Ontario signals retreat from 1.5 million homes target amid shifting housing priorities

Ontario may be stepping back from its goal of building 1.5 million homes over 10 years.

On Thursday, Municipal Affairs and Housing Minister Rob Flack introduced new legislation he says will help speed up housing construction by cutting red tape and simplifying approvals.

“Right now, it takes too long and costs too much to build homes and infrastructure in Ontario,” Flack said at a press conference. “This bill continues our work to make it easier for builders to do what they do best — build.”

However, when asked if the changes would help the province actually reach its 1.5 million homes target, Flack avoided giving a clear answer.

“I’m focused on getting shovels in the ground faster,” he said. “We’re in a housing crisis, and we need to get things moving. The future will be the future.”

Ontario’s housing starts have been falling behind what’s needed to hit that target. The province’s 2024 total was far short of the goal, even after adding new categories like university residences. The Financial Accountability Office also reported that housing starts in early 2025 were the lowest since 2009.

Homebuilders say the government could do more by cutting taxes and fees that make projects more expensive.

Flack’s bill includes several measures, such as stopping Toronto from requiring green roofs on new buildings, relaxing some environmental standards, allowing minor zoning changes automatically, and speeding up the approval process for certain projects.

The bill also focuses on fixing issues with rental housing, including reducing delays at the Landlord and Tenant Board and shortening the notice period for evictions due to unpaid rent.

In addition, the legislation contains transportation updates. Transportation Minister Prabmeet Sarkaria said one change will require new commercial truck drivers to have at least one year of Canadian driving experience before getting a licence. The goal is to ensure drivers are ready for tough winter conditions, especially on northern highways like 11 and 17.

Dave Wilkes, head of the Building Industry and Land Development Association, said his group supports the plan. “This bill recognizes the need to build housing faster and more affordably for Ontario families,” he said in a statement.