Feds unveil first deal for new housing accelerator fund in London

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Feds unveil first deal for new housing accelerator fund in London
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More than 2,000 new housing units should be built in London, Ont., over the next three years as the city became the first in the country to sign a deal under the new national housing accelerator fund Wednesday.

Prime Minister Justin Trudeau said he was issuing a challenge to other mayors to"step up with their proposals" and"build more homes faster."

London's proposal, which Trudeau called"absolutely visionary," allows for building high-density housing developments without the need for rezoning and allows four units to be built on a single property even in low-density neighbourhoods.The announcement comes as the Liberals are facing heavy pressure to respond to a housing shortage that is compounded by two years of high inflation.

Quebec MP Brenda Shanahan, the Liberal caucus chair, said Tuesday that her fellow MPs are having"very frank" conversations."We are going to have conversations that are sometimes not always easy, sometimes difficult, but necessary because we are a government that has been in power for eight years now, a government that has faced several crises and each time, we were able to overcome them.

Fraser said Ottawa is planning new measures to tackle the housing crisis, working with the private and non-profit sectors. Fraser added the government will need to be"investing in innovation, like building homes in factories so we can actually be more productive with the assets that we have, with the investments that we make."An ongoing spending review calls for a $15-billion cut over five years, and a drop of $4 billion each following year. Treasury Board President Anita Anand insisted that won't affect priorities such as housing, affordability and support to vulnerable Canadians.

"We have to do more collaboratively with the provinces and municipalities, and we have to find ways to be constructive," he said.

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