From Nova Scotia's 'Wind West' to Alberta's pipeline dream, here are the national projects premiers are pitching Carney
OTTAWA — Think of it like the premiers' edition of Dragon's Den.
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When provincial and territorial leaders meet in Saskatoon next week, each will arrive armed with a list of projects they want fast-tracked and are seeking federal money to get off the ground.
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While Prime Minister Mark Carney has not signalled that he plans to act like a venture capitalist to finance these endeavours, he has promised to speed up the timeframe from five to two years for massive infrastructure and energy projects to secure the necessary approvals by creating a new major projects office.
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Doing so would happen through legislation planned to be tabled by the end of June, expected to be combined in a bill to fulfill Carney's other promise of eliminating federal trade barriers. He has said he wants that to happen by July 1.
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A background document, titled 'major projects and proposed national interest legislation,' prepared by the Privy Council Office and obtained by National Post, outlines how Carney's government intends to fulfill his federal campaign promise to 'build, baby, build.'
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'The legislation would be designed to enable upfront decision-making on a small number of projects,' it reads.
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'Once a project is determined to be in the national interest, federal reviews will shift from 'whether' to build these projects to 'how' to best advance them. It will streamline multiple decision points for federal approval and minimize the risk of not securing project approval following extensive project work.'
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It goes on to highlight how the forthcoming legislation would lay out the factors that would be used to determine how a project would be considered to be in the 'national interest.'
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'Projects will also be assessed against Indigenous and provincial (and) territorial interests and their clean growth potential.' It adds that leaders have asked that mines, nuclear facilities and ports be prioritized along with 'other infrastructure.'
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According to the document, the legislation would include a list of 'national interest' projects, adding that the government could add to that list through various orders.
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'Once determined to be in the national interest, a project would be prioritized and benefit from a seamless, single point of contact — the major federal projects office.'
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National Post
2 hours ago
- National Post
Bell: Danielle Smith and Alberta give Mark Carney an offer he shouldn't refuse
It is a letter. A five-page letter. Article content You could call it THE letter. Whatever happens with this letter will play a big, big part in Alberta's place in Canada going forward. Article content It is dated May 16, signed by Alberta Premier Danielle Smith and addressed to Prime Minister Mark Carney. Article content On Monday, June 2, this letter will be on the table when Carney sits down with the premiers in Saskatoon. Article content Article content Before Smith gets around to making her offer, she begins her letter to Carney talking about how what Alberta wants will 'address serious issues plaguing Canada's economic well-being and the very real sense of alienation felt across the West.' Article content Article content This is serious stuff. Alberta has had more than enough. Article content She says Asian customers in Japan and South Korea have told her they believe Canada needs to 'accelerate market access of our oil, LNG, ammonia and critical minerals faster.' Article content 'We must build on what TMX delivered by creating another pipeline that delivers similar economic uplift, jobs, opportunities for reconciliation and Canadian security.' Article content Article content The premier says an oil pipeline has to be on Carney's list of nation-building projects to be fast-tracked. Article content It will also … and read between these lines … 'send an unwelcome signal to Albertans concerned about Ottawa's commitment to national unity.'
