Affordable Housing and Groceries Act

An Act to amend the Excise Tax Act and the Competition Act

This bill is from the 44th Parliament, 1st session, which ended in January 2025.

Sponsor

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill. The Library of Parliament has also written a full legislative summary of the bill.

Part 1 amends the Excise Tax Act in order to implement a temporary enhancement to the GST New Residential Rental Property Rebate in respect of new purpose-built rental housing.
Part 2 amends the Competition Act to, among other things,
(a) establish a framework for an inquiry to be conducted into the state of competition in a market or industry;
(b) permit the Competition Tribunal to make certain orders even if none of the parties to an agreement or arrangement — a significant purpose of which is to prevent or lessen competition in any market — are competitors; and
(c) repeal the exceptions in sections 90.1 and 96 of the Act involving efficiency gains.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from Parliament. You can also read the full text of the bill.

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-56s:

C-56 (2017) An Act to amend the Corrections and Conditional Release Act and the Abolition of Early Parole Act
C-56 (2015) Statutory Release Reform Act
C-56 (2013) Combating Counterfeit Products Act
C-56 (2010) Preventing the Trafficking, Abuse and Exploitation of Vulnerable Immigrants Act

Votes

Dec. 11, 2023 Passed 3rd reading and adoption of Bill C-56, An Act to amend the Excise Tax Act and the Competition Act
Dec. 5, 2023 Passed Concurrence at report stage of Bill C-56, An Act to amend the Excise Tax Act and the Competition Act
Dec. 5, 2023 Passed Bill C-56, An Act to amend the Excise Tax Act and the Competition Act (report stage amendment) (Motion No. 3)
Dec. 5, 2023 Failed Bill C-56, An Act to amend the Excise Tax Act and the Competition Act (report stage amendment) (Motion No. 2)
Dec. 5, 2023 Failed Bill C-56, An Act to amend the Excise Tax Act and the Competition Act (report stage amendment) (Motion No. 1)
Nov. 23, 2023 Passed 2nd reading of Bill C-56, An Act to amend the Excise Tax Act and the Competition Act

Debate Summary

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This is a computer-generated summary of the speeches below. Usually it’s accurate, but every now and then it’ll contain inaccuracies or total fabrications.

Bill C-56, also known as the Affordable Housing and Groceries Act, aims to address housing affordability by removing the GST on new rental housing construction, including apartment buildings, student housing, and seniors' residences, until 2035. The bill also seeks to enhance competition in the grocery sector and prevent anti-competitive mergers by empowering the Competition Bureau with increased investigative powers and by removing the efficiencies defence. Amendments to the Competition Act would empower the bureau to take action against collaborations that stifle competition and consumer choice, particularly in situations where larger grocers prevent smaller competitors from establishing operations nearby.

Liberal

  • Removing GST on rental housing: The bill would increase the GST rental rebate from 36% to 100% and remove phase-out thresholds for new rental housing projects. The government hopes this will incentivize developers to build more rental homes, including apartment buildings, student housing and seniors' residences across Canada, to address the housing crisis.
  • Amending the Competition Act: Bill C-56 seeks to amend the Competition Act to empower the Competition Bureau to investigate price gouging and price fixing, prevent anti-competitive mergers, and ensure large grocery stores cannot block smaller competitors. The government aims to foster a more competitive marketplace, stabilize food prices, and provide consumers with more choices.
  • Addressing Affordability for Canadians: The Liberal speakers emphasized the bill as a concrete step to address affordability challenges faced by Canadians, particularly concerning housing and grocery costs. They highlighted existing measures like the Canada Child Benefit and the Canada Workers Benefit, while noting Bill C-56's role in getting more homes built and increasing competition in the grocery sector.

Conservative

  • Supports removing efficiencies defence: The Conservatives support the removal of the efficiencies defence in the Competition Act, which currently allows companies to merge if they find efficiencies. They feel this change would give the Competition Bureau more power to prevent mergers that would lead to higher prices and less choice for Canadians.
  • Eliminate the carbon tax: The Conservatives are strongly opposed to the carbon tax, which they believe increases costs for farmers, truckers, and consumers, ultimately driving up grocery prices. They argue the carbon tax adds cost after cost to what the consumer pays and want to remove it to alleviate financial pressure on Canadians.
  • Housing affordability crisis: The Conservatives recognize the severity of the housing crisis and are critical of the Liberal government's handling of it, which has led to doubled housing costs, rents, and mortgages. They advocate for incentivizing municipalities to build more homes and cutting gatekeepers in the CMHC, streamlining the approval process for new housing projects.
  • Criticism of Liberal Approach: The Conservatives view the Liberal bill as inadequate and a "shrug emoji" in addressing the major issues of affordability, lacking substantial measures to tackle grocery prices or the housing crisis. They accuse the government of being out of ideas and plagiarizing Conservative proposals without fully committing to effective solutions.

