Federal budget outlines plan to end homelessness within 10 years

OTTAWA — The Carney government is promising to end homelessness in Canada within a decade.

The 2026 budget, released Thursday, offers $11.2 billion to tackle homelessness over four years, starting next year, and $17.8 billion over 10 years.

The federal government says it would “create the conditions to end homelessness” by setting up a new fund to support projects addressing health, addictions and social supports. Finance Minister François-Philippe Champagne called it one of the government’s “flagship” policies.

“We are committed to changing how Canada addresses homelessness and supports those who are unhoused, because every Canadian should have the security of a warm home,” the budget document says.

“This is a call to action for every level of government, Indigenous partners, the private sector, and the not-for-profit sector to come together to reach this goal.”

The budget document says it will help build new supportive and transitional housing across the country. It proposes that Ottawa take on capital costs while provincial and territorial governments foot the bill for ongoing operations and services like training, income and health supports.

The government says it will work to sign agreements with provinces and territories ahead of next year’s spring economic update.

The federal spending plan also commits to expanding non-market housing and building 200,000 new homes across Canada in the next decade.

The strategy proposes building new community mental health and addictions facilities with a $2 billion commitment, along with continued support for the Veterans Homelessness Program.

An estimated 65,000 people across the country were reported as experiencing homelessness in a 2025 count by the federal government.

A 2022 Statistics Canada study found nearly one in eight households reported experiencing some form of homelessness at some point. For Indigenous people, that rate jumps to more than one in four.

This report by The Canadian Press was first published Nov. 5, 2026.