OP-ED: How Ontario can take on Trump — and do some good at the same time

Rather than treating housing and economic development as separate issues, lawmakers should use housing construction as a tool to address both, argues MPP Jessica Bell The following is an op-ed by MPP Jessica Bell, who has represented Toronto's University—Rosedale riding since 2018. ____ Many Ontarians are telling me they feel hopeless about the trade war with Donald Trump and its threat to Ontario's economy. What can Ontario do? This is a national problem, they say. I think it's also a provincial one. The strongest protection against tariffs is to make Ontario less dependent on the United States by investing in public services, good jobs and local industry. One effective way to do that is through housing construction. Ontario's housing market is in trouble. After decades of speculation drove housing prices to unaffordable levels, the market has begun to slump. Housing starts fell to about 65,400 in 2025, well below the roughly 150,000 homes per year needed to meet Ontario's housing needs. The consequences extend beyond affordability. Ontario's housing construction industry employs about 450,000 people, including tradespeople, manufacturers, transportation workers and building suppliers. Some of these jobs are now at risk. The Building Industry and Land Development Association estimates Ontario could lose 100,000 construction jobs if housing starts do not recover. The Ford government and the Carney government have responded with billions in low-interest financing, an HST exemption on new housing and reduced development charges — with most of it going to for-profit housing. Will it work? I doubt it. These measures have produced a short-term boost in single-family home construction, but they do not solve the underlying problem: Ontario's housing market is not producing the homes people need. It certainly won't end encampments and homelessness. The for-profit housing industry builds what makes the most profit. In recent years, that has often meant tiny condominiums and expensive single-family homes. Construction of affordable housing, supportive housing, seniors' housing, student housing and family-sized apartments remains far behind demand. The result is a massive chasm between housing construction and housing need. A 600-square-foot condominium renting for $2,800 a month may attract investors, but it does not appeal to many Ontarians. It is not a viable option for seniors looking to downsize, families raising children, people on social assistance or workers earning modest incomes. The Housing Needs Assessment Tool (HART) illustrates the scale of the problem. Using 2021 Toronto data, it shows no shortage of housing for high-income households. But middle-income households face a shortage of roughly 5,000 homes, moderate-income households a shortage of about 65,000 homes, low-income households a massive gap of roughly 127,000 homes, and very low-income households a shortage of approximately 13,000 homes. These are housing needs the private market has not and will not meet. In difficult economic times, Ontario does not have the luxury of tackling one problem at a time. Rather than treating housing and economic development as separate issues, lawmakers should use housing construction as a tool to address both. That is why there's a need to establish Homes Ontario, a provincial agency responsible for approving, financing and supporting the construction of 30,000 non-profit homes each year. The goal is simple: build the homes Ontarians need while supporting employment and local industry. To lower costs, many projects should be built on publicly owned land. Toronto and Ontario have ample public land, from Green P parking lots to GO stations. Homes Ontario would also work with municipalities to fast-track planning approvals and provide financing that allows projects to proceed quickly. By partnering with municipalities, non-profit and for-profit builders, the agency could ensure multiple projects move forward simultaneously across the province. This approach would support thousands of jobs in construction and related sectors. It would also help shield Ontario's economy from tariffs by directing investment toward Canadian suppliers. Developers receiving support through Homes Ontario could be required and incentivized to purchase Canadian-made materials and services, including lumber, steel, aluminum and concrete. The agency could also use community benefits agreements to hire young people and workers from equity-deserving communities. The unemployment rate for young adults is about 13 per cent, and much higher for Black and Indigenous youth. Most importantly, a public housing builder would allow Ontario to align housing production with actual demand. Non-profit housing developed through Homes Ontario would be offered at affordable rents and purchase prices linked to household incomes. Projects could serve a mix of income levels, allowing revenue from higher-income households to help cover construction and operating costs. Ontario cannot control Donald Trump. It cannot prevent tariffs or eliminate the uncertainty they create. But it can decide how to invest at home. By launching Homes Ontario, the province can tackle its housing shortage, protect construction jobs, support local industry and reduce economic dependence on the United States. Building the homes Ontarians need is not just good housing policy. It is sound economic policy.