NDP

  • Small steps on affordability: NDP members generally agreed the bill takes small steps to address issues of affordability in Canada, but that it does not go far enough. They stated that the housing and grocery prices are higher than ever, and the government needs to intervene with effective public policies.
  • Strengthen competition bureau: The NDP seeks to strengthen the Competition Bureau. One member stated that Bill C-352, introduced by the leader of the NDP, would impose harsher penalties on companies that fix prices and better regulate monopolies. The NDP believes the burden of proof should fall on companies to prove their activities benefit Canadians.
  • Address the housing crisis: The NDP believes there should not be a sole reliance on market-based solutions to the housing crisis. They have proposed an acquisition fund for non-profit organizations, to allow them to buy affordable social housing. Members stated that the government needs to take responsibility for the creation of social housing.
  • Grocery store profiteering: The NDP stated that Liberal's approach of meeting with grocery store CEOs will not be effective. They believe the government needs to recognize the role of corporate greed. They propose a windfall profit tax for grocery retailers who are price gouging, to ensure the savings are passed on to consumers.

Bloc

  • Supports in principle: The Bloc supports the bill because they cannot be against it. While the bill does not set out any harmful measures and does include some mini-measures, it is clearly not a panacea.
  • Criticism of Liberal approach: The Bloc criticizes the Liberal government for a lack of long-term thinking and action on issues like the housing crisis and rising food prices, accusing them of being out of touch with the needs of their constituents and only acting when poll results are unfavorable.
  • Provinces' jurisdiction: The Bloc emphasizes that housing is under the exclusive jurisdiction of Quebec and the provinces. The federal government should not interfere, especially when Quebec has innovative and effective programs.
  • GST rebate insufficient: The Bloc argues that the GST rebate for new rental apartment buildings will not significantly lower prices or address the critical need for social housing. They believe the government's approach is a half measure that benefits private builders, rather than addressing the core issue of affordable housing for the most vulnerable.
  • Competition Act changes welcomed: The Bloc welcomes the amendments to the Competition Act, particularly measures that give the Competition Bureau real investigative powers and make mergers more difficult. These changes are seen as long overdue, though questions were raised about whether the changes will really impact the domination of a few players in the market.
  • Need for social housing: The Bloc stresses the urgent need to construct social housing and affordable housing to solve the housing crisis. A significant portion of new builds needs to be social housing to meet the needs of the most vulnerable populations.
  • Federal overreach: The Bloc opposes federal conditions on funding and interference in areas of provincial jurisdiction, like housing. They criticize the government for delaying the release of funds to Quebec due to a desire to attach the Canadian flag, hindering the province's ability to address the housing crisis effectively.

Green

  • Supports removing GST: The Green Party supports the removal of the GST on rental home construction as proposed in Bill C-56, viewing it as a good measure, but insufficient to address the depth of the current housing crisis.
  • Need structural changes: The party calls for structural changes, such as ending the dependence of GDP growth on rising home prices and addressing the lack of competition in the grocery sector, but also advocates for immediate solutions like excess profits taxes on the oil and gas sector and grocery chains to fund a guaranteed livable income for Canadians.
  • Address financialization of housing: They stress the need to remove speculation and investment interests from housing, advocating for the elimination of real estate investment trusts and a return to co-op housing models to make housing more accessible and affordable.
  • Need acquisition funds: The Green Party highlights the importance of an acquisition fund to allow non-profits to preserve affordable housing units, and calls for sustained investments in social and co-op housing.
Was this summary helpful and accurate?

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 1:55 p.m.

Conservative

Eric Melillo Conservative Kenora, ON

Madam Speaker, it is great to rise today and join the debate on this very important topic. I just want to start by saying that, in Bill C-56, I am pleased to see that the Liberals finally seem to be admitting that Canadians are struggling. Over the last number of years, they have been telling us everything is fine and that the government has a great credit rating with all the agencies. However, we have been raising concerns about the housing costs, the cost of groceries and the cost of living for quite some time now, and I think that the bill being brought forward shows that the government is finally admitting that there is a housing crisis and that its inflationary policies are driving up the cost of groceries for Canadians.

