Government Business No. 11—Proceedings on Bill C‑26

Bill C-26, An Act to authorize certain payments to be made out of the Consolidated Revenue Fund for the purpose of improving housing supply · Motion on how the bill proceeds · now law Where it stands

Bill C-26 authorizes $1.7 billion in payments from the federal treasury to provinces and territories to improve housing supply. The Bloc Québécois supported it because the money would flow to Quebec without conditions; the Liberals argued it would help build homes faster through federal-provincial collaboration and said funding is tied to targets. The Conservatives opposed it, calling it a blank cheque for the finance minister with no targets or accountability. Some Bloc members also criticized the government for limiting debate time, and a portion of the discussion drifted into equalization payments, Quebec’s fiscal position, and federal spending on the energy sector.Written by AI from the debate. Updated .

Official text (opens in a new tab)

9 statements

Kevin Lamoureux, Parliamentary Secretary to the Leader of the Government in the House of Commons

Liberal
“I am glad the Bloc Québécois supports this bill. Equalization payments make our country fairer, and my province of Manitoba has benefited a lot from them.”
Official Hansard

Mr. Speaker, I am grateful to hear that the Bloc sees the merit in voting for Bill C-26. He might want to revisit the whole health equation and also factor that into discussions that have taken place where there were tax points transfers in favour of fewer cash transfers back in the late seventies or early eighties. I might be a little bit off on the years there, but that should also be taken into consideration. Having said that, since equalization payments came into existence, my home province of Manitoba has been a recipient. One of the nice things with Canada being part of a federal system is that there is a sense of fairness in the different regions through equalization payments. I, for one, look at Manitoba, which has been a very big beneficiary of equalization payments—

Kevin Lamoureux, Parliamentary Secretary to the Leader of the Government in the House of Commons

Liberal
“Working together as a country makes things more fair. Equalization payments are a good example because they help provinces like Manitoba. What does the member think about the benefits of these payments?”
Official Hansard

Mr. Speaker, Manitoba also paid for its hydro development. The question is not Quebec versus Manitoba, not at all. That is not what I am trying to get at. What I am trying to get at is that one of the benefits of collaboration and being in the federation is that there is a higher sense of fairness and equity. The equalization payments are a good example of that. Manitoba has been a beneficiary every year since its creation. I do not know about Quebec. I am wondering if the member could provide his thoughts in regard to the benefits of equalization payments.

Linda Lapointe, Rivière-des-Mille-Îles

Liberal
“This bill helps build homes faster across the country. I want to know what the member for Mirabel thinks about this federal plan to build housing in his riding and in the provinces.”
Official Hansard

Mr. Speaker, I want to thank my hon. colleague, the member for Mirabel, a riding to the north of my riding. I really enjoy his sense of humour and quick wit. I like that in my colleagues. My colleague just told me a short while ago that he is leaning slightly in favour of Bill C‑26, an act to authorize certain payments to be made out of the consolidated revenue fund for the purpose of improving housing supply. It would indeed allow housing construction to move forward as quickly as possible. I would like to know what my colleague thinks about that, considering that this is federal legislation. We are in a federation. What are his thoughts on this matter, since we will be able to build housing faster in the provinces, the territories and his riding, Mirabel?

Chi Nguyen, Spadina—Harbourfront

Liberal
“I support this bill. It gives $1.7 billion to the provinces and territories to help them build more homes faster, lower building fees, and protect construction jobs.”
Official Hansard