Toronto Star
2 hours ago
- Toronto Star
We talked to 106 political insiders. Here's why Pierre Poilievre lost his seat and Mark Carney couldn't land a majority in Canada's surprising election
The story so far In Part 1, we followed Mark Carney's unexpected rise and the unravelling of Pierre Poilievre's once-inevitable campaign — a race reshaped by the return of Donald Trump. In Part 2, Carney emerged as the front-runner, Poilievre scrambled to redefine his message, and Trump's tariff threats dominated the campaign. In this final chapter, we follow the last days on the trail, the election night surprises — and what comes next for both leaders. As the campaign's final weekend began, the mood on the Liberal plane was confident. Mark Carney seemed to be having fun. The Liberals were targeting seats they had narrowly won in 2019 and 2021, and trying to make inroads in areas where they showed new strength. The leader's presence on the ground was thought to boost a local candidate's electoral fortunes by two to three points — but since that bump only lasted a couple of days, it was crucial to have it at the tail end of the campaign. In the few days remaining, Carney was also driving at the campaign's central theme: his ability to address Trump's tariff threat. That Friday morning, a steelworker in Sault Ste. Marie, Ont. told the Star he'd volunteered to stand behind Carney because he didn't believe 'the other guy' could protect his job. It was that kind of message the Liberals wanted Canadians to hear. ARTICLE CONTINUES BELOW The next day, after his final news conference of the campaign, Carney stopped by a cafe in Newmarket. There, he was approached by a woman who said she was a realtor, and who urged him to get rid of the Liberals' increase to the capital gains tax. It was causing investors a lot of problems, she told him. 'I got rid of it. I know it was a dumb idea. As soon as they did, I was like, 'This is a stupid idea,'' Carney told her. 'And I'm sorry about that, but I wasn't there so I couldn't prevent it. But now I can.' 'So now I can go back and tell them you're the guy?' she asked. 'I'm the guy,' he replied. 'I'm the guy.' Star Exclusive: Part 1 Analysis Trudeau was done, Carney was new, but Poilievre made a critical mistake. Here's how the Conservative's set themselves up to fail Althia Raj Star Exclusive: Part 2 Analysis Donald Trump turned Canada's predictable election into a chaotic race. Behind the scenes, Pierre Poilievre was struggling to adapt Althia Raj If Carney was concerned that a voter in a swing riding hadn't known his stance on a ballot-box issue, he didn't show it. The Liberals were on the hunt. Carney went to Mississauga, where he held a rally in an airplane hangar for Peel Region candidates. Then he flew to Windsor again where, standing near the Ambassador Bridge, he urged voters to help elect Liberals in the region's four ridings. 'We need to send all of them, I mean all of them, to Ottawa to build Canada strong,' he said. But some in the crowd were struggling with how to vote strategically. Peter Fox and his wife Virginia were strong supporters of Carney, but they had already voted for their riding's NDP incumbent, Brian Masse. '(Masse) has been in here a long, long time, and I think he's going to win again, so we went out in the early polls,' Fox told the Star. 'I want to block any votes going to the Conservative party.' Virginia thought the Conservatives' chances of winning in Windsor West were pretty high, even though the riding had not voted blue in 67 years. 'We see Conservative signs on lawns, which we never used to see before,' she said. ARTICLE CONTINUES BELOW ARTICLE CONTINUES BELOW Supporters of Liberal Leader Mark Carney at a rally beside the Ambassador Bridge in Windsor on the last weekend before the election. Sean Kilpatrick/ The Canadian Press The Liberals showed no signs they were worried about progressive vote splits helping elect Conservatives. NDP-held seats in Windsor, Hamilton, London, Winnipeg, Saskatoon, Edmonton, on Vancouver Island and in Metro Vancouver were part of the Liberal path to a majority. They were not about to change their plans. Back in Hamilton, Carney had been released early. The next day, the Liberals planned a big finish that would see Carney start the day rallying in Hamilton, then make stops in Saskatoon, Edmonton, Calgary, Vancouver and the Victoria area before flying back to Ottawa overnight for election day. The campaign's senior staff were eating a late dinner at the Keg when they started seeing reports around 11 p.m. on social media about an incident in Vancouver. Someone had driven into a crowd at the city's Lapu-Lapu festival, a Filipino heritage celebration, killing several people and injuring others. They headed to the Courtyard Marriott Hotel where the Carney team was staying to work the phones, trying to figure out what had