According to a recent report from TD Economics, Canada’s population grew by 1.2 million over the second quarter of 2023. This is more than double the population growth in 2019 and years prior. The federal government plans on bringing in 500, 000 more immigrants by 2025 to address labour shortages and the country’s aging demographic. The report states, if immigration continues at its current pace, Canada’s housing shortfall could widen by half a million units within two years. 

Another report by the National Bank of Canada claims that accelerating construction is unlikely to allow supply to catch up with demand. However, the TD report states that other areas like health care and social support systems are also not keeping up with Canada’s population expansion. Mikal Skuterud, a professor of economics at the University of Waterloo and the director of the Canadian Labour Economics Forum, says Canada is relying on an increasing number of Temporary Foreign Workers (TFWs) as opposed to paying domestic workers more or bringing in high-skilled immigrants to boost overall productivity in Canada. 

Immigration, Refugees and Citizenship Canada (IRCC) states that its 2023-2025 Immigration Levels Plan focuses on balancing the needs of the country and Canada’s international obligations. New Housing and Infrastructure Minister Sean Fraser also states, closing the door to newcomers is not the solution to Canada’s housing crisis.