44th Parl. 1st Sess.
October 5, 2023 10:00AM
- Oct/5/23 2:48:20 p.m.
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Mr. Speaker, as the member is well aware, I am in discussion with Minister Duranceau. I am working with the Province of Quebec to reach an agreement to ensure that federal funds are used to build housing. We agree with the Province of Quebec that this is a priority, and I will continue my work.
It is important that, when we are entrusted with the responsibility of investing hundreds of millions of dollars, we do it sincerely, working alongside our provincial partners, and ensure that Canadians receive the results of that funding.
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- Oct/5/23 2:55:10 p.m.
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Mr. Speaker, I agree entirely with the need my hon. colleague has flagged, which is to build more affordable housing. I agree that we should be using federally owned land to achieve that outcome. I agree that we should continue to make the investments under the national housing strategy, which is now responsible for the construction or repair of nearly half a million homes across this country.
I will be the first to acknowledge that over the course of the past number of decades, governments of both Liberal and Conservative persuasions did not do what was necessary to get the job done. We changed that in 2017. We will continue to make the investments necessary to ensure that everyone in Canada has a place to call home.
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Mr. Speaker, I find it curious that my hon. colleague is standing up only now to defend the interests of low-income families that might need the services that food banks provide, when his party, over the course of my time in the chamber, has consistently voted against the measures that would make life more affordable for them.
I look back to when we first formed government. We raised taxes on the wealthiest 1% and cut them for the middle class, and the Conservatives voted against it. When we changed the Canada child benefit and stopped sending cheques to millionaires so we could put more money into the pockets of nine out of 10 Canadian families, the member voted against it. Every step of the way, including support for food banks during the pandemic, the Conservatives could not get behind it.
Will the member now vote for the measures that could have a direct impact on the price of groceries, and support Bill C-56?
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Madam Speaker, it is a pleasure to rise in this House to debate Bill C-56. Perhaps I will start with my conclusion: I intend to support the bill, and I encourage all members in this House to do the same.
Bill C-56 is about making life more affordable. It is the affordable housing and groceries act, and of course, given the nature of my position as the Minister of Housing, Infrastructure and Communities, I will focus more on the aspect that will lead to more home construction across Canada to help address the supply gap that is contributing to the relative lack of affordability that we are dealing with.
I think it is important to acknowledge that Canada is experiencing a housing crisis. In order to restore affordability, we need to build homes and we need to build them by the millions. This is going to require us to pull every lever at our disposal to get Canada building at a rate that it has never built before. However, if we are going to succeed, we have to understand the nature of the obstacles that stand in our way and introduce specific policies that are designed to overcome those challenges.
Over the course of my remarks, I hope to identify the scale of the challenge we are facing, highlight the problems that we need to overcome and demonstrate some of the solutions that are starting to have a positive impact today. I do not mean to suggest that the job is done; we have a long way to go. However, I am very optimistic in light of the response from the home building sector to some of the policies we have put forward indicating that they are having the desired impact.
There are currently about 16.5 million homes in this country. We are on pace to building a few million more over the next number of years, but we have to increase the pace of building significantly if we are going to restore the level of affordability that existed in Canada just 20 years ago.
The reality is that the impact can be felt not only in the statistics outlined in CMHC's reporting, but in the lives of ordinary people who are struggling with the cost of living. The experiences that I hear about include too many young people who are trying to get ahead in life and trying to get their first job in a community they want to live in, but nevertheless find themselves in a position where they simply cannot afford a place to live. Too many people do not have that option. Even young professionals in a two-income household are sometimes unable to find a place to live in the community where they found meaningful work, one they can afford given their rate of pay.
When I talk to students from across the country, they tell me that it is very difficult to find a place to live in a college town that is safe, affordable and near the place they go to school. I have had too many conversations with young people studying on college and university campuses across this country who have told me that they are now sometimes living an hour commute away from their studies. At a time in their lives when they should be focusing on learning and developing skills that will contribute to their well-being, knowledge base and employability, they are focused on figuring out how they can get to class.
There is an opportunity for us, if we continue to engage with the people who are feeling the brunt of the housing crisis, to learn from them the solutions that will allow them to find the kind of place they want to live in.
When I talk to seniors who live in our communities, they want nothing more, as they downsize from the family home where they raised their kids, to find a place that is more manageable for them in the same community where their grandkids are being raised. I do not think that is too much to ask, and we need to realize that the importance to a person's life cannot be overstated when we are dealing with the place they call home.
I have talked to people who have a job that helps them get by in this country, and they tell me that, despite having a respectable income, they cannot find a place to live anywhere close to the place where they work. We need to make sure that we address the needs of workers in this country by working to ensure not only that their wages go a little further and they have a home they can afford, but that they have the kind of home they can raise their family in, with access to the services their family relies on and employment opportunities in their community.
Of course, I would be remiss if I did not also draw attention to the serious challenges facing Canadians who do not have a place to live at all, people who do not have housing security and people who are sleeping rough. We need to continue to do more to support some of Canada's most vulnerable people.
There are a number of challenges that we need to overcome. Primarily, I want to focus today on the need to change the financial equation that home builders are dealing with as they make an assessment as to whether they should green-light a project or let it sit on the shelf. As a result of the recent increases in the cost of supplies and materials, the cost of labour and the cost of land, and of course as a result of rising interest rates from global inflation, too many builders have projects sitting on the shelf that have been approved and could go ahead if the economics of the projects worked.