It is also clear to me that it is a tired government that is out of ideas. Within the bill, of course, it is looking to remove the GST from purpose-built rentals, but that is something that has been brought forward by our current common-sense Conservative leader, the leader of the official opposition.

As well, the bill aims to help address grocery costs by removing the efficiencies defence, which currently allows anti-competitive mergers to survive challenges if corporate efficiencies offset the harm to competition, even when Canadian consumers would pay higher prices and have fewer choices. This is another Conservative idea. It was brought forward by my friend, colleague and seatmate, the member for Bay of Quinte. I want to thank him for bringing that forward. He is a very smart guy and a decent hockey player, but he brought forward this idea, and it is another one that the Liberals have now adopted.

I want to be clear that I am happy that the government is trying to take some of our Conservative ideas. I will highlight a few other ideas that I would like to offer the government to bring forward, if it is serious about addressing the housing crisis and the cost of groceries.

As we know, after eight years of the NDP-Liberal government, housing prices have doubled. Nine in 10 youth say they will never afford a home, and many families cannot even pay the interest on their mortgages. Now the government's solution is to bring forward more photo ops and, as I mentioned, plagiarize Conservative messaging. The bill takes the Leader of the Opposition's idea from his building homes not bureaucracy act: to remove the GST on purpose-built rentals. It is a good idea, of course, but it is missing a key piece.

Our leader's bill would incentivize more affordable homes, because in order to qualify for the removal of GST, the rental price must be below market value, meaning that more homes would get built and prices would come down. As new homes were built, they would continually bring those prices down in order to qualify. The Liberals' version would not do that. It would allow prices to continue to skyrocket.

I look forward to sharing some more ideas on this after question period.

The House resumed consideration of the motion that Bill C-56, An Act to amend the Excise Tax Act and the Competition Act, be read the second time and referred to a committee.

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 4:45 p.m.

Conservative

James Bezan Conservative Selkirk—Interlake—Eastman, MB

Mr. Speaker, indeed I am proud to be here as part of the blue team. It is always an honour to stand in this House and to debate some of the legislation that is before us. Today we are discussing Bill C-56, the affordable housing and groceries act. First of all, I have to congratulate the leader of the official opposition who tabled his bill, the building homes not bureaucracy act, of which the Liberals lifted part and implemented it here through Bill C-56.

I also have to congratulate the member for Bay of Quinte for his private member's bill, Bill C-339, which was to amend the Competition Act by further defining the efficiencies defence under the Competition Act. Of course, that was also lifted by the Liberals and put into Bill C-56.

I guess it is true, as Oscar Wilde used to say, that imitation is the sincerest, and I would say the greatest, form of flattery. For the Liberals to take Conservative legislation and put into their own government bills is a form of flattery, and it is one that I think we should really recognize. This is Conservative ideology that the Liberals are implementing here.

I think it is also important to point out that the Liberal government is all out of ideas. It has been eight long years. The Liberals are tired, they are weary and they do not have anything else to bring forward, so they are now going to be going through all the private members' bills that the Conservatives have laid before this House and they are going to be lifting parts they can use of the great ideas the Conservatives have. They are going to put those into their own legislation going forward.

I am looking forward to what else is going to be coming forward from the government. When it comes down to the issues of grocery prices and housing, they have no ideas, and for the eight years we have been watching, things have gotten harder for Canadian families. It has gotten tougher for Canadians to live that major Canadian dream, which is to own their own home, but millennials and young Canadians just do not have that opportunity.

After eight long years, we have mortgage rates that have now gone up to the highest levels in 30 years. We have seen mortgage rates increase 10 times. The Bank of Canada preferred rate has gone up 475 basis points. Rent in this country on rent a two-bedroom home is going to cost, on average across this country, $2,339 as of last month. Canada now has the most expensive housing market in the world, with some communities like Vancouver and Toronto by far the most expensive places to live, and incomes have not kept up with the cost of living.

It is said that societies often come to the brink of collapse when things like putting food on the table and a roof over one's head exceed 75% of one's disposable income. That is what is happening under those Liberals and their mismanagement of our economy and our government. They are really making it impossible.

