MNI BRIEF: Canada Shows No Progress Closing Housing Shortfall

Canada's housing agency kept its estimate that an additional 3.5 million units are needed by 2030 to restore affordability, suggesting little progress since its previous report more than a year ago in what's become a major political weakness for Prime Minister Justin Trudeau's minority government.

The vast chunk of the shortfall is across the provinces of Ontario, Quebec and British Columbia where the Liberals get the majority of their support, which has fallen behind opposition Conservatives in recent polls. Trudeau replaced his housing minister in a recent cabinet shuffle and has suggested a new strategy is coming in the next few months. (See: MNI INTERVIEW: Trudeau Must Fix Housing Without Fanning Prices)

"This latest report reinforces the need for urgent action to increase housing supply to make housing affordable for everyone in Canada," Canada Mortgage and Housing Corp. deputy chief economist Aled ab Iorwerth said in the report Wednesday.