OTTAWA, Canada – Prime Minister Mark Carney, alongside the Mayor of Ottawa, Mark Sutcliffe, announced a series of new and ambitious local measures to accelerate housing construction and address the drug crisis.
Changes in the global trading system are causing massive disruptions and uncertainty for Canadians. The world has changed, and so Canada’s economic strategy must change. Canada’s new government is taking bold action to build housing at scale, protect our communities, and empower Canadians with new opportunities and lower costs.
First, through its new agency, Build Canada Homes, Canada’s new government has secured a new partnership with the City of Ottawa to build up to 3,000 mixed-income and affordable housing units across the city, beginning in 2026.
Through a joint investment of $400 million:
- The City of Ottawa will fast-track the construction of 2,000 mixed-income and affordable housing units on federal lands, including by reducing or waiving development charges, permit fees, and property taxes.
- Build Canada Homes will deploy financing for 1,000 affordable housing units from the City of Ottawa’s slate of housing projects.
- The partnership will streamline permitting and development timelines to build more homes – and fast.
Projects under this partnership will maximise modern construction methods and operate under the government’s new Buy Canadian Policy, prioritising Canadian lumber and other domestically sourced materials – strengthening supply chains and creating local careers for Canadians.
Second, the federal government will invest in a new pilot project to help address substance abuse in Ottawa. Through more than $1.2 million in funding to the City of Ottawa and the Canadian Centre on Substance Use and Addiction (CCSA), this project will:
- Implement city-led initiatives designed to reduce crime, deter substance use, and promote life-skills development.
- Support the development of a coordinated, adaptable, and system-level response to the drug crisis in Ottawa. The CCSA will work with the City of Ottawa, Ottawa Public Health, and regional partners to identify gaps, inefficiencies, and opportunities for greater collaboration with mental health services providers.
- Once completed, the framework will serve as a blueprint that can be adapted by other provinces and cities across Canada.
Third, the federal government and the City will work to identify projects to leverage Ottawa’s over 300 defence companies. The federal government is rebuilding, rearming, and reinvesting in the Canadian Armed Forces – giving a pay raise to all Armed Forces members, investing $9 billion this year alone, and securing new agreements such as Canada’s participation in the European Union’s SAFE initiative.
Finally, Canada is a proud bilingual nation. As we elevate our global partnerships, the French language remains core to our identity and our leadership abroad. To that end, at today’s event, the prime minister also announced Canada’s bid to host the Sommet de la Francophonie in 2028, with the aim to host it specifically in the National Capital Region. La Francophonie represents one-fifth of the global economy. Hosting the Summit will catalyse new economic partnerships across Francophonie countries to deepen trade, attract more investment, and showcase Canada’s proud and distinct French-speaking communities.
By working in partnership with our nation’s capital, the federal government is maximising the impact of our initiatives. These investments will help build more affordable homes, create safer, more resilient neighbourhoods, and support economic growth. When Ottawa and communities across the country thrive, Canada thrives – protecting our economy, our security, and the values that define our way of life.