We talk about the Canadian dream. When I was 21 years old I took out my first mortgage, under the Liberal Pierre Elliott Trudeau government, and paid a 21% interest rate on that mortgage. It is like father, like son, and now we have again out-of-control interest rates, out-of-control inflation and a government that is running up these massive deficits, contributing to inflationary spending. We are in a situation where those millennials and young Canadians are now not doing what we did, taking out a mortgage and paying it off over 25 years. They are taking 25 years to save up for the down payment to go out and buy that new home.

We always talk about how this is impacting our young people, those millennials out there and the 30-somethings who are still living in their parents' basements. It is also impacting seniors. Edna in my riding wrote to me, and said, “Now, everything costs so much more. Many seniors are suffering and don't have the means to get help”. She was talking about her mortgage and insurance on her house, the meagre life insurance she pays for, all the utility bills and her groceries, and she cannot make ends meet. This is in Manitoba where, compared to the rest of Canada, rental rates, mortgage rates and housing prices are still relatively affordable compared to Ontario, B.C., Atlantic Canada and Alberta, yet she is struggling to get by.

What the Liberals are planning here is to give a GST holiday to wealthy landlords who are going to go out and build more rental units. There is no classification on whether this is affordable housing, but they are not going to make sure that these are homes that people can afford to live in on their income. They could have looked at what we were proposing. I welcome the Liberals to plagiarize more of the Leader of the Opposition's bill, the building homes not bureaucracy act.

On top of removing the GST over the next five years on new home builds, why do the Liberals not make it easier for all developers so they can build more single-family homes as well make sure we are out there to support the people who want to buy their first home, not rent, whether it is a condo, a multi-family unit or a single home in a new development? Let us make sure that all developers, not just the landlords who are out there, are going to be able to get the GST holiday.

Let us make sure that we are also taking away the bonuses paid to bureaucrats who are part of the problem right now in creating the red tape. I am talking specifically about the bonuses that were paid out to Bank of Canada and CMHC executives. There was $26 million paid out in bonuses to CMHC executives who, in my mind, are part of the housing crisis as they are not addressing it well, and the Bank of Canada executives got $20 million in bonuses. Again, this is the Bank of Canada that keeps increasing the interest rates to try to balance off the inflation that was created. The Liberals printed more money for this bank to borrow and the government continues to use that money to run up these huge inflationary deficits.

The current Prime Minister has now run up more national debt than all prime ministers before him going right back to Confederation. That to me is a crisis. It is about passing on debt to our children, our grandchildren and our great-grandchildren. We are talking about intergenerational abuse because of the misappropriation of funds by the government and the lack of investment in the future of this country, which is making it tougher for Canadians.

I have to say if we want to talk more about what the Liberals can take and lift out of the Leader of the Opposition's bill, let us make sure we also talk about getting rid of the gatekeepers by incentivizing municipalities to actually build more homes and doing away with all the red tape that is stopping them.

We want to make sure that we take all the excess land and buildings the Government of Canada owns and convert them into housing.

Let us not stop there. If the Liberals want to take another Conservative policy and plagiarize it, I welcome them to axe the carbon tax. If we want to talk about groceries, which this bill has actually nothing to do with, let us talk about taking away the inflationary carbon tax because it is making food more expensive. I am a farmer. My friend from Dauphin—Swan River—Neepawa is a farmer. My friend from Portage—Lisgar is a farmer. We were all a bunch of farm kids growing up and are proud of it. When we tax the farmer who grows the food, tax the trucker who transports it to the processor, tax the processor who makes the food, tax the trucker again to get it over to the grocery stores, and then the Liberals not only charge the carbon tax on the grocery stores, but penalize them, fine them, then pass that on to the consumer as well, it means we all pay more for food.

Let us make sure that the Liberals continue to make use of good, Conservative policy, that they do away with all the destructive and wasteful spending on their side and do more to work with our side, follow our lead and take our examples, because then they will make a difference. If they do not, I promise all Canadians they will have a chance to pass judgment on the government, get rid of the Liberals, and bring in the common-sense Conservatives for a better and brighter future.

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 4:55 p.m.

Liberal

George Chahal Liberal Calgary Skyview, AB

Madam Speaker, I do not really agree with many of my colleague's statements on I think it was the Conservatives' building bureaucracies act and the lack of housing bill.