Mr. Speaker, I will be sharing my time with the member for Winnipeg North. I rise today in the chamber in support of Bill C-26, an act to authorize certain payments to be made out of the consolidated revenue fund for the purpose of improving housing supply. At its heart, this bill is intended to make it easier for Canada to build more homes and the kinds of communities where people can truly live. For many Canadians, housing is not an abstract policy issue. When we think about housing, we must consider it as the starting place for the way Canadians imagine their future, where workers can live close to their jobs; seniors can remain close to their communities and age in place; and young people can rent, own or raise a family. This is an issue that even my preteen son is thinking about, wondering how he can remain in the city he loves. It comes as no surprise that global economic pressures have reshaped the housing market. Rising construction costs, labour shortages and wages that have not kept pace with inflation have all contributed to the challenges we face today. We know that without secure housing, it is impossible to plan for the future, to build stability or to fully participate in Canada’s economy. I see this clearly in my riding of Spadina—Harbourfront. Spadina—Harbourfront is one of the densest communities in this country. It is a riding of high-rises, condominiums, co-operatives, rental buildings, shelters, supportive housing, student housing and seniors housing. This is a place where people live vertically. They share public space, rely on transit, walk to work, gather in parks, hang out at STACKT market, the Waterworks Food Hall, One Love market, Sugar Beach or The Island Cafe, and build community in ways that are deeply urban and deeply Canadian. In my riding, I see the beauty and possibility of density every day. Density can mean a senior is better able to live closer to health care, groceries and neighbours who can check in. It can mean that a young person can walk to school or work. It can also mean that families can share playgrounds, libraries, community centres and waterfront spaces. Just last weekend, the waterfront was vibrating with excitement as we welcomed the world for the FIFA World Cup, with thousands cheering for Canada right from their condo balconies and watching the crowds gather in the streets. We could live in communities with less sprawl, stronger transit and more vibrant main streets. Vertical living can work when we plan for people instead of units. We see examples of this across our community. Harbour Square, for example, has long shown how vertical communities can include shared services, including shuttle services that help residents move through the city and remain connected. Across the riding, we see buildings where neighbours organize, support one another, share amenities and create a real sense of belonging. This is the kind of city building we should be learning from. We also know the best housing solutions do not come from government alone. They come from housing co-operatives that show us that affordability, stability and community ownership go hand in hand. They can also come from organizations like Eva’s Initiatives, which supports young people experiencing homelessness and reminds us that housing is not only about a roof, but about safety, connection, trust and the chance to rebuild a life. The best housing solutions also come from thoughtful public planning, like the work of Waterfront Toronto, which has shown that the when we build with intention, we can create communities that include housing, transit, parks, public space, climate resilience and access to water. This is the vision that we need more of in Canada: not just buildings, but more homes where people feel they have complete communities. The housing crisis has also placed enormous pressure on the construction sector. In the greater Toronto area, new home sales fell to just over 5,300 units in 2025, which is the lowest level in more than 45 years. That slowdown has already led to job losses in the skilled trades and construction sector. These are the very workers Canada needs if we are going to build the houses people are counting on. Approximately 80,000 people are leaving the GTA because of affordability pressures. A study by Altus Group for the Building Industry and Land Development Association found that without urgent action, nearly half of all residential construction jobs in the region could be at risk and housing starts could fall by more than 60% compared to 2024 levels. We must act in order to protect housing supply and keep skilled workers on the job. We must make it easier to build, to build quickly and to build well. Through Bill C-26, our government is proposing to provide $1.7 billion to provinces and territories immediately so they can implement measures to increase Canada’s housing supply. This funding is designed to help remove the barriers slowing down homebuilding, including by lowering development charges, fees, levies or sales taxes on new homes. It would also support efforts to harmonize rules, improve internal trade and increase productivity in the residential construction sector. At a time when the housing market is under real pressure, this bill would keep projects moving, maintain construction activity, protect skilled jobs and unlock the homes Canadians urgently need. Fixing Canada’s housing issues will require a wide range of solutions and, above all, close collaboration. No single order of government can solve the housing crisis alone. The strongest housing systems are built when public, private, non-profit and community partners are all at the table. We are already seeing what that collaboration can look like. In March, the federal government and the Province of Ontario signed a historic partnership agreement to build homes, transit and communities, backed by $8.8 billion in joint funding over 10 years. This agreement supports housing-enabling infrastructure and helps reduce the cost of building new homes. It includes support for municipalities that reduce and maintain low development charges. This includes an HST rebate to incentivize new home construction and support for major transit projects to connect people to jobs and services. Ontario’s removal of the full 13% HST for eligible buyers of new homes valued up to $1 million, for one year from April 2026 to March 2027, is one example of what this kind of partnership can make possible. Through Bill C-26, our government has agreed to cover the 5% federal portion of that HST relief. This is a practical measure because it supports near-term construction activity while longer-term work continues to lower the cost of building homes. Since that announcement, new home sales in the GTA have begun to recover. In April alone, approximately 1,100 new homes were sold, nearly triple the number sold during the same period last year. In Toronto, housing and infrastructure must be planned together. This is why investments like the waterfront east transit project are so important. This project will connect communities such as East Bayfront, the Port Lands and Ookwemin Minising. It is not only a transit investment, but a housing strategy. Good transit helps unlock new neighbourhoods and connects people to work, school, child care and community. It supports the construction of thousands of new homes in places where people can live with dignity and connection. We are also moving forward with Build Canada Homes, an ambitious initiative to accelerate homebuilding across the country, including transitional, supportive and deeply affordable housing. This program includes a $13-billion initial investment, the development of federal lands, support for factory-built housing and measures to preserve long-term affordability. It is already supporting thousands of new units and has the potential to deliver tens of thousands more. The legislation before us would give these efforts the flexibility and tools they need to accelerate delivery, take on risk responsibly and build the housing Canadians are counting on. In a city like Toronto, where affordability remains one of our greatest challenges, this kind of relief can make a meaningful difference. It helps more buyers enter the market and supports the construction of the homes we so urgently need. This why this bill is so important. It is a measure that has been called for by housing advocates, including organizations like BILD, and it represents a clear win for builders, workers and residents in my riding. Canada’s housing market is going through a period of adjustment, but that does not change the reality that we are facing a structural housing supply shortage. Our government has been clear: We will build more homes faster and more boldly. Bill C-26’s purpose is to support housing supply, protect Canadian jobs and maintain capacity in the construction sector. By acting now, we can keep construction activity moving, retain skilled workers and ensure that builders can continue to plan and launch new projects at a time when that continuity is critical. The housing crisis did not happen overnight and it will not be solved overnight, but the choices we make today will shape the future of housing in this country for generations to come. Our government is here today working to provide Canadians with the tools they need to build that stability. Bill C-26 is one important step toward that goal. We are taking meaningful action to address one of the most pressing challenges facing Canadians today. We are working closely with provinces, territories and municipalities, because we know that collaboration is essential in a moment like this. In Spadina—Harbourfront, I see every day that density can be beautiful, that vertical living can be full of community and that good planning can help people build real lives in the heart of a city. This is the future we should be building toward. For that reason, I urge all members to support Bill C-26.

