Tuesday, June 16, 2026
ADVT 
National

Ottawa threatens to pull Toronto's housing funding over sixplex decision

Darpan News Desk The Canadian Press, 23 Jul, 2025 05:07 PM
  • Ottawa threatens to pull Toronto's housing funding over sixplex decision

Claiming the city is falling short on its promise to ramp up density, federal Housing Minister Gregor Robertson is threatening to pull some of Toronto's housing funding.

In a letter to Toronto Mayor Olivia Chow dated Monday, Robertson wrote that he's disappointed by a recent decision to limit where builders can put up to six housing units on a lot.

Last month, Toronto city council compromised with a plan that would see some city wards sign up to the sixplex framework, while others would have the choice to opt in later.

Robertson argued that decision went against Toronto's agreement with the federal government under the Housing Accelerator Fund — a tool Ottawa uses to encourage cities to rapidly build more housing.

"I encourage the City of Toronto to revisit the measures they could implement to address the housing crisis and to restore the ambitious scope of this agreement," Robertson wrote in the letter, now a part of submissions to the city council's upcoming meeting agenda.

Toronto signed a deal with the feds in late 2023 that would see the city build nearly 12,000 new units over three years and receive $471 million in federal funding.

The deal calls on city staff to report back to council "on opportunities to permit more low-rise, multi-unit housing development through as-of-right zoning by-laws in neighbourhoods across Toronto, including … permissions for residential buildings with up to six dwelling units."

In his letter, Robertson warned Toronto could lose some of its housing funding if the city fails to meet the goals of the original agreement.

He said he wants to find a solution to the impasse by December 20.

"As previous stated, I will underscore the possibility of reduced funding if the City of Toronto does not present solutions that ensures the spirit of the agreement is met," Robertson wrote.

In a previous letter to Chow dated March 11, then-housing minister Nate Erskine-Smith warned Toronto could lose up to 25 per cent of its funding if the city falls behind on boosting housing density.

Claiming the city is falling short on its promise to ramp up density, federal Housing Minister Gregor Robertson is threatening to pull some of Toronto's housing funding.

In a letter to Toronto Mayor Olivia Chow dated Monday, Robertson wrote that he's disappointed by a recent decision to limit where builders can put up to six housing units on a lot.

Last month, Toronto city council compromised with a plan that would see some city wards sign up to the sixplex framework, while others would have the choice to opt in later.

Robertson argued that decision went against Toronto's agreement with the federal government under the Housing Accelerator Fund — a tool Ottawa uses to encourage cities to rapidly build more housing.

"I encourage the City of Toronto to revisit the measures they could implement to address the housing crisis and to restore the ambitious scope of this agreement," Robertson wrote in the letter, now a part of submissions to the city council's upcoming meeting agenda.

Toronto signed a deal with the feds in late 2023 that would see the city build nearly 12,000 new units over three years and receive $471 million in federal funding.

The deal calls on city staff to report back to council "on opportunities to permit more low-rise, multi-unit housing development through as-of-right zoning by-laws in neighbourhoods across Toronto, including … permissions for residential buildings with up to six dwelling units."

In his letter, Robertson warned Toronto could lose some of its housing funding if the city fails to meet the goals of the original agreement.

He said he wants to find a solution to the impasse by December 20.

"As previous stated, I will underscore the possibility of reduced funding if the City of Toronto does not present solutions that ensures the spirit of the agreement is met," Robertson wrote.

In a previous letter to Chow dated March 11, then-housing minister Nate Erskine-Smith warned Toronto could lose up to 25 per cent of its funding if the city falls behind on boosting housing density.

Picture Courtesy: THE CANADIAN PRESS/Justin Tang

MORE National ARTICLES

Canadian Conference of Catholic Bishops pleased to hear new pope appointed

Canadian Conference of Catholic Bishops pleased to hear new pope appointed
The president of the Canadian Conference of Catholic Bishops says the church needs to be in the public square and he is looking forward to working with the new pope.

Canadian Conference of Catholic Bishops pleased to hear new pope appointed

NDP talking to the Carney government about getting official party status: Davies

NDP talking to the Carney government about getting official party status: Davies
Interim NDP leader Don Davies said Friday his party is in "very early" discussions with the government of Prime Minister Mark Carney about being granted official party status in the House of Commons.

NDP talking to the Carney government about getting official party status: Davies

Calgary, Edmonton mayors call potential separatism referendum 'dangerous'

Calgary, Edmonton mayors call potential separatism referendum 'dangerous'
Alberta's two big-city mayors say a separation referendum would be "devastating" to their local economies and is a needless distraction during a period in which the country should be focused on unity.

Calgary, Edmonton mayors call potential separatism referendum 'dangerous'

Police arrest 21-year-old in two unsolved murders in Vancouver and Surrey, B.C.

Police arrest 21-year-old in two unsolved murders in Vancouver and Surrey, B.C.
Police in Vancouver say a two-year investigation in partnership with the province's homicide investigation team has led to the arrest of a suspect in two unsolved murders.

Police arrest 21-year-old in two unsolved murders in Vancouver and Surrey, B.C.

Prime Minister Mark Carney to unveil his new cabinet on Tuesday

Prime Minister Mark Carney to unveil his new cabinet on Tuesday
Prime Minister Mark Carney is set to unveil his new cabinet at a swearing-in ceremony at Rideau Hall on Tuesday.

Prime Minister Mark Carney to unveil his new cabinet on Tuesday

City of Surrey, B.C., says it lost $2.5 million in 'irregular transactions'

City of Surrey, B.C., says it lost $2.5 million in 'irregular transactions'
The City of Surrey says it filed a civil lawsuit against a former employee, looking to recover $2.5 million worth of "irregular transactions."

City of Surrey, B.C., says it lost $2.5 million in 'irregular transactions'