Calgary City Council voted in favour of the housing task force recommendations. Does the Conservative Party support Calgary's housing task force recommendations?

Do you support the Conservative housing critic's support of those recommendations or do your support your leader's and Conservative Party MPs' opposition of those housing task force recommendations? Could you please tell this House whether you support your housing critic or your Calgary MPs?

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 4:55 p.m.

The Assistant Deputy Speaker Carol Hughes

I want to remind the member he is not to address questions and comments directly to the members; it should be through the Chair.

The hon. member for Selkirk—Interlake—Eastman has the floor.

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 4:55 p.m.

Conservative

James Bezan Conservative Selkirk—Interlake—Eastman, MB

Madam Speaker, I will let the member from the Calgary area know I do support our leader on this, because, and I will just repeat it again, it is the building homes not bureaucracy act. It is about getting houses built, not more red tape. It is about making sure we are able to provide more opportunity for young Canadians to actually get into a house of their own, and if they cannot, then let us make sure there is more housing stock out there.

My daughter lives in Calgary, by the way, and luckily they are homeowners, but it is getting more and more expensive for them as well. The question becomes whether the City of Calgary will be willing to work with our federal Conservative Party, when we become government, to make sure we are taking away all of the restrictions and all of the NIMBYs blocking the development of land in Calgary and we are creating more homes and more opportunities for people in Calgary to own their own homes.

If the City of Calgary has some great ideas, we are more than happy to work with it and provide it more infrastructure dollars to ensure that there is that opportunity to build more homes, to build more developments, and at the end of the day everyone is better off.

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 4:55 p.m.

Bloc

Jean-Denis Garon Bloc Mirabel, QC

Madam Speaker, the Bloc Québécois has been calling for a reform of the Competition Bureau system for 20 years or so. For years, we have been asking that the Competition Bureau have the authority to prevent mergers and acquisitions regardless of any efficiency gains they might generate if, at the end of the day, it means higher prices for consumers. That is what happened in the case of grocery stores. Mergers and acquisitions took place. This made them more efficient, but it also enabled them to drive up prices. This measure is specifically covered in in Bill C-56.

I would like to know whether my colleague thinks that this Competition Bureau reform is a good thing for consumers.

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 4:55 p.m.

Conservative

James Bezan Conservative Selkirk—Interlake—Eastman, MB

Madam Speaker, every time we can give more power to the Competition Bureau to actually do its job and create more competition in the marketplace, consumers win. The rules around the efficiencies defence have to be addressed. Efficiencies usually mean fewer jobs, and we know efficiencies that have been applied in the past have meant we have had more concentration of the market and fewer and fewer players, and that has not helped the consumer.

Although there is all this talk about the affordable housing and groceries act, the change that is suggested here, as it was by the member for Bay of Quinte, addresses the entire Competition Act. It goes beyond food production as well as grocers and it talks about every part of the industry so we can have this opportunity to apply a new lens when we are looking at acquisitions and mergers.

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 5 p.m.

NDP

Heather McPherson NDP Edmonton Strathcona, AB

Madam Speaker, in the member's intervention today, he spoke a lot about how seniors are impacted. I 100% agree with him. I spoke to one of my constituents, Laura, who is really struggling to make ends meet.

Would the member not agree that increasing OAS for seniors across the country, making sure that seniors 65 to 75 get the same amount as seniors over 75 and making sure that, particularly in Alberta, the CPP is protected for seniors are very important things? Would he support our calls for an increase to OAS so that 65-year-old seniors get the same treatment as those who are older, and for CPP to remain in seniors' hands?

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 5 p.m.

Conservative

James Bezan Conservative Selkirk—Interlake—Eastman, MB

Madam Speaker, I too hear from my constituents all the time, from seniors, that a disparity has been created by the Liberals between those who are 65 to 75 and those 75 and over in the amount of money they receive through their pensions. That does need to be rectified.

I forgot to mention that one of the seniors from my riding, Bill from Beausejour, wrote to me that the big bonuses given out by the Liberals to Bank of Canada executives and CMHC executives appear to be very plainly a slap in the face to Canadians struggling to house their families.

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 5 p.m.

Central Nova Nova Scotia

Liberal

Sean Fraser LiberalMinister of Housing

Madam Speaker, it is a pleasure to rise in this House to debate Bill C-56. Perhaps I will start with my conclusion: I intend to support the bill, and I encourage all members in this House to do the same.