happened, how serious it was, how they could change the next day's plan, and when to wake up Carney. The Liberals had feared the suspect might have been a repeat offender out on bail — an example Pierre Poilievre often cited to suggest they were soft on crime — and that their campaign would be derailed at the last moment. To their relief, they learned through contacts that he had no prior criminal record. Around 1:30 a.m., Caley and Janice Charette, the former clerk of the Privy Council and a Carney adviser, went up to brief him and dial-in the prime minister's national security adviser and the public safety minister, as the campaign got to work on changing his itinerary. It would be, in the words of one B.C. MP, Carney's 'first domestic test.' The Liberals scaled back their Hamilton event and planned for Carney — in his capacity as prime minister — to address the nation. Then he'd meet some volunteers before flying to Saskatoon. They would reassess how best to handle the rest of the day while they were in the air. ARTICLE CONTINUES BELOW ARTICLE CONTINUES BELOW Pierre Poilievre and his wife, Anaida Poilievre, at a campaign stop Keene, Ont. the day before the election. Fred Thornhill/ The Canadian Press Carney struck a serious and empathetic tone. He shared what the government knew about the situation, what it was doing, and extended his condolences to the grieving families of the dead and injured. Carney's decision to continue with his campaign was made easier by Poilievre's choice to press ahead with his own rallies, while adding a quick stop to a Filipino church in Mississauga to extend his condolences. And while there were differing opinions about how the Liberals should proceed, one reason Carney pushed to continue was that he was headed toward Vancouver. What he would do when he got there still wasn't clear. The Liberals ended up relying heavily on B.C. Premier David Eby's office for options: Carney and Eby would visit a church together and lay flowers at a memorial site near the tragedy. The Liberals cancelled a rally in Richmond, B.C. — there would be no gathering with thousands of people to celebrate. A rally in Calgary was nixed too. The schedule was now too tight, and something had to be dropped. Organizers would later wonder if that change had cost them a few seats. Liberal Leader Mark Carney stands in a pickup truck during a stop in Edmonton on April 27. Sean Kilpatrick/ The Canadian Press In Saskatoon, Carney struck a less partisan tone. The crowd was smaller than expected. In Edmonton, about 1,200 people crowded around Mayor Amarjeet Sohi's campaign office and into the parking lot of a strip mall. As Carney jumped on the back of a pickup truck to speak, Rajiv Bhalla told the Star that he was bringing back 'a sense of security.' 'We lost faith in Mr. Trudeau before, but now I think (Carney) revived our faith.' Nearby, Kim Falconer described herself as a staunch New Democrat. Her 'heart is with NDP,' she said, 'but my vote is with Mark Carney.' When he got to Vancouver, Carney strapped a black tie and headed to the church with Eby. Then he laid white roses at the memorial site, where a woman sang a moving rendition of 'Amazing Grace.' Tears flowed. A crowd had gathered. Someone in the back said, 'Thanks for coming, Prime Minister.' Carney hugged local MLA Sunita Dhir. She wept. ARTICLE CONTINUES BELOW ARTICLE CONTINUES BELOW Later, in a field by the airport, Carney met with B.C. candidates and volunteers. It was obvious, he told Jeff Howe, the Liberal candidate in Mission—Matsqui—Abbotsford, that the rally had to be scrapped. 'The right thing to do is usually the right thing to do,' he said. Liberal Leader Mark Carney places flowers at a memorial for the Lapu Lapu Day block party tragedy in Vancouver, B.C., on April 27. Sean Kilpatrick/ The Canadian Press An hour or so later, at the Sea Cider Farm and Ciderhouse outside Victoria, Carney was relaxed. It was almost midnight, the day was nearly over, the campaign just about done. He drew a laugh from the crowd when he joked that he was supposed to campaign in poetry and govern in prose, but he was campaigning in prose and more likely to 'govern in econometrics.' Though he struck a lighter tone, he kept to his message: the election was consequential, he told his supporters, and their efforts to get out the vote the next day were needed. It was a message millions of Canadians had heard loud and clear. 'I think this is the scariest weekend for Canada, because if this went sideways, I think it could be the end of Canada,' Julian Dunster, a local volunteer, told the Star. Earlier that evening, on the other side of the country, it had been the end of something else. Poilievre was concluding his final rally — he'd held more than 180 over the past three years — as he campaigned to become prime minister. His wife, Anaida, a constant presence at his side, had tears in her eyes. scariest weekend This is the scariest weekend for Canada, because if this went sideways, I think it could be the end of Canada, His voice cracked as he spoke about all the people who had shared their stories and placed their faith in him. 