The government announced almost nothing new in housing with this budget. It must be said that the minister had already committed $1.8 billion during the economic update in November and we are now waiting to see when these funds will be transformed into new housing.
We then promised 8,000 more over five years, but that takes a long time. Currently, approximately 12,500 affordable housing units are financed without being built in Quebec and the budget plan predicts that the housing stock will have more than 23,000 more by 2028-2029.
More specifically, the new affordable housing program, launched in 2022 by the Legault government, has not yet generated new construction. It has funded 1,700 units so far, but they are all in the “development” or “realization” stage.
“The biggest deficit in this budget is housing,” thundered Quebec Solidaire MP Haroun Bouazzi. “The government is in no hurry to spend it, the $1.8 billion on affordable and social housing.”
Questioned by the media on the absence of other measures to stimulate construction, the Minister of Finance said in English that assistance from the Bank of Canada via a reduction in interest rates would be welcome to revive construction starts. .
He reiterated that a reduction in the QST equivalent to that proposed by the federal government for the GST would have been an “ineffective measure”.
The Minister of Finance also says he is counting on the new construction training programs and the industry reform launched by his colleague, the Minister of Labor Jean Boulet, to encourage an increase in construction starts.
Maintenance of housing allowances.
To support the most impoverished tenants, the minister also continues to rely largely on the Housing Allowance (60 million in 2024-2025). This program provides monthly assistance to people who spend a disproportionate share of their income on housing.
Thus, people who spend 50 to 80% of their income on their apartment can receive between $150 and $170 per month in allowance. At the first level, those who allocate between 30 and 50% receive $100.
No less than 66,000 households are in this category in Quebec. People in this last category are those who benefit the most from the budget since the aid intended for them is maintained this year, which was not originally planned.
Since Minister Girard reinvested in this program in 2021, the number of households benefiting from it has increased from 62,200 to 150,000.
Otherwise, a small envelope of less than $1.5 million per year was set aside for student housing and the development of student residences. It will allow the government to guarantee private investors guarantees on the occupancy rate of new residences.
Finally, the budget provides funds for the renovation and management of public housing, home adaptation programs for people with disabilities, access to property in Nunavik as well as emergency measures offered to tenants by the Offices. municipal housing.