Bill C-56 is about making life more affordable. It is the affordable housing and groceries act, and of course, given the nature of my position as the Minister of Housing, Infrastructure and Communities, I will focus more on the aspect that will lead to more home construction across Canada to help address the supply gap that is contributing to the relative lack of affordability that we are dealing with.

I think it is important to acknowledge that Canada is experiencing a housing crisis. In order to restore affordability, we need to build homes and we need to build them by the millions. This is going to require us to pull every lever at our disposal to get Canada building at a rate that it has never built before. However, if we are going to succeed, we have to understand the nature of the obstacles that stand in our way and introduce specific policies that are designed to overcome those challenges.

Over the course of my remarks, I hope to identify the scale of the challenge we are facing, highlight the problems that we need to overcome and demonstrate some of the solutions that are starting to have a positive impact today. I do not mean to suggest that the job is done; we have a long way to go. However, I am very optimistic in light of the response from the home building sector to some of the policies we have put forward indicating that they are having the desired impact.

There are currently about 16.5 million homes in this country. We are on pace to building a few million more over the next number of years, but we have to increase the pace of building significantly if we are going to restore the level of affordability that existed in Canada just 20 years ago.

The reality is that the impact can be felt not only in the statistics outlined in CMHC's reporting, but in the lives of ordinary people who are struggling with the cost of living. The experiences that I hear about include too many young people who are trying to get ahead in life and trying to get their first job in a community they want to live in, but nevertheless find themselves in a position where they simply cannot afford a place to live. Too many people do not have that option. Even young professionals in a two-income household are sometimes unable to find a place to live in the community where they found meaningful work, one they can afford given their rate of pay.

When I talk to students from across the country, they tell me that it is very difficult to find a place to live in a college town that is safe, affordable and near the place they go to school. I have had too many conversations with young people studying on college and university campuses across this country who have told me that they are now sometimes living an hour commute away from their studies. At a time in their lives when they should be focusing on learning and developing skills that will contribute to their well-being, knowledge base and employability, they are focused on figuring out how they can get to class.

There is an opportunity for us, if we continue to engage with the people who are feeling the brunt of the housing crisis, to learn from them the solutions that will allow them to find the kind of place they want to live in.

When I talk to seniors who live in our communities, they want nothing more, as they downsize from the family home where they raised their kids, to find a place that is more manageable for them in the same community where their grandkids are being raised. I do not think that is too much to ask, and we need to realize that the importance to a person's life cannot be overstated when we are dealing with the place they call home.

I have talked to people who have a job that helps them get by in this country, and they tell me that, despite having a respectable income, they cannot find a place to live anywhere close to the place where they work. We need to make sure that we address the needs of workers in this country by working to ensure not only that their wages go a little further and they have a home they can afford, but that they have the kind of home they can raise their family in, with access to the services their family relies on and employment opportunities in their community.

Of course, I would be remiss if I did not also draw attention to the serious challenges facing Canadians who do not have a place to live at all, people who do not have housing security and people who are sleeping rough. We need to continue to do more to support some of Canada's most vulnerable people.

There are a number of challenges that we need to overcome. Primarily, I want to focus today on the need to change the financial equation that home builders are dealing with as they make an assessment as to whether they should green-light a project or let it sit on the shelf. As a result of the recent increases in the cost of supplies and materials, the cost of labour and the cost of land, and of course as a result of rising interest rates from global inflation, too many builders have projects sitting on the shelf that have been approved and could go ahead if the economics of the projects worked.

This is where the GST measure we have advanced through Bill C-56 comes in, and we are seeking support for it from members of Parliament. If we remove the tax on constructing new apartments in this country, we are going to see more apartments go up.

When we made the announcement that we would reduce the GST on new home construction among rentals across Canada, we saw certain provincial governments step up and say they would do the same. I want to thank in particular British Columbia, Ontario, Newfoundland and Labrador and my home province of Nova Scotia. We are starting to see movement to different degrees in other provinces as well. In some instances, this has reduced costs by 15% overnight when looking at the combined impact of the federal and provincial measures.

What we have seen as a result is that developers are publicly stating they are moving forward with projects that will provide homes for thousands of Canadians that otherwise would not have gone ahead. In particular, I point to Dream Unlimited Corporation's plans to advance several different projects in Ottawa, Saskatoon and Toronto that are going to lead to 5,000 homes being built. I look at Fitzrovia, which announced that it would be moving forward with developments totalling 3,000 homes. I look at Tricon's announcement after the GST measures were revealed. It announced it would move forward with 1,000 new homes.