'I'm actually in awe, you know, that so many people have put their hopes that I can deliver for their future, for their lives,' Poilievre said. 'It means the world to me. Thank you. I am deeply grateful.' While he urged his supporters to vote, he also acknowledged the Conservatives might not pull off the victory that had once seemed so certain. ARTICLE CONTINUES BELOW ARTICLE CONTINUES BELOW 'I want you to know that no matter what happens tomorrow, I will be there to fight for you.' Like most of his team, he did not anticipate what lay ahead. 'We would have given a limb for this result in January' A handful of Carney's advisers watched the election results come in with him as he prepared his acceptance speech at Ottawa's Le Germain hotel. At first, it looked a little concerning. The Liberals had hoped to sweep Newfoundland, signalling that a red majority wave was coming. Instead, they failed to win Central Newfoundland and they lost Long Range Mountains to the Conservatives. (After a judicial recount, they also lost Terra Nova-The Peninsulas). Then in Nova Scotia, they flipped only two seats, Cumberland—Colchester and South Shore—St. Margarets. In Quebec, voters had decided early on that Carney's French and his lack of local knowledge wasn't an issue — and nothing during the campaign convinced them otherwise. Former Bloc Québécois supporters handed the Liberals nine new seats, securing their best performance in the province since in 1980. Liberal supporters as results are announced on election night in Ottawa. Dave Chan/AFP via Getty Images So the news was relatively good until the results started coming in from Ontario, where they had hoped to gain 11 seats. That's not what happened. The shock of the night was Kamal Khera — a cabinet minister — losing her seat in Brampton West. Khera had topped the list of Liberal voter identifications in the country. How had she lost? ARTICLE CONTINUES BELOW ARTICLE CONTINUES BELOW Khera wasn't the only head-scratcher. The party also didn't foresee three-term MP Francesco Sorbara losing in Vaughan—Woodbridge — and by an enormous margin of nearly 15,000 votes. In the nearby riding of King—Vaughan, which the Liberals won in 2015 and in 2019, they weren't even in contention — the Conservative incumbent won it by more than 17,000 votes. Several other incumbents Carney had met with or whose ridings he visited over the weekend lost their seats: in Niagara South, Kitchener South—Hespeler, Hamilton East—Stoney Creek, Cambridge, Richmond Hill South, Aurora—Oak Ridges — Richmond Hill, York Centre, Newmarket—Aurora, and Windsor—Tecumseh. Sean Wiltshire, the head of the Liberals' data team was surprised by Windsor, where they failed to make gains and the Liberal incumbent lost by four votes. 'The swing in southwest Ontario was not what I thought it was going to be,' he told the Star. given a limb We would have given a limb for this result in January, and on election night we were all not celebrating As Carney headed off to the Liberal party's headquarters that night to give his acceptance speech, his campaign team assembled there in a makeshift war room. 'We would have given a limb for this result in January, and on election night we were all not celebrating. I was at the war room till like 4 a.m., hoping for some more switches — and we lost a few that we weren't hoping to lose,' said one top organizer. 'How do you end up winning Bay of Quinte but losing Brampton West?' asked another top Carney staffer. ARTICLE CONTINUES BELOW ARTICLE CONTINUES BELOW There were a lot of theories. Had voters heard so much in the last week about the Liberals winning a majority that they had decided to stay home? Had Muslim voters, upset with the party's stance on the war in Gaza, failed to turn out? Some incumbents were adamant that was the case, but a greater number seemed convinced it wasn't. Gta 'The most honest reflection of the country': Inside the 905 — the ridings that helped deny Mark Carney a majority Canada's political polarization is acutely visible in the Greater Toronto Area's suburban and rural ring — a diverse and fast-growing area of Gta 'The most honest reflection of the country': Inside the 905 — the ridings that helped deny Mark Carney a majority Canada's political polarization is acutely visible in the Greater Toronto Area's suburban and rural ring — a diverse and fast-growing area of Was the softness of the Liberal vote that had been flagged in the GTA — due to perceptions of crime, immigration, and housing constraints, and the groundwork done by the Conservatives — more entrenched than expected? Did the Liberals just have bad data? In Calgary and Edmonton, the Liberals failed to elect two potential cabinet ministers, George Chahal in Calgary Skyview and Sohi in Edmonton Southeast. In Surrey, Brampton, and Mississauga — areas core to the party's strength — the Liberals nearly lost several seats as the Conservatives' increased their vote by double-digit margins. In Brampton, the wins were razor thin. 