A home up for sale in Toronto in February. The federal government tabled a bill aimed at authorizing a payment 'for the purpose of improving housing supply.'Sammy Kogan/The Globe and Mail
Finance Minister François-Philippe Champagne tabled new housing legislation Thursday that proposes providing an additional $1.7-billion in immediate funding to provinces and territories.
Bill C-26, the Improving Housing Supply Act, was tabled in the House of Commons shortly after 10 a.m. It is a short bill that authorizes a one-time payment of $1.713-billion to increase new housing supply.
According to a news release, the new money can be used for measures, such as reducing development fees or levies on new home construction or enhancing existing provincial programs related to housing.
“At a time of global uncertainty, our focus is clear: we must keep building. This legislation will help ensure projects continue moving forward, support construction workers, and deliver more homes,” Mr. Champagne said in a statement.
Ontario Premier Doug Ford announced on Wednesday that the province would expand the sales tax rebate on newly built homes to more buyers, including repeat buyers and some investors who plan to rent out their units.
Mr. Ford said at the time that Ontario’s move would be supported by a deal with the federal government that would approximately cover Ottawa’s portion of the foregone tax bill. Thursday’s announcement from Mr. Champagne does not specifically mention the province’s sales tax rebate program.
Mr. Champagne’s office said the government plans to book the $1.7-billion in the current fiscal year, which ends at the end of the month.