With the Liberals securing a minority government, all eyes are now on Prime Minister Mark Carney and his high-stakes promise to solve Canada’s housing affordability crisis by ramping up construction to 500,000 homes annually.

Housing economists agree that while the ambition is necessary, the path forward is anything but simple. The Carney housing plan features a mix of quick fixes and long-haul structural reforms—some of which could take years to fully implement.

Quick Win: GST Cut for New Homes

One of Carney’s most immediate policy levers is a GST waiver on newly built homes. The plan exempts homes priced up to $1 million for first-time buyers, with a reduced GST rate on homes between $1 million and $1.5 million.

This change, experts say, could be legislated quickly once Parliament reconvenes. “You could pass legislation and have it come into force almost immediately,” said Steve Pomeroy, housing policy expert at McMaster University.

However, the impact may be limited. “It’s a drop in the bucket,” said Penelope Graham, mortgage analyst at Ratehub.ca. She noted that new home prices in markets like Toronto already hover near or above the million-dollar mark, which means affordability may remain out of reach for many.

Mortgage Market Reform on the Table

Carney also pledged to review Canada’s mortgage system, aiming to introduce longer-term options and broaden financing choices.

“Increasing mortgage flexibility is a step in the right direction,” said Graham. Currently, most Canadians opt for five-year fixed-rate mortgages, despite ten-year terms being available at some lenders. Expanding terms could help provide more stability in a volatile interest rate environment.

Biggest Challenge: Doubling Home Construction

The most ambitious part of the plan? Doubling the rate of homebuilding across the country. According to the Canada Mortgage and Housing Corporation (CMHC), Canada needs six million new homes by 2030 to restore affordability.

Carney’s solution includes establishing a new Crown agency—Build Canada Homes—tasked with financing, developing, and managing affordable housing projects at scale. The agency would work with private builders and municipalities to streamline projects and cut through red tape.

But creating such an agency won’t be quick. Pomeroy noted that during the post-WWII housing boom, CMHC operated with 96 regional offices and a full team of architects, engineers, and loan officers. “Recreating that kind of network today would take years, not months,” he said.

Prefab Housing: A Scalable Solution?

To accelerate timelines and address labour shortages, the Liberals are betting big on pre-fabricated housing. Prefab homes, built in factories and assembled on-site, require fewer workers and can be deployed faster—especially important as the construction industry faces a 1-million worker shortfall.

“It’s much easier to train workers for factory-line assembly than for traditional on-site construction,” said Pomeroy. He also pointed to improved safety and working conditions for labourers.

Carney’s plan includes investment in prefab technology, as well as a catalogue of pre-approved housing designs to speed up municipal permitting. The catalogue, released last month, includes templates for rowhouses, fourplexes, sixplexes, and accessory dwelling units, aimed at slashing approval wait times.

Workforce Remains a Critical Bottleneck

While the construction push is welcome, questions remain about who will build the homes. The Canadian Construction Association estimates a massive labour shortfall. Experts say Canada’s immigration system is not prioritizing the skilled trades needed to meet housing demand.

“We need to remove the bias in immigration points and focus more on applicants with trade skills,” said economist Tu Nguyen of RSM Canada. “We’re slowing immigration right when we need it most.”

Still, Nguyen emphasized the urgency of the plan. “Canada has under-built for nearly two decades, while the population has surged. The target is ambitious—but if executed well, it could be transformative.”

How Long Will It All Take?

While some pieces—like the GST cut—could be enacted within weeks, the larger transformation of Canada’s housing landscape will likely take several years, even with cross-party cooperation.

Carney has framed his plan as a return to Canada’s post-war housing roots, invoking the massive build-out that followed WWII. Whether his government can replicate that scale of action in today’s economic and political climate remains to be seen.

Prime Minister Mark Carney faces a generational divide as young Canadians shift to Conservatives over housing, inflation, and cost-of-living frustrations

As Canada’s newly sworn-in Prime Minister Mark Carney begins his tenure, he faces not only the challenge of dealing with U.S. President Donald Trump but also the growing divide within his own country, particularly between generations. Young voters, increasingly concerned about housing affordability, crime, and the cost of living, have shifted their support toward the Conservative Party, marking a significant change from the 2015 election when Justin Trudeau and the Liberals dominated youth voting.

A Generational Shift in Canadian Politics

Polls leading up to the 2025 election showed a notable trend: young Canadians—especially those between 18-34 years old—have rallied behind Conservative leader Pierre Poilievre. A Nanos poll from April 2025 indicated that the Conservatives led the Liberals by 44% to 31.2% among this age group, driven by concerns over rising living costs and unaffordable housing.