This is where the GST measure we have advanced through Bill C-56 comes in, and we are seeking support for it from members of Parliament. If we remove the tax on constructing new apartments in this country, we are going to see more apartments go up.
When we made the announcement that we would reduce the GST on new home construction among rentals across Canada, we saw certain provincial governments step up and say they would do the same. I want to thank in particular British Columbia, Ontario, Newfoundland and Labrador and my home province of Nova Scotia. We are starting to see movement to different degrees in other provinces as well. In some instances, this has reduced costs by 15% overnight when looking at the combined impact of the federal and provincial measures.
What we have seen as a result is that developers are publicly stating they are moving forward with projects that will provide homes for thousands of Canadians that otherwise would not have gone ahead. In particular, I point to Dream Unlimited Corporation's plans to advance several different projects in Ottawa, Saskatoon and Toronto that are going to lead to 5,000 homes being built. I look at Fitzrovia, which announced that it would be moving forward with developments totalling 3,000 homes. I look at Tricon's announcement after the GST measures were revealed. It announced it would move forward with 1,000 new homes.
The reality is that there are many examples of projects, as I have heard from different colleagues and from the home building sector, in every part of this country that are now going ahead that otherwise would have just stayed on the shelf. This policy is having the desired impact, and I am looking forward to seeing many, many thousands of homes be constructed as a result. That is why I am supporting Bill C-56. It would allow the private sector to justify going ahead with the construction of thousands of homes.
However, we know there are many other areas where we need to continue to advance policies if we are going to overcome the challenges facing home builders, communities and people who have housing needs. We need to fundamentally change the way that cities allow homes to be built or sometimes do not allow homes to be built in this country. We need to encourage cities to legalize housing. In too many communities across this country, it is literally illegal, as a result of municipal bylaws, to build the kinds of homes that people need if they are going to live and thrive in our communities.
Members may have seen that over the course of the last few months, I have been engaging directly with municipal councils and mayors, encouraging them to change their laws so they can permit more housing to be built, can speed up the process of permitting those homes and can make the kinds of investments that will lead to more density in downtown cores, more homes near transit stations so people can access the services or employment opportunities they need and more homes near college and university campuses so students have a place to live as they undertake their studies.
I cannot say how excited I am about the early signs of success with the housing accelerator fund. We have seen a positive announcement by the City of London, which is going to be increasing its ambition as a result of its access to the fund. We saw today the City of Vaughan announce that as a result of a $59-million investment, it will be able to add, over the next 10 years, 44,000 homes to that city.
We are going to continue to do more to get low-cost financing on the table by increasing the valuation of the Canada mortgage bond program, which is going to add 30,000 homes a year. There are a number of other measures we need to address, but if we change the equation for builders, change the way that cities build homes and continue to make the kinds of investments we have been making since 2017 under the national housing strategy, we have an opportunity to make massive progress in the attempt to address Canada's national housing crisis.
I would be happy to address any further issues, if members in this House wish.
Let me conclude with a final thought. It is not enough for different parties in this House to throw ideas at the wall, as some have done. We need to address the very specific problems that have given rise to Canada's national housing crisis. By having a thoughtful policy approach and by advancing measures like the removal of GST on new rental construction across Canada, we can change the way that homes are built in this country, increase the pace at which they are built and put an end to Canada's national housing crisis. We can do this by having the private sector and governments co-operate to build homes that Canadians can actually afford.
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Madam Speaker, regarding the concern around students who have inadequate or no housing options, I think we have to recognize that everyone should be advocating for more support for people who have inadequate housing options, students or otherwise. I am very proud that the government has doubled the investments in the Reaching Home program to address homelessness, and that we are going to continue to do more, as I outlined in my remarks, to build more stock that will help address the student housing challenges more broadly.
When it comes to seniors, I think we are aligned in our identification of the problem. Where we differ is that the policies we have advanced would actually yield a higher number of homes than the plan the Conservatives have put forward.
With respect to the GST, the most important point in my remarks is that we have to address very specific problems. The GST measure we put in place is designed not only to pass on savings to renters but also to build more supply, which, over time, will bring the rate down as more stock becomes available. I am happy to elaborate in future answers, given that I have run out of time.
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Madam Speaker, before I begin, I would like to thank my colleague for giving me the opportunity to discuss this very important issue and to practise my French. When I started my work on the Standing Committee on Finance, I did not speak French, but the member was supportive of my efforts.
I do not know the details of the situation in Joliette, but I will make an effort for my colleague. We can always work to find possible solutions for his community. Generally speaking, CMHC programs can be flexible. I will continue to work with my colleague. I also thank him for the Bloc's support for this bill.
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Mr. Speaker, I congratulate sincerely the hon. member on his election to the House.
When I listened to his description of the Conservatives' housing plan, it was clear that he has been reading a different document than I have. When I reviewed their plan, it was the most bizarre series of suggestions. It would literally raise taxes on home builders and cut funding for homebuilding. If the member is concerned about bureaucracy, the Conservatives are proposing a Kafkaesque, Byzantine process to identify which homes would qualify. They would cut out middle-class homes from their GST relief, and they were talking about hiring bureaucrats to run a snitch line on people who have Nimbyist attitudes, which is not defined anywhere in their plan.
My question to the hon. member is this: Why is he supporting a plan that would raise taxes on homebuilding, cut funding for homebuilding and actually, according to finance officials at committee the other day, result in fewer homes being constructed than we were already on pace to build?
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