The Alberta government recently expressed “deep concerns” regarding a $6 billion federal housing announcement made by Prime Minister Justin Trudeau. The federal government plans to allocate $1 billion directly to cities for urgent infrastructure needs, with the remaining $5 billion being allocated to agreements with provinces and territories for long-term priorities. Alberta ministers Jason Nixon and Ric McIver criticized the announcement, stating that the federal government has not provided adequate funding for housing in Alberta and has bypassed provincial jurisdiction by not consulting or notifying provinces about the new program. They also raised concerns about the lack of clarity in how the funding will be distributed and the impact it may have on housing affordability.
In response to the Alberta ministers’ statement, a spokesperson from the office of the deputy prime minister and minister of finance emphasized the importance of affordable housing for all Canadians. The federal government had previously committed to tying infrastructure funding to provincial and municipal action on housing in 2022. The statement also addressed Alberta’s concerns about the punitive green agenda and nationalization of housing by the federal government, stating that collaboration between the federal and provincial governments is necessary to address the housing crisis and support housing affordability efforts.
The Alberta government believes that they are already on the right track with the fewest regulations and fastest permit approval times, and they do not think the federal government should be involved in housing decisions. They argue that imposing roadblocks on building will make it harder and more expensive to build homes, limiting the types of homes that can be built and shutting people out of the rental and housing market. The province also called for the removal of the carbon tax to lower building costs and expedite construction, although the federal government refuted any allegations that the carbon price is contributing to the housing challenge.
Municipalities have been advocating for increased federal funding for infrastructure to support homebuilding and accommodate population growth. While Tuesday’s announcement addresses some of these concerns, it has also faced pushback from other premiers who are displeased with the conditions imposed on provinces and territories. The federal government hopes that provincial governments will support their housing goals and collaborate on addressing the housing crisis. The overall response to the announcement has been mixed, with some praising the additional funding for infrastructure and others criticizing the lack of consultation with provinces and potential negative impacts on housing affordability.