'All of them almost lost,' reflected one MP. The Liberals had failed to see it coming. Why? 'I'd like to know,' said one field organizer. 'We can only make decisions based off of the data we're getting.' Andrew Bevan, the campaign's co-director, believes the party had good data for the most part. It won many of the seats it thought it was going to win in Atlantic Canada, in Quebec and in Manitoba. In Alberta, the Liberals hoped for four. They got two. But in Ontario, and especially in Brampton, they were off. ARTICLE CONTINUES BELOW ARTICLE CONTINUES BELOW 'We did all those things you'd normally do to try and cross-reference that the data we had on hand was valid,' Bevan told the Star. 'And the reality is in that one Brampton seat it wasn't, and the other Brampton seats were closer than we expected them to be. Likewise, in York (Region).' When candidates in Brampton raised the alarm midway through the campaign that they were losing their traditional supporters, the party commissioned a large third-language poll. It had not given them cause for concern. 'The doors were so divided,' a Peel Region MP explained. Long-time identified Liberal supporters were now telling canvassers they were voting Conservative, and past Conservative voters were now voting for Carney. 'I was having very unexpected people come and pick up Liberal signs from my office,' they said. The voter coalition had changed. One organizer joked that 'old white men came back' to save the party. Star Graphics Canadian federal election results: Check out our live riding map and see how the vote changed from 2021 Election graphics and morning-after analysis tell the story of Canada's 45th federal election. Star Graphics Canadian federal election results: Check out our live riding map and see how the vote changed from 2021 Election graphics and morning-after analysis tell the story of Canada's 45th federal election. White men over 50 had helped deliver many Liberal seats — in Victoria, and Bay of Quinte and Peterborough — and a host of other ridings were saved through their votes. One Mississauga MP described their voter base as largely NDP supporters, white voters over 50 and Muslims. But Brampton's voters, who are younger and include a larger Sikh population that split its support between the Liberals and the Tories, saw tougher races. ARTICLE CONTINUES BELOW ARTICLE CONTINUES BELOW 'If you're Sikh, you're happy that Trudeau stood by with the Sikh community. But if you are upset about the car thefts happening in your community, that you can't have a nice car sitting outside, that you have to install a Ring camera for security, that's going to annoy you more … There's a lot of goodwill towards the Liberals, but that's not how people vote,' that MP reflected. 'They vote based on how their individual lives are affected.' If the Liberals thought they had a challenge with the Conservatives' Tim Uppal and Jasraj Singh Hallan breathing down their necks, that party now had six new South Asian MPs to help spread the Conservatives' messages in areas key to forming government. But shifting vote intentions didn't just happen in the South Asian community. The Liberals' election night result prompted other questions. Why had they stopped talking to young Canadians? And how could the party do a better job of reaching out to them? sikhs If you're Sikh, you're happy that Trudeau stood by with the Sikh community. But if you are upset about the car thefts happening in your community … that's going to annoy you more What had happened to Liberal support with unionized workers? How had they let go of that advantage? And what would they do about keeping NDP supporters who had loaned them their votes? Had the centre-left party's vote not migrated, the Liberals might have had a string of losses across the country, notably in the GTA. Votes splits had damaged the NDP's chances of holding incumbent seats and reduced the party to its worst electoral result ever — seven seats — but it had also hurt the Liberals in places like Windsor, where the Conservative vote surged. Carney had cobbled together a coalition of supporters that included strange bedfellows: NDP voters, Quebec nationalists and older Progressive Conservatives who feared Trump and feared Poilievre. Could the Liberals keep that coalition together without Trump? Without Poilievre? ARTICLE CONTINUES BELOW ARTICLE CONTINUES BELOW Liberals had won most of the votes cast — for the first time since 2015 — nine new seats with 43.7 per cent support and more than 8.5 million votes. But Conservatives had also gained 25 seats, with 41.3 per cent of the vote, and more than 8 million votes. Canadian Prime Minister Mark Carney's Liberal Party has won the federal election, capping a stunning turnaround in fortunes fueled by U.S. President Donald Trump's annexation threats and trade war. (AP Video / April 29, 2025) They had come up short, but the good news for Conservatives was that they came very close. Their vote share increased. Their ground game was impressive. They turned out their vote. And they made impressive inroads with key voting blocs: young Canadians, unionized workers, immigrants. They laid down a path for future success. 