Politics

Poilievre calls on Trudeau to recall MPs to Ottawa to address the housing crisis

Conservative Leader Pierre Polievre is calling on Prime Minister Justin Trudeau to immediately recall MPs to Ottawa to address the housing crisis. Poilievre says he is offering solutions to solve a problem he accuses the prime minister of creating. Trudeau says his government is focused on bringing together all orders of government to find solutions.

Trudeau says his government is focused on working with provinces, municipalities and the private sector

Conservative Leader Pierre Poilievre holds a press conference on Parliament Hill in Ottawa on Wednesday, Aug. 23, 2023.
Conservative Leader Pierre Poilievre holds a press conference on Parliament Hill in Ottawa on Aug. 23, 2023. (Sean Kilpatrick/The Canadian Press )

Conservative Leader Pierre Polievre is calling on Prime Minister Justin Trudeau to immediately recall MPs to Ottawa to address the housing crisis.

Poilievre's demand follows the conclusion of a three-day Liberal cabinet retreat in Charlottetown where housing was a key agenda item.

"Justin Trudeau, the vacation is over," Poilevre told a press conference on Parliament Hill Wednesday. "It's time to recall the House so that we can get Canadians a home."

The House is scheduled to resume sitting on Sept. 18, unless Trudeau decides to recall MPs sooner.

The Conservative leader, who blames Trudeau for the current housing crisis, said his party is putting forward tangible policies that include balancing the budget "to bring down interest rates on mortgages," removing bureaucracies he accuses of slowing construction and selling federal land and buildings to "build, build, build."

Poilievre also offered Canadians a bleak vision of the housing crisis, citing the risk of homeowners no longer being able to afford steep increases in their mortgage payments because of rising interest rates.

"What do you think will happen when tens or hundreds of thousands of families lose their homes? Where will they go?" he said. "We will have the world talking about a humanitarian crisis, not in a developing country on the other side of the Atlantic, but right here in Canada."

The International Monetary Fund warned in an article published in May that Canada runs the highest risk of mortgage defaults among advanced economies.

The Bank of Canada, which has overseen the fastest series of interest rate hikes in Canadian history, said in its July Monetary Policy Report that approximately one-third of mortgage holders have been directly affected by higher rates.

"As this share increases over the coming quarters, more households will face higher debt-service costs. Mortgage holders with variable-rate fixed payments could be particularly exposed. As these borrowers renew their mortgage and return to their original amortization schedule, they could face large increases in payments," says the report.

Mortgage interest costs increased in July by 30.6 per cent year over year — the single largest factor contributing to the increase in Canada's inflation reported that month.

Trudeau says no one group to blame for housing crisis

1 year ago
Duration 2:24
Prime Minister Justin Trudeau on Wednesday cautioned against blaming any individual group for the country's housing crisis, saying the problem is something that has been 'brewing and developing over the past number of decades.' He made the comments on the last day of the Liberal cabinet retreat in Charlottetown.

Trudeau said Wednesday that Canadians recognize there isn't "one silver bullet" to solve the housing crisis and that his government is focused on working with provinces, municipalities, the private sector and the non-profit sector to address the problem.

"This a challenge that's been decades in the making," Trudeau told reporters in Charlottetown. "There's been challenges before in housing in Canada and we've been able to solve it by working together."

Trudeau said his government is focused on building more homes and claims it's on track to double the construction of new housing over the next decade.

According to the Canada Mortgage and Housing Corp. (CMHC), Canada needs to build 5.8 million new homes — including two million rental units — by 2030 to tackle housing affordability.

NDP Leader Jagmeet Singh told reporters Wednesday his party is prepared to return to the House at any time to discuss the housing crisis.

"Pierre Poilievre has been focused on blaming municipalities. The prime minister has been focused on blaming others, saying its not his responsibility. New Democrats have been focused on saying we should be building homes," said Singh.

Federal NDP leader Jagmeet Singh speaks to reporters at a Metro grocery store picket line in Toronto as Metro grocery store workers rejected a tentative deal triggering a strike of nearly 3,700 grocery store workers in the Greater Toronto Area, Saturday, July 29, 2023.
Federal NDP leader Jagmeet Singh says his party is prepared to return to Ottawa at any time to discuss plans to address the housing crisis. (Cole Burston/The Canadian Press)

"Lets focus on actual deliverables. Let's have a plan and let's use Parliament to put that plan in motion," said Singh, noting the federal government can waive GST and HST on new affordable housing to create incentives for construction and develop a plan to use federal land.

If MPs are recalled to Ottawa early, they could (depending on the date) be forced to use the makeshift House of Commons set up in the Sir John A. Macdonald building across the street from Parliament. West Block's chamber is currently undergoing maintenance, which is expected to be completed before the House is officially scheduled to resume sitting in September.

Earlier this week, Housing Minister Sean Fraser said the federal government is considering a cap on the number of international students admitted to Canada to ease pressure on the supply side of the housing market.

The Quebec government rejected that proposal, saying education is the exclusive jurisdiction of the province and it's up to the provincial government and educational institutions to determine the number of people they can accommodate.

Universities and colleges also pushed back on that proposal.

"Recent comments conflating international students and the housing crisis are deeply concerning," said Philip Landon, interim president of Universities Canada, a membership organization that advocates on behalf of universities across Canada.

"International students bring important knowledge, diversity, and skills to our campuses, communities and workforce. We must continue to welcome them to study at Canadian universities," said Landon in a statement provided to CBC News.

Colleges and Institutes Canada, which represents post-secondary institutes in every province and territory, said a cap on international students is a troubling proposal that could have lasting adverse effects on communities and exacerbate current labour shortages.

ABOUT THE AUTHOR

Brennan MacDonald was a producer for CBC's national television program Power & Politics and a writer for CBC's Parliament Hill bureau.