Federal budget calls for coordinated approach as Canadians’ housing fears mount
The Canadian Alliance to End Homelessness (CAEH) called for urgent, coordinated action from all levels of government following the release of Budget 2025, as more than half of Canadians reported concerns about their ability to keep a roof over their heads if their financial situation changed.
Finance minister François-Philippe Champagne’s budget outlined new investments in housing and infrastructure, including funding for Build Canada Homes, urban, rural, and northern Indigenous housing, and a new Build Communities Strong Fund.
The federal government also signaled its intent to negotiate a new Canada Housing Accord with provinces and territories, inviting a “Team Canada” approach to the country’s deepening housing and homelessness crisis.
“The housing and homelessness crisis is holding us back as a country – and it’s too big for any one government to tackle alone,” Tim Richter, president and CEO of CAEH, said.
“The investments in housing and infrastructure in Budget 2025 open the door to the ‘Team Canada’ action we need to solve the crisis once and for all.”
Provinces and territories urged to step up
Richter emphasized that while federal leadership is critical, provincial and territorial governments must also play a decisive role. “Canadians are struggling to keep their housing and are worried sick about what the future holds. The best way to help them is for all levels of government to work together,” Richter said.
Provinces and territories, he added, can accelerate progress by removing barriers to construction, aligning zoning and building codes, and supporting the rapid deployment of supportive and community housing.
Market volatility and urgent need
The call for a united response comes as Canada faces a fragile housing and labour market, ongoing geopolitical instability, and the threat of a trade war.
Since 2017, the federal government has invested billions through the National Housing Strategy and Build Canada Homes, but advocates warn that piecemeal efforts are no longer enough.
CAEH plans to push for clear, outcome-oriented targets tied to new investments, and for ongoing federal support for refugee and asylum seeker housing to relieve pressure on emergency shelters.
As the CAEH prepares to engage federal officials on the details of Budget 2025, Richter said the organization is focused on turning commitments into “real homes and lasting solutions for Canadians.” The sector will be watching closely to see if governments can deliver on the promise of a coordinated, national response.
Canada’s top housing groups previously warned that Budget 2025 fails to tackle the sector’s deepening crisis and could put 100,000 jobs at risk.
The Large Urban Centre Alliance, a coalition representing major cities and co-facilitated by the Building Industry and Land Development Association (BILD), said the government’s approach relies on “backward-looking data that provides false reassurances that Canada’s housing sector is prospering and that affordability is improving.”
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