'We can't pretend we didn't lose,' said one Poilievre adviser. '(But) we still pulled off something pretty remarkable. And the coalition that we've got here now, the key for us has got to be how do we hold it together, and how do we expand a little bit.' The Conservatives feel they won on the ballot question they ran on: the need for change. But they didn't win it by enough. And they didn't win on the ballot question Carney ran on: who could best stand up to Trump. pretend we didn't lose We can't pretend we didn't lose, (but) we still pulled off something pretty remarkable Another week, some believe, might have made the difference. Some Liberals agree. For Conservatives, the surprise of the night was their leader's loss of his own seat in Carleton. 'That was a shock,' said another Poilievre adviser. Despite the news stories and the local warnings, the message from Jenni Byrne to the Conservative war room was not to worry: the leader's seat was not in jeopardy. ARTICLE CONTINUES BELOW ARTICLE CONTINUES BELOW Poilievre got more votes than he did in 2021, but Bruce Fanjoy beat him by 4,513 in a race where voter turnout was more than 81 per cent. In the days that followed, much internal criticism was directed at Byrne. It was her responsibility as the senior leader of the team, another adviser argued, to ensure that while Poilievre was out campaigning, his riding was taken care of. So after an election campaign he very badly wanted, Poilievre has emerged as a wounded leader. A Conservative supporter reacts as she watches results at Conservative Leader Pierre Poilievre's election night event in Ottawa. Christinne Muschi/ The Canadian Press Some in his caucus feel vindicated for their concerns about his aggressive tone, their opposition to his courting of the far right with conspiratorial nods, their criticism of his media strategy — of not engaging with the mainstream media, showing hostility towards journalists, even banning candidates from taking part in debates. But Poilievre isn't going anywhere. He plans to be back in the House of Commons as leader of the Official Opposition soon as he wins an upcoming byelection in a safe Alberta riding. In the meantime, he has installed the loyal and non-threatening former party leader Andrew Scheer to keep his seat warm. Carney, meanwhile, must struggle with his own caucus dynamics: a backbench that is restless, former cabinet ministers who feel spurn, and resignations on the horizon. The 2025 election marked the end of a campaign with multiple storylines. It was a campaign that Trudeau had hoped to run — that he'll never know if he could have won. ARTICLE CONTINUES BELOW ARTICLE CONTINUES BELOW It is the story of a Liberal party coming back from the brink — from a likely third- or fourth-place finish — to a fourth term in government. It was an election that Conservatives won on the issues but lost before it started. And it was the story of two men who each dreamed decades ago of becoming Canada's prime minister, whose fortunes were in no small part determined by a foreign adversary no one saw coming. Star Exclusive: Part 1 Analysis Trudeau was done, Carney was new, but Poilievre made a critical mistake. Here's how the Conservative's set themselves up to fail Althia Raj Star Exclusive: Part 2 Analysis Donald Trump turned Canada's predictable election into a chaotic race. Behind the scenes, Pierre Poilievre was struggling to adapt Althia Raj With files from Ryan Tumilty Politics Headlines Newsletter Get the latest news and unmatched insights in your inbox every evening Error! Sorry, there was an error processing your request. There was a problem with the recaptcha. Please try again. Please enter a valid email address. Sign Up Yes, I'd also like to receive customized content suggestions and promotional messages from the Star. You may unsubscribe at any time. By signing up, you agree to our terms of use and privacy policy. This site is protected by reCAPTCHA and the Google privacy policy and terms of service apply. Politics Headlines Newsletter You're signed up! You'll start getting Politics Headlines in your inbox soon. Want more of the latest from us? Sign up for more at our newsletter page.
