Federal Budget Outlines Plan to End Homelessness Within 10 Years
The budget also extends support for existing housing programs and adds funds for mental health and addiction services as homelessness rose 59% since 2020.
- On Thursday, The Carney government released its 2026 budget, pledging $11.2 billion over four years to address homelessness in Canada. Finance Minister François-Philippe Champagne called the initiative one of the government's 'flagship' policies.
- A 2025 federal count reported 65,000 Canadians experiencing homelessness, while a 2022 Statistics Canada study found nearly one in eight households faced housing instability. For Indigenous people, that rate jumps to more than one in four.
- The strategy proposes building new community mental health and addictions facilities with a $2 billion commitment, alongside continued support for the Veterans Homelessness Program. Officials aim to 'create the conditions to end homelessness' through new supportive housing.
- Ottawa proposes taking on capital costs for new projects, while provincial and territorial governments will foot the bill for ongoing operations, health, and income supports. Officials plan to sign agreements ahead of next year's spring economic update.
- The Carney government promises to end homelessness within a decade, committing $17.8 billion over 10 years to the effort. The budget document states, 'We are committed to changing how Canada addresses homelessness and supports those who are unhoused.
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Immigration, Refugees and Citizenship Minister Lena Metlege Diab rises during question period on Parliament Hill in Ottawa on June 18, 2026. (The Canadian Press/Adrian Wyld)
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Ottawa wants to end homelessness within ten years and announces an $11 billion envelope to tackle the scourge in the next four years.
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