Question Period Note: Housing Accelerator Fund

How will the Housing Accelerator Fund increase housing supply?

• Through the Housing Accelerator Fund, the Government of Canada is investing $4.4 billion to eliminate barriers to development and build more homes faster.

• The Fund is supporting more than 200 communities across Canada by helping increase housing supply and build affordable, diverse and client-resilient communities.

• This government is committed to delivering on its target to lead the creation of approximately 750,000 permitted new homes in towns, cities, and Indigenous communities across Canada. For example, in Edmonton, the Fund has provided support to streamline approvals by implementing an online tool that allows some homebuilders to apply for a development permit and start building on the same day.

• The Housing Accelerator Fund (HAF) was announced as part of Budget 2022, with an initial $4 billion in funding (over five years) until 2026-27 and a target to fast-track permits for at least 100,000 housing units over the next three years and lead to the creation of over 750,000 permitted homes over the next decade. Budget 2024 announced an additional $400 million in funding (bringing the total to $4.4 billion) until 2027-28.

• HAF encourages local governments to implement lasting initiatives such as growing housing supply faster than the historical average, increasing densification, speeding up approval times, tackling NIMBYism, establishing inclusionary zoning bylaws, and encouraging public transit-oriented development. The application window for the second round of funding was open over the summer of 2024. Most agreements have now been finalized and will enable at least 12,000 more housing units.

• Incentive funding can be used for investments in HAF action plans, affordable housing, housing-related infrastructure, or community-related infrastructure that supports housing. The framework for determining the amount of incentive funding includes base and top-up funding and an affordable housing bonus.

• The Government of Canada signed 241 agreements under the first and second rounds of funding. This includes two agreements between the governments of Canada and Quebec, with a total contribution of $992 million to accelerate the construction of residential units.

• The 2024 Fall Economic Statement listed all the communities with HAF agreements from the first round and committed to developing a public progress tracker. Communities’ first annual progress reports were due between November 2024 and March 2025, and will be posted on Canada Mortgage and Housing Corporation’s website.

• Top performing communities were eligible to receive additional funding, up to 10% of the value of their original agreement, from the initial round’s uncommitted funding. To be considered a top performer, communities met their unit forecasts, delivered on their HAF Action Plan commitments for the first year, and proposed additional initiatives to accelerate housing. Communities selected were announced in March 2025.

• Based on successful applications to date, a list of 10 HAF best practices has been developed and was updated for Round 2. Municipalities are encouraged to align with these best practices when developing their plans.

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