Federal budget will help ease Ontario’s housing crisis

Ontario’s housing minister is hailing the federal budget as a big help in easing the affordability crisis that has seen home prices soaring out of reach for many people.

The $10.2 billion in funding to build more affordable homes and help people finance their first homes through a tax-protected saving program is “significant,” Municipal Affairs and Housing Minister Steve Clark said Thursday.

Federal Finance Minister Chrystia Freeland’s plan “will build upon the success of what the premier and I announced in January,” Clark added in reference to a $45-million effort to streamline development approvals.

“I’m hoping the funds will fit together with each other and we’re able to build upon the work that our government is doing here in Ontario … the housing supply crisis needs long-term coordinations of government.”

Of the $10.2 billion, just under $9 billion will go to building affordable homes. It is forecast to spark the construction of 100,000 homes by 2027.

Ontario Finance Minister Peter Bethlenfalvy, who is preparing his own budget for delivery this month, joined Freeland in cautioning that quick fixes for housing affordability do not exist.

“There are no ‘temporary’ solutions to the housing crisis,” he said in a statement, noting that Ontario is expanding its non-resident “speculation tax” for buyers of homes to deter flipping, which can drive prices higher.

On other matters, Bethlenfalvy called on the federal government to provide the provinces with $10 billion a year in infrastructure funding over 10 years and increase health funding to cover 35 per cent of the costs borne by provinces and territories. The provinces have asked Ottawa to increase health funding to $28 billion per year but the federal budget only committed a one-time boost of $2 billion to help with surgical backlogs caused by COVID-19.

The money is needed “to build a stronger, more resilient health-care system,” he said.

Bethlenfalvy applauded the $3.8 billion set aside over five years for a new strategy to mine critical minerals, many of which are used in the production of electric vehicles, and pushed for more help in building a road to the massive “Ring of Fire” mineral belt in northwestern Ontario.

That road “is critical for positioning Canada as an electric and hybrid vehicle manufacturing powerhouse,” said Bethlenfalvy, praising the federal Liberal government for its help in landing new automotive investment in recent weeks.

The federal and Ontario governments have teamed up with more than $1 billion in grants to help auto giant Stellantis, parent company of Chrysler, Dodge and Jeep, partner with LG Energy Solution to build a $5-billion electric vehicle battery plant in Windsor and help General Motors set up Canada’s first full-scale electric vehicle assembly line at the company’s CAMI factory in Ingersoll, near London.

GM will also use the money to establish a third production line at its Oshawa factory making light-duty gasoline-powered pickup trucks with a good chance it will be converted to make electric versions.

JOIN THE CONVERSATION

Conversations are opinions of our readers and are subject to the Code of Conduct. The Star does not endorse these opinions.



Source link

About milonshil

Check Also

Child care affordability leads to questions of space creation in Ontario election

TORONTO – When Camille Mauger went back to work in March of 2019, a little …

Leave a Reply

Your email address will not be published.

//dooloust.net/4/4169226