The federal Liberal and NDP parties have made an agreement to make housing more affordable.Photo: pololia / Adobe Stock

The federal Liberal and NDP parties have reached a new collaborative agreement on common policy goals, including actions to make housing more affordable and accessible in Canada.

In a press conference on Tuesday, Prime Minister Justin Trudeau announced the two parties had reached a new supply and confidence agreement, Delivering for Canadians Now, which he said will let the government “function with predictability and stability.”

As part of the agreement, the NDP would support the government on confidence and budgetary matters, including budgetary policy and budget implementation bills, while the Liberals would commit to govern for the lifetime of the agreement, according to a statement released by the parties. The NDP would not move a vote of non-confidence or vote for a non-confidence motion during the arrangement, and both parties have agreed to communicate regarding any issues that could cause unnecessary legislative obstructions.

The agreement, which took effect on Tuesday, March 22nd, will be kept in place until Parliament rises in June 2025. Four budgets will be presented by the government within that time frame. The parties stated that nothing in the supply and confidence agreement would undermine Parliament’s role “to hold the government to account.”

“Both parties have identified key policy areas where we share similar objectives, and we’ve agreed to work together to put the needs and interests of Canadians first,” said Trudeau during the announcement. “This agreement is not about comprising the core beliefs of either of our parties or denying the differences between us. What it is about is making sure that those differences don’t stand in the way of delivering for Canadians.”

Promises for Homebuyers’ Bill of Rights, Rapid Housing Initiative extension

In their statements, the NDP and Liberal parties outlined a prioritized list of actions, including a section that details housing goals aimed at making life more affordable.

One of the key items the agreement prioritizes is the implementation of a Homebuyers’ Bill of Rights and “tackling the financialization of the housing market by the end of 2023.”

The national Homebuyers’ Bill of Rights was introduced during the Liberal’s 2021 federal re-election campaign. The bill seeks to make the process of home purchasing “fair, open, and transparent,” by banning blind bidding, creating a legal right to a home inspection and establishing a publicly-accessible beneficial ownership registry, among other policies.

Under the same section, the agreement vows to launch the Housing Accelerator Fund, which is designed to grow annual housing qualities in large cities. The Liberals campaigned on investing $4 billion into the fund, with a target of 100,000 new middle class homes by 2024-25.

The agreement would work on extending the Rapid Housing Initiative for an additional year, refocus the Rental Construction Financing Initiative on affordable units, and an additional investment in Indigenous housing this year. A $500 one-time top-up to the Canada Housing Benefit would also be given in 2022, and potentially renewed should “cost of living challenges remain.”

“We will make life more affordable. We know that rising housing costs are putting real pressure on Canadians, so we’ll keep building affordable housing,” said Trudeau during the press conference. “We’ll also crack down on unfair practices and implement a Home Buyers’ Bill of Rights, and we’ll deliver changes that make owning a home more accessible for middle class families and first-time homebuyers.”

Other priorities outlined in the NDP-Liberal agreement include launching a new dental care program for low-income Canadians. The program would start with under 12-year-olds in 2022 and be fully expanded to the rest of Canadians by 2025. Ten days of paid sick leave for all federally-regulated workers and passing a Canada Pharmacare Act by the end of 2023 are also part of the agreement.

Communities featured in this article

More articles like this