The reality is that there are many examples of projects, as I have heard from different colleagues and from the home building sector, in every part of this country that are now going ahead that otherwise would have just stayed on the shelf. This policy is having the desired impact, and I am looking forward to seeing many, many thousands of homes be constructed as a result. That is why I am supporting Bill C-56. It would allow the private sector to justify going ahead with the construction of thousands of homes.

However, we know there are many other areas where we need to continue to advance policies if we are going to overcome the challenges facing home builders, communities and people who have housing needs. We need to fundamentally change the way that cities allow homes to be built or sometimes do not allow homes to be built in this country. We need to encourage cities to legalize housing. In too many communities across this country, it is literally illegal, as a result of municipal bylaws, to build the kinds of homes that people need if they are going to live and thrive in our communities.

Members may have seen that over the course of the last few months, I have been engaging directly with municipal councils and mayors, encouraging them to change their laws so they can permit more housing to be built, can speed up the process of permitting those homes and can make the kinds of investments that will lead to more density in downtown cores, more homes near transit stations so people can access the services or employment opportunities they need and more homes near college and university campuses so students have a place to live as they undertake their studies.

I cannot say how excited I am about the early signs of success with the housing accelerator fund. We have seen a positive announcement by the City of London, which is going to be increasing its ambition as a result of its access to the fund. We saw today the City of Vaughan announce that as a result of a $59-million investment, it will be able to add, over the next 10 years, 44,000 homes to that city.

We are going to continue to do more to get low-cost financing on the table by increasing the valuation of the Canada mortgage bond program, which is going to add 30,000 homes a year. There are a number of other measures we need to address, but if we change the equation for builders, change the way that cities build homes and continue to make the kinds of investments we have been making since 2017 under the national housing strategy, we have an opportunity to make massive progress in the attempt to address Canada's national housing crisis.

I would be happy to address any further issues, if members in this House wish.

Let me conclude with a final thought. It is not enough for different parties in this House to throw ideas at the wall, as some have done. We need to address the very specific problems that have given rise to Canada's national housing crisis. By having a thoughtful policy approach and by advancing measures like the removal of GST on new rental construction across Canada, we can change the way that homes are built in this country, increase the pace at which they are built and put an end to Canada's national housing crisis. We can do this by having the private sector and governments co-operate to build homes that Canadians can actually afford.

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 5:10 p.m.

Conservative

Dan Mazier Conservative Dauphin—Swan River—Neepawa, MB

Madam Speaker, the minister gave a great speech.

You touched on a lot of important subjects, after being been in power for the last eight years. I just want to go over these different subjects. You talked about—

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 5:10 p.m.

The Assistant Deputy Speaker Carol Hughes

I want to remind the member to address questions and comments through the Chair.

The hon. member for Dauphin—Swan River—Neepawa.

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 5:10 p.m.

Conservative

Dan Mazier Conservative Dauphin—Swan River—Neepawa, MB

Madam Speaker, the member talked about a lot of subjects that are near and dear to my heart as well.

He talked about students. They do not have anywhere to go when they go to school, and now they have to take transport for over an hour. I heard, at the science committee, that some science students are sleeping in bus shelters just to be able to go to school during the week, and then they go back home and try to get some sleep. That is one thing. The Liberals have had eight years to fix that.

I have heard that many seniors are not able to afford a place to move into. Sure, they can go ahead and sell their home, but they cannot even downsize because there is absolutely no supply. It is good the minister is talking about seniors and does recognize there is a problem. It is very critical, though. These people are in their senior years. Time is ticking, and the government does not have time to address these things.

With respect to young workers and young families, he is talking about a 10-year horizon. The children will be off to university by then and they will still be sleeping in shelters. The Liberals have had eight years to fix this and they have not done a thing. He is still talking about another eight years.

Of course, my biggest question is about the GST exemption. How are builders going to be passing on the savings from the GST that they are getting? Is it—

Affordable Housing and Groceries ActGovernment Orders

October 5th, 2023 / 5:10 p.m.

The Assistant Deputy Speaker Carol Hughes

The hon. member has taken quite a bit of time. I want to remind members to keep their question to a minute.

The hon. minister.