OTTAWA – Claiming the city is falling short on its promise to ramp up density, Federal Housing Minister Gregor Robertson is threatening to pull some of Toronto’s housing funding.
In a letter to Toronto Mayor Olivia Chow earlier this week, Robertson wrote that he’s disappointed by a recent decision to limit where builders can put up to six housing units on a lot.
Last month, Toronto city council compromised with a plan that would see some wards sign up to the sixplex framework, while others would have the choice to opt in later.
Robertson argues that decision went against Toronto’s agreement with the federal government under the Housing Accelerator Fund — a tool Ottawa uses to encourage cities to rapidly build more housing.
Toronto signed a deal with the feds in late 2023 that would see the city build nearly 12,000 new units over three years and receive $471 million in federal funding.
In his letter, Robertson encourages Chow to revisit the sixplex decision over the next five months and warns Toronto could lose some of its housing funding if the city fails to meet the goals of the original agreement.
This report by The Canadian Press was first published July 23, 2025.