Toronto Star
2 hours ago
- Toronto Star
Building Industry Leaders Issue an Open Letter to Prime Minister Carney on GST Rebate Commitments
Toronto, May 28, 2025 (GLOBE NEWSWIRE) — Greater Toronto Area, May 28, 2025 – Yesterday at 2:30PM EST, key leaders from the building and development industry issued an open letter to Prime Minister Carney regarding the urgent need for federal action on the GST rebate and Canada's housing crisis broadly. The letter calls on the federal government to move with speed to combat market uncertainty and asks that: The GST rebate thresholds are adequate to deal with high value jurisdictions like the Greater Toronto Area and the Lower Mainland of BC; The GST exemption apply to all new home purchasers, not simply first-time buyers; The government update the existing GST rebate mechanism and simply adjust the dollar thresholds rather than come up with a completely new framework; and The government commits to regularly index the GST rebate thresholds. Later that afternoon, the federal government tabled a proposal to introduce a new GST rebate for first-time home buyers. While we are pleased that the federal government is moving quickly, the measures will provide limited, if any, benefit for buyers in large urban centres such as the GTA and Lower Mainland BC. We strongly encourage the government to incorporate the recommendations in the open letter, particularly the recommendation to retain the existing GST New Housing Rebate structure and eligibility criteria without adding a first-time homebuyer restriction. ARTICLE CONTINUES BELOW The letter was signed by leaders from: BILD (Building Industry and Land Development Association), Canmore Community Housing, Canadian Home Builders' Association, Habitat For Humanity Canada, Missing Middle Initiative, Options for Homes, Polygon Homes Ltd. and Wesgroup Properties. Read the entire letter: Dear Prime Minister Carney, We want to congratulate you on your election as Prime Minister of Canada and on the appointment of your new Cabinet. We are looking forward to working with your government towards the common goal of increasing annual housing starts to 500,000 units and supporting a sustainable housing market. We write to you today to propose that the federal government immediately follow through with a revised version of the campaign promise of enhancing the existing GST new housing rebate, which was referenced as a priority in today's Speech from the Throne. An enhanced rebate would help lower the cost of ownership, increase housing supply, enable residents to live in right-sized homes, and move the nation closer to its goal of starting construction on 500,000 new homes annually. Canadians welcomed and embraced the focus on housing affordability during the election in the interest of housing availability, affordability, and job creation. Yet, housing starts for owner-oriented homes continue to fall. In 2024, Canada recorded just 132,000 such starts, the second-lowest since 2001, and down over 20% from 2021. The outlook is worsening: first-quarter 2025 starts are down over 25% year-over-year, hitting their lowest point since the Financial Crisis. Pre-construction condo sales have nearly disappeared in Greater Vancouver and Greater Toronto, indicating further declines ahead. Canada faces a cost-of-delivery crisis in new home construction. The Liberal platform rightly identified 'lowering the cost of homebuilding' as a key priority. While many cost drivers lie outside federal control, the GST is a notable exception. Applied only to new homes, the GST undermines affordability. When introduced in 1991, the federal government provided a rebate that covered over 95% of new homes for all new home buyers. But because the thresholds were never indexed to inflation, most new homes no longer qualify, especially in high-cost regions, where affordability is most strained. This impacts not only new home prices but also resale and rental markets by reducing housing options. There is an opportunity and need to ensure the GST rebate will address the affordability crisis for all buyers, not just those purchasing new homes for the first time. If an adjustment to GST exemptions applies only to first-time buyers, it excludes key groups like seniors