Ontario boosts municipal housing infrastructure with $1.6B

Key Takeaways:

• Ontario is adding $1.6 billion to the Municipal Housing Infrastructure Program, nearly doubling it to $4 billion to support housing-enabling projects like roads, bridges and water systems.
• The investment is part of the province’s $200-billion capital plan, which includes $33 billion this year alone for transit, highways, hospitals, schools and housing infrastructure.
• Municipal leaders say the funding will not only unlock new housing but also create jobs and strengthen local economies across Ontario.

The Whole Story:

Premier Doug Ford says the Ontario government will inject an additional $1.6 billion into municipal infrastructure in a bid to speed up housing construction and support local economies.

The funding, announced Monday at the Association of Municipalities of Ontario conference, nearly doubles the province’s Municipal Housing Infrastructure Program to $4 billion. The program helps municipalities and Indigenous communities pay for the roads, bridges and water systems needed to support new housing developments.

“We’re making record investments in housing and infrastructure so we can keep workers on the job and help families across the province find a home that meets their needs and their budgets,” Ford said.

Launched in 2024, the program has supported the construction of 800,000 homes across Ontario. It works alongside the province’s $1.2-billion Building Faster Fund, which rewards municipalities that meet or exceed their housing targets.

Infrastructure Minister Kinga Surma said the new funding will ensure communities can move projects forward despite economic headwinds. “In the face of unwarranted U.S. tariffs, our government is doubling down on our plan to build,” she said, noting Ontario’s $200-billion capital plan includes more than $33 billion in spending this year alone.

Municipal Affairs and Housing Minister Rob Flack said the investment builds on recent legislative efforts to cut costs and reduce barriers to housing. “For far too long, too many families, first-time homebuyers, and seniors have been priced out of the market,” he said.

Association of Municipalities of Ontario president Robin Jones welcomed the announcement, saying investments in local infrastructure not only unlock housing but also create jobs and support long-term economic growth.

The province says the new investment is part of the largest capital plan in its history, aimed at expanding transit, highways, hospitals, schools and housing-related infrastructure.