Yesterday, the 22nd of March 2016, was an important day for the affordable housing sector, as the Federal Budget was released. The budget, which addresses the planned spending for the next 2 years in all the different sectors of Canada, revealed a more aggressive approach to expanding affordable housing in Canada.
This increase in budget spending in affordable housing addresses the need for all Canadians to have safe, adequate and affordable housing. Adequate housing for all groups of people is at the core for Canadians to be able to then go on to be able to pursue education, careers, reduce health crisis and violence – all essential to creating an economy that thrives.
The release of the federal budget revealed a total budget allocation of $2.3 billion over two years to go toward affordable housing. Major highlights of this total budget that will positively impact both non-profit societies and co-operative housing are:
- $504.4 million over two years to support construction, renovation, and repair of affordable housing units. This increased support is expected to benefit more than 100,000 Canadian households
- $200.7 million over two years to support the construction, repair and adaption of affordable housing for seniors
- $573.9 million to support energy and water efficiency retrofits and renovations to existing social housing
- Reallocation of $30 million over two years to housing providers to help maintain rent-geared-to-income for households living in social housing. This is particularly important for housing providers who are approaching the end of their operating agreement.
We are extremely pleased and humbled to see the Canadian Government’s initiatives in actively addressing the on-going challenge of providing affordable housing in Canada. We look forward to being able to work with our social housing client’s on capitalizing on this optimistic budget.
If you would like to learn more about the details of the federal budget release, click here: Federal Budget Release 2016/17