Ottawa, Ontario (November 21, 2023) – The authors of the National Housing Accord (NHA), the Canadian Alliance to End Homelessness, REALPAC, and the PLACE Centre at the Smart Prosperity Institute, welcome the housing measures announced today in the federal government’s Fall Economic Statement, and look forward to further measures to urgently to address the housing crisis facing Canadians.
The federal government’s Fall Economic Statement includes:
- $15 billion of additional loans for new purpose-built rentals as part of a refreshed Apartment Construction Loan Program (formerly the Rental Housing Construction Finance Initiative);
- $1 billion additional direct funding to the Affordable Housing Fund (formerly the National Housing Co-Investment Fund) for more affordable homes;
- $300 million for Cooperative housing development;
- the removal of GST for new cooperative housing;
- resources for municipalities and provinces to enforce short-term rental restrictions; and
- a new Canada Mortgage Charter to support those with increasing mortgage costs.
This builds on the two recent announcements of the removal of GST on purpose-built rental and increased limit for Canada Mortgage Bonds to support rental housing.
“The announcement of $16 billion worth of investments in additional loans for affordable and market rentals, funding for affordable housing and reforms to get more homes built faster is welcome,” says Tim Richter, President & CEO of the Canadian Alliance to End Homelessness. “However, with affordability worsening, homelessness surging and the dream of home ownership continuing to slip away for many, the federal government must move more aggressively to solve the housing crisis. I’m especially concerned with the notable absence of measures to address homelessness as we start another harsh and dangerous winter.”
“We welcome the measures announced by the federal government today and are encouraged by the positive impact it will have on the construction of new rental and affordable homes. This is a commendable first step, and we look forward to working closely with all levels of government to achieve the target of 2 million purpose-built rental and 655,000 affordable social homes by 2030, to restore housing affordability for all,” says Michael Brooks, CEO of REALPAC.
“Canadians are increasingly concerned about the housing crisis and their own housing. A recent Abacus Data poll showed that 82% of Canadians with children think that the federal government’s number one priority should be making housing more affordable,” says Dr. Mike Moffatt, Founding Director, PLACE Centre at the Smart Prosperity Institute. “Today’s economic update is a move in the right direction, but we must continue act urgently to address the housing crisis and keep up with population growth.”
REALPAC, CAEH, and The PLACE Centre are glad to see the federal government indicating it will continue to take action on the housing crisis. Canadians are paying close attention to the government’s policies and will be watching closely over the coming months leading to the next federal budget. We look forward to continuing to build on our efforts together to address more National Housing Accord recommendations, which we hope will be reflected in Budget 2024.
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About the National Housing Accord
The National Housing Accord is the outcome of a collaborative effort between experts across the housing continuum to find practicable and implementable solutions to address the housing crisis. The NHA provides ten recommendations for the federal government on how to take a coordinated effort with key stakeholders – including not-for-profits and the private sector – to address housing affordability, meet the needs of Canada’s growing population, create jobs, and play a significant role in ending homelessness.
Recommendations by the NHA authors to the federal government continue to come to life since the report’s launch in Summer 2023. For more updates on our progress so far, visit the associated links below.