Chi Nguyen, Spadina—Harbourfront

Liberal
“This bill is a chance for the federal and provincial governments to work together on housing. We set targets for building homes, and we make sure governments only keep the money if they meet those targets.”
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Official Hansard

Mr. Speaker, I think this is a really important opportunity to show that kind of collaboration between the provincial government and the federal government, and to get the communications and clarity around the policy decisions that we need. We have set targets for our housing pieces. I know that last year in Toronto we actually took back some of the funding because the city was not meeting some of the targets around multiplexes, and in Vaughan as well. There are mechanisms, and we are making sure that the housing we are investing in gives us the returns we are looking for.

Chi Nguyen, Spadina—Harbourfront

Liberal
“People need housing everywhere in Canada, not just in big cities. Our government is funding modular homes in Nunavut. This kind of building helps make the country stronger.”
  • A repeated line

    “It is a step in the right direction.”

    Said 8 times by 8 members since May 1.

    Every time it was said
Official Hansard

Mr. Speaker, when we talk about rurality and the need for housing, we know that this is a challenge not just in downtown Toronto or in downtown Vancouver; it is a challenge across our country. However, one of the things that I have learned about, in terms of the new investments that we have been making, is an initiative in Nunavut where we will be building modular housing and building that in the north. It is a step in the right direction, and it is a step in the work of building the infrastructure we need to make Canada strong. Those efforts are really critical for this time, and I know that this is a huge part of the work that we all want to be doing as Canadians.

Dominique O'Rourke, Guelph

Liberal
“We need to pass this housing bill quickly. We are in a housing crisis, and people want us to build homes while the weather is good for construction.”
Official Hansard

Mr. Speaker, the previous question was about what the rush is in terms of passing this legislation. I want to ask my hon. colleague this: When you are out in the community, the amazing Spadina—Harbourfront, are you hearing from people that this is a housing crisis and an emergency, and that they want us to move quickly during construction season? Let us answer this: What is the rush in the House to pass this legislation?

Chi Nguyen, Spadina—Harbourfront

Liberal
“We need to spend this money quickly. Builders need our government to take on some of the financial risk so they can build more homes. This funding will also pay for things like public transit in Ontario that help new housing succeed.”
Official Hansard

Mr. Speaker, I want to thank my hon. colleague here for her excellent leadership. I know I have learned a lot from her in our time together in Parliament, from the deep expertise she brings as a city councillor and her understanding of some of the mechanisms around some of this work. It is true that there is real urgency, and in terms of this funding, I know the builders and some of the developers have signalled that the pause and the challenge of the instability mean that they are looking for our government to take on some of the risks, in order for us to be able to move forward. Part of this investment in Ontario, and I spoke in particular about the waterfront east transit project in Toronto, is for housing-enabling infrastructure, including transit. This is the kind of work that I think is really going to set the country up for success.

