Ontario Adds $1.6B to Housing Infrastructure, Boosts MHIP to $4B

Ontario Premier Doug Ford announced a $1.6 billion increase to the Municipal Housing Infrastructure Program (MHIP), nearly doubling the fund to $4 billion, to support municipalities and Indigenous communities in building critical infrastructure such as roads, bridges, and water systems needed for new housing. Since its launch in 2024, MHIP has enabled the construction of 800,000 homes across the province, but Ontario remains behind its target, with only 94,753 housing units started in 2024 compared to the interim goal of 125,000. This funding boost complements the $1.2 billion Building Faster Fund, which rewards municipalities for meeting or exceeding housing targets, aiming to accelerate development and keep workers employed amid economic pressures including U.S. tariffs. Despite these efforts, recent data shows a 28% decline in Ontario's housing starts year-over-year, contrasting with a 4% rise nationally. The increased investment is part of Ontario's broader $200 billion capital plan to strengthen the economy and protect families by addressing housing affordability and infrastructure needs. The government is working to cut red tape and lower costs to help more families achieve homeownership and reach the ambitious goal of 1.5 million new homes by 2031.