaurants Per Person

Victoria is often referred to as a foodie city. Considering the number of restaurants per 1,000 residents in the city, it is understandable why it has earned this reputation. The city has 4.6 restaurants per 1,000 residents. Vancouver comes next with 3.6 restaurants per 1,000 residents, followed by Niagara Falls with 3.4, and Montréal with 2.7. Kelowna, with 2,6 restaurants per 1,000 residents, completes the top five.

Based on pre-pandemic data, 50% of Canadian restaurants were full-service restaurants, 44% were fast-food places, and 6% were bars. Ontario has the highest number of full-service restaurants with 14,975 businesses, Quebec is next with 8,968, and British Columbia is third with 6,695.

Biggest Food Chains in Canada

While the number of restaurants by global food giants is increasing in Canada, Tim Hortons is still the biggest chain food restaurant in the country. The company currently has 3,545 restaurants in Canada and is the only chain food company other than KFC with restaurants in every Canadian province and territory. Ontario has the most Tim Hortons restaurants, with 1,803 restaurants, accounting for about 51 % of the total number of Tim Hortons locations.

Subway has the next most restaurants in Canada with 3,010 restaurants. 1,125 of these are in Ontario, which is 37 % of the total. Starbucks comes in third with 1,504 stores in Canada. Once again, Ontario has the biggest share at 655 stores, which is about 44 % of the total.

McDonald’s and A&W are the fourth and fifth largest chains in Canada. McDonald’s has 1,463 and A&W 1,095 restaurants. 36 % of all McDonald’s and 31 % of A&W restaurants are in Ontario, which is 520 and 339 restaurants, respectively. Other large restaurant chains in Canada are Dairy Queen with 689, KFC with 653, 7‑Eleven (often with food service offerings) (estimate ~600+ nationwide), Domino’s Pizza with 638, and Pizza Hut with 620 restaurants.

Conclusion

The restaurant industry in Canada was severely affected by the COVID-19 pandemic, with many operating at a loss while people could not visit restaurants. While sales have improved since the pandemic and even overtaken sales from before the pandemic, restaurants face staff shortages and higher food prices.