For many young Canadians like Connor, a 28-year-old from Toronto, the appeal of the Conservatives lies in their focus on addressing these core issues. “We’re getting stuck in a system that doesn’t seem to be working. It worked for our parents, but not for us,” he told the BBC. He expressed frustration with years of Liberal policies, which he believes have failed to tackle the economic realities facing young Canadians today.

Similarly, AS, a 29-year-old woman from Montreal, said she feels disillusioned by stagnant economic growth. “I make six figures, but my dollar isn’t going as far as it should. That’s concerning,” she added.

The Liberals’ Struggles to Connect with Youth

While Carney’s Liberal Party managed to secure 169 seats and form a minority government, they faced a significant loss of support from younger voters. Polling from Abacus Data suggested that concerns over housing and cost of living outpaced other issues among youth, while Trump remained a primary concern for older voters, with 45% of those over 60 citing the U.S. president as a major issue. The Liberals’ focus on the international stage, particularly their stance against Trump, did not resonate as strongly with the younger demographic.

Political analyst David Coletto of Abacus Data explained that young voters feel “let down and frustrated” by the current system, which may explain their shift away from the Liberals toward the more populist Conservative platform.

Conservative Gains: A Response to Economic Frustration

Carney’s platform, while addressing affordability and housing issues, was seen as less distinct from the Conservatives in terms of policy. However, Laura Stephenson, Chair of the Political Science Department at Western University, noted that the key difference between the two parties is “differences in degree” rather than fundamental policy divides. While Carney promised 500,000 new homes annually and a modest income tax cut, Poilievre’s Conservatives captured the mood of younger voters by framing the current system as broken and unresponsive to their economic needs.

As Canada’s housing market continues to skyrocket, affordability has become one of the most significant issues for young voters. The Conservative focus on reforming housing policy and addressing the cost of living crisis directly aligns with the struggles facing a generation that feels economically marginalized.

What’s Next for Carney and the Liberals?

Despite winning the popular vote and securing a minority government, Carney faces a tough road ahead in mending the generational rift. He will need to engage with the New Democratic Party (NDP), and possibly even Conservative MPs, to secure enough support for key pieces of legislation. In his victory speech, Carney promised to represent all Canadians, regardless of how they voted. But with a fractured political landscape and regional tensions—especially from Western Canada—he has his work cut out for him.

As Alberta Premier Danielle Smith recently pointed out, Poilievre’s conservative vision “inspired millions,” and the Liberals must now face the reality of a Conservative surge strong enough to block them from forming a majority government.

For now, it is clear that Carney and the Liberals will need to find ways to reconnect with younger Canadians who are increasingly attracted to the Conservative message of change.

PM Mark Carney will move into Rideau Cottage as 24 Sussex remains uninhabitable. Ottawa weighs costly options for Canada’s crumbling official residence.

Prime Minister Mark Carney will soon move into Rideau Cottage, sidestepping the long-dormant and crumbling 24 Sussex Drive, once the traditional home of Canada’s prime ministers.

The Privy Council Office (PCO) confirmed Thursday that Carney — who currently resides in the upscale Rockcliffe neighbourhood — will relocate to Rideau Cottage “in line with security recommendations.”

Located on the grounds of Rideau Hall, the Governor General’s official residence, Rideau Cottage previously housed Justin Trudeau and his family throughout his time in office. Carney’s move follows a federal election campaign that kept him and his wife, Diana Fox Carney, on the road for weeks, leaving them temporarily lodged in an official guest residence.

24 Sussex in Ruins, Still Without a Future

Once a symbol of Canadian political power, 24 Sussex Drive has been vacant since 2015, plagued by dangerous levels of mould, asbestos, lead, and rodent infestations. Years of political hesitation to fund renovations have left the 19th-century heritage property deteriorating into an expensive problem with no clear solution.

In one of his final acts before leaving office, former prime minister Justin Trudeau tasked his public services and procurement minister with developing a plan for a new official residence by January 2026. The mandate includes establishing an advisory committee to assess location, cost, functionality, and security considerations.

Three Costly Options on the Table

According to Trudeau’s directive, three main proposals are under review:

1. Rebuilding or majorly renovating 24 Sussex on its current footprint
2. Relocating the official residence to a more secure property in Ottawa’s Rockcliffe Park
3. Upgrading Rideau Cottage to serve as the long-term residence for future prime ministers

Early estimates suggest that even the most affordable option would cost tens of millions, with some projections exceeding $100 million.