looking to downsize, transactions that free up family-sized homes. Perversely, it could reduce the construction of new affordable supply, as potential first-time homebuyers may be reluctant to use their eligibility on a smaller unit, instead saving it up for a more expensive, family-sized home down the road. This also reduces the incentive for those who purchase pre-construction condos, which are essential for developers to move forward with projects and provide much-needed privately-owned rental homes at completion. We urge your government to redesign its proposed enhanced GST new housing rebate with four key principles in mind: speed, simplicity, supply, and sufficiency. ARTICLE CONTINUES BELOW ARTICLE CONTINUES BELOW Speed: The rebate should be implemented immediately to counter the ongoing decline in non-rental housing starts and prevent buyers from delaying purchases. We urge you to announce an effective date, as soon as possible, with the rebate applied retroactively to that date. Simplicity: The design should align with existing business practices and avoid complex, time-consuming changes for governments and industry. Supply: New condo supply will not be created in some regions until the market absorbs the existing inventory of under-construction and complete but unsold units. Sufficiency: The rebate must be large enough to support the federal goal of 500,000 housing starts per year, with thresholds high enough to ensure no region is excluded. With speed, simplicity, supply, and sufficiency in mind, we propose the following recommendations to the federal government: Implement immediate reforms to the existing GST/New Housing Rebate. Retain the current structure and eligibility criteria, without adding a first-time homebuyer restriction. Raise the lower threshold from $350,000 to $1,000,000 and the upper threshold from $450,000 to $1,500,000. Increase the maximum rebate from 36% to 100% for homes where possession and ownership transfer on or after July 1, 2025. The rebate must apply to homes that are currently under construction and those that are complete and unsold, to ensure the next round of construction can occur as quickly as possible. Commit to further enhancements. Recognize that even these thresholds may not fully address affordability in high-cost regions or future price growth. Implement threshold increases now and launch consultations on inflation indexing and regional adjustments. Encourage provincial action. Urge provinces to adopt or expand similar rebates, including relief from sales taxes and land transfer taxes on new homes. GST relief was a central part of the Liberal platform, your post-election commitments and addressing the housing affordability crisis facing our country. Acting quickly will complement your middle-class tax cut and show your government's practical, results-driven approach to one of Canada's most urgent challenges. ARTICLE CONTINUES BELOW ARTICLE CONTINUES BELOW We welcome the opportunity to support your team on implementation and look forward to working together to increase housing starts and improve affordability nationwide. We would request the opportunity to meet with you at your earliest convenience to further discuss the impact of these proposals and the need to act with urgency. Sincerely, Dave Wilkes, President & CEO, Building Industry and Land Development Association Kristopher Mathieu, AT., PMP., Executive Director, Canmore Community Housing Kevin Lee, CEO, Canadian Home Builders' Association Pedro Barata, President & CEO, Habitat For Humanity Canada Dr. Mike Moffatt, Founding Director, Missing Middle Initiative Daniel Ger, CEO, Options for Homes Robert Bruno, Executive Vice President, Polygon Homes Ltd. Beau Jarvis, President & CEO, Wesgroup Properties -30- With more than 1,000 member companies, BILD is the voice of the home building, residential and non-residential land development and professional renovation industries in the Greater Toronto Area. The building and renovation industry provides 256,000 jobs in the region and $39.3 billion in investment value. BILD is affiliated with the Ontario and Canadian Home Builders' Associations. For additional information or to schedule an interview, contact Janis McCulloch at jmcculloch@ (416-617-7994)
