The City of Toronto is at risk of losing $30 million in federal housing funding from Ottawa's Housing Accelerator Fund after its city council voted against allowing sixplexes citywide. This decision deviates from a key condition of its housing deal with the federal government, which had pledged $118 million annually. While the previous federal housing minister warned of a 25% funding cut, the new minister, Gregor Robertson, has not confirmed this, stating the government is working with Toronto to meet its goals. The council instead limited sixplex construction to specific wards, maintaining citywide fourplex permissions.
Toronto risks losing $30M in federal funding after vote against sixplexes citywide
OttawaTorontoLocal governmentsMunicipal governmentsNeighbourhoods
AI Summary
TL;DR: Key points with love ❤️The City of Toronto is at risk of losing $30 million in federal housing funding from Ottawa's Housing Accelerator Fund after its city council voted against allowing sixplexes citywide. This decision deviates from a key condition of its housing deal with the federal government, which had pledged $118 million annually. While the previous federal housing minister warned of a 25% funding cut, the new minister, Gregor Robertson, has not confirmed this, stating the government is working with Toronto to meet its goals. The council instead limited sixplex construction to specific wards, maintaining citywide fourplex permissions.
Trending- 1 Last year (2024): Toronto council decided to permit multiplex housing across the city.
- 2 March (2025): Then-federal housing minister Nate Erskine-Smith warned Toronto.
- 3 June 25 (2025): Toronto city council voted on sixplexes.
- Toronto risks losing $30 million in federal funding.
- Potential impact on housing development targets in Toronto.
- Ongoing debate between federal and municipal governments on housing policy.
What: The City of Toronto is at risk of losing $30 million in federal housing funding from Ottawa's Housing Accelerator Fund. This is because Toronto city council voted against allowing sixplexes citywide, which was a key condition of its housing deal with the federal government. The council instead approved maintaining permissions for fourplexes citywide while limiting sixplex construction to eight Toronto-East York district wards and Ward 23 (Scarborough North).
When: Toronto city council debated and voted on the motion last month (June 25). The then-federal housing minister, Nate Erskine-Smith, warned Toronto in March. Last year, council decided to permit multiplex housing across the city.
Where: The events are centered in Toronto, Canada, with federal government involvement from Ottawa.
Why: Toronto risks losing funding because its city council's decision deviates from the federal government's condition for the Housing Accelerator Fund, which aims to incentivize cities to build more homes by reducing bureaucracy and zoning restrictions. The federal government is feeling pressure to show its investments are making an impact.
How: The federal government uses funding as an incentive, with warnings of cuts for non-compliance. Toronto city council voted on by-law amendments. City staff made recommendations based on a pilot project in Ward 23.