Political Paralysis Over a Prime Ministerial Address

Successive prime ministers have avoided investing heavily in 24 Sussex to prevent the optics of spending public funds on a lavish official home. As a result, Canada’s equivalent of the White House has become a symbol of deferred decision-making.

With Carney settling into Rideau Cottage — at least for now — the future of Canada’s prime ministerial residence remains uncertain, with long-term planning pushed into the next year.

Stay with Maple News Wire for continuing updates on the future of 24 Sussex and Canada’s shifting political landscape.

Mark Carney’s Liberals may have secured a national win in the 2025 federal election, but a central campaign theme — framing U.S. President Donald Trump as a threat to Canada’s economic future — failed to resonate in the very ridings most affected by U.S. trade tensions.

Despite frequent warnings from Carney about Trump’s tariffs and protectionist policies, the Liberals suffered defeats in several key manufacturing and border communities that had long been battlegrounds for working-class voters. These seats, had they stayed red, could have tipped the balance toward a Liberal majority.

“We will build an independent future for our great country,” Carney declared in his victory speech, doubling down on his anti-Trump messaging. “Vive le Canada.”

But voters in industrial heartlands like Niagara, Hamilton, and Windsor appeared to prioritize more immediate economic concerns — especially affordability and housing — over international trade disputes.

Niagara South: Trade Woes vs. Kitchen Table Concerns

In Niagara South, a riding freshly redrawn from what was once Niagara Centre, Conservative Fred Davies ousted Liberal incumbent Vance Badawey in a tight race. The region, historically a blue-collar Liberal-NDP stronghold, sits directly on the U.S. border and has deep ties to manufacturing — an industry vulnerable to U.S. tariffs.

Davies acknowledged that while Trump’s trade threats made headlines, affordability and cost-of-living concerns ultimately swayed voters.

“We lost an entire generation of young people who couldn’t afford a home,” Davies told Maple News Wire. “That message hit home more than anything else.”

Polling analyst Dan Arnold, formerly of Trudeau’s campaign team and now with Pollara Strategic Insights, said it was expected the Liberals would perform well in trade-exposed ridings. But the cost-of-living crisis proved more pressing.

“Housing prices skyrocketed in these communities. That’s what people felt every day — not the tariffs,” Arnold noted.

Hamilton East: Urban Shift, Conservative Gain

Down the Queen Elizabeth Way in Hamilton East–Stoney Creek, Liberal Chad Collins lost his seat to Conservative Ned Kuruc, despite a stronger showing in the vote share compared to 2021. The riding, which underwent redistribution, now includes more suburban and rural areas.

Former deputy prime minister Sheila Copps, who once represented Hamilton East, said the new boundaries played a key role.

“It’s no longer just an urban riding. The demographics have shifted,” Copps said.

Davies also pointed to the Conservatives’ growing appeal to private-sector unions, crediting former leader Pierre Poilievre for outreach efforts that resonated with blue-collar workers.

Windsor Turns Blue for the First Time in 95 Years

Perhaps the most stunning upset came in Windsor, long regarded as a fortress for the NDP and Liberals.

In Windsor-Tecumseh-Lakeshore, Liberal Irek Kusmierczyk narrowly lost to Conservative Kathy Borrelli. Meanwhile, in Windsor West, long-time NDP MP Brian Masse was toppled by Conservative Harb Gill, completing a historic Conservative sweep of the region — the first since 1930.

University of Windsor political scientist Lydia Miljan described the outcome as “shocking,” attributing the Conservative gains to a collapse of NDP support and a well-executed ground game.

“They pulled labour votes away from the NDP. That made the difference,” Miljan said.

Strategic Losses Blocked Liberal Majority

Analysts agree that had Kusmierczyk, Collins, and Badawey held their seats, the Liberals would have crossed the threshold into majority territory — even if just barely.

Yet despite the losses, Carney’s message about standing firm against Trump appeared to move the needle in terms of vote share. All three defeated Liberals actually improved their performance compared to the last election.

Still, it wasn’t enough to counter the Conservatives’ blue-collar momentum.

“There are orange-blue switchers — union voters who historically backed the NDP but chose Conservatives over Liberals this time,” said Arnold. “In places like Niagara and Hamilton, that made all the difference.”

Conclusion: Affordability Over Foreign Affairs

The 2025 election results offer a clear takeaway: while international diplomacy plays well on national stages, voters in Canada’s industrial belt are more likely to be swayed by domestic economic realities — especially housing, inflation, and wages.

The Liberals may have won the war, but in these key ridings on the front lines of the trade war, they lost the battle. And those losses may haunt the party as they navigate a minority government with a slim mandate.