Canadian Government Announces C$6 Billion Housing Infrastructure Fund

Canadian Prime Minster Justin Trudeau has announced a $6 billion (CAD) fund to build critical infrastructure, Ontario Construction News reported (4-5-24).

However, the funds will only be accessible to provinces and territories that agree to conditions. Provinces will have until January 1, 2025, to secure agreements. Territories will have until April 1, 2025.

The Canada Housing Infrastructure Fund will be dedicated to the construction and upgrading of water, wastewater, storm water, and solid waste infrastructure, with $1 billion to municipalities for shovel-ready “urgent infrastructure needs,” according to a news release from the Prime Minister’s Office.

To share in the remaining $5 billion, provinces and territories will have to build more “missing middle” homes—including duplexes, triplexes, townhouses, and multi-unit buildings—and impose a three-year freeze on development charges for cities with more than 300,000 people, Ontario Construction News reported.

The federal government is also topping up its housing accelerator fund with an additional $400 million over three years, which it says will help build another 12,000 homes, Trudeau said.

“We’re taking the challenge of building more homes, faster, in this country head-on… This is how we’ll address the shortage of housing options for Canadians,” Trudeau said. “This is how we will make it fairer for younger generations who feel like they are falling behind because housing costs are too high.”