Kevin Lamoureux, Parliamentary Secretary to the Leader of the Government in the House of Commons

Liberal
“I want the House to pass this housing bill quickly before the summer break. It gives money to help build more homes, cuts costs for homebuyers, and supports construction workers. We need to set a schedule to pass it because the Conservatives are delaying it.”
Official Hansard

Mr. Speaker, coming out of the last election, the Prime Minister and the government made it very clear that housing was going to be a priority of this government, the issue of housing affordability, and we have seen that demonstrated in budgets and legislation. Once again, we have before us a very important piece of legislation that would give literally hundreds, if not thousands, of Canadians the opportunity to have a more affordable home. To me, that is what this is all about. There are two aspects that, I believe, would be profoundly and positively impacted by this particular piece of legislation. The most obvious is those who would have the opportunity, through this substantial break in terms of costs, to purchase and acquire a home. Another aspect that I would suggest we need to take into consideration and that would really benefit is our construction industry as a whole. I would like to provide comments on both of those issues, but first I will provide a quick comment, because I know members have raised the issue, on timing and concerns in regard to how quickly the government is trying to get this legislation through before the summer break. It is absolutely critical that we are there to deliver for Canadians in a very real and tangible way, which is exactly what Bill C‑26 would do. One thing that members need to recognize is that we brought the legislation into the House just last Thursday. The very first speaker on the legislation took two hours and 45 minutes of speaking time before he decided to let other members within the Conservative caucus speak. There should be no surprise coming from the Conservative benches that the government is concerned in regard to why, once again, we are seeing a Conservative opposition that tends to not want to see legislation pass, and then starts to criticize the government for not passing legislation. We have found, just like Stephen Harper, that at times the government needs to have a programming of legislation in order to be able to get the legislation passed. That has become very clear here in the House of Commons over the last number of months. The Prime Minister and every Liberal MP understand how important it is that we get the monies in that are so critically important. This is one aspect. It was not long ago that we were debating legislation for Build Canada Homes, which had a focus on affordable homes and has already been having tangible results because we had co-operation, independence and opportunities to expand through collaboration in that area. We are talking about thousands of homes in the making as a direct result of that piece of legislation. That is exactly what we are going to see here. We now have a Minister of Housing who has already had the discussions necessary with a province we should all be concerned about. The province of Ontario has some serious issues with housing starts. I am from Manitoba, but I understand the importance of trying to push those housing starts in the province of Ontario and other jurisdictions. I was very pleased to see the collaboration between the Government of Canada and the Province of Ontario, and it was to the degree that we now have an agreement where we will see the sales tax that would normally be applied to the construction of a new home dropped. That is going to save Ontarians tens of thousands of dollars. By presenting it in a fashion in which Ontario and Canada, in co-operation, are collaboratively working together, we are providing an incentive that will see many people in Ontario make the decision to build. That is the purpose of providing this incentive. It makes it more affordable, and we will see more homes being built this year in the province of Ontario as a direct result of two levels of government working together collaboratively, recognizing a problem and coming up with a direct action, a direct action that would complement other aspects of housing that the Government of Canada is working on. It is not just provincial governments that we recognize. We also recognize municipalities, and how it is that municipalities can benefit from working with the different partners, whether it is the provincial government or the national government. I remember having a discussion with the mayor of Winnipeg and the mayor talked about the hundreds of homes that have been built directly because of the support that the city has received from the federal government. I say that because it is a different level of government, and it demonstrates clearly that Ottawa, our national government, does have, and should have, a role when it comes to housing in our nation. I was pleased with the Bloc members who indicated that they would be supporting the bill. It is not too often that I say nice things about the Bloc, but this time, I will, because I see that members of the Bloc have recognized the value of a national government being able to support and work collaboratively with a provincial government. They recognize how residents of Quebec would actually benefit from it, as demonstrated by the Canada and Ontario benefit. I hope the Province of Manitoba will reach some sort of an agreement shortly. The sooner the better, I would suggest, so that the residents of Manitoba will likewise benefit under the program. I believe that our new Prime Minister, who was elected just over a year ago, made it very clear how important it is as a government to work collaboratively, where we can, with provinces to the benefit of Canadians. Housing is one of those areas where we have actually been somewhat successful. We have already had buy-in on Build Canada Homes, first the agency and now the Crown corporation. There are different stakeholders and different industries getting involved, like modular homes, non-profits, housing co-ops and other forms of housing. Today, we are talking about that $1.7 billion. Injecting that into the housing industry will enable many Canadians to have the opportunity to save, while at the same time reinforcing the importance of our construction industry. It is the workers who have the skill sets, the carpenters, the plumbers, the electricians, the roofers and the pipefitters. These professions are so critically important for building Canada strong. Putting in policies and bringing in legislation of this nature is going to provide jobs and opportunities in many different ways, whether it is for training facilities or for those who are currently employed in construction. It is also for those purchasing the homes, selling the homes and building the homes. There are many winners, because we recognize how important it is for the federal government to continue to work with provinces in a collaborative fashion to enhance the number of homes in Canada’s housing stock. We are committed to increasing that housing stock, dramatically, in the coming years.

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