\u201cThe numbers speak for themselves and they are alarming,\u201d said RESCON president Richard Lyall. \u201cHousing starts have evaporated precisely when Ontario needs new homes the most. This is not a market correction \u2013 it is a systemic failure that demands immediate government leadership. The Ontario budget is an opportunity for the province to make real inroads.\u201d<\/p>\n RESCON\u2019s submission comes at a time when the new homebuilding sector is contending with a perfect storm of challenges that have brought residential construction to a near standstill. The housing cost-to-income ratio in Ontario now exceeds 9:1, placing home ownership increasingly out of reach for many families. In the Greater Toronto Hamilton Area, real estate statistics show that single-family home sales are down 71 percent and condo sales have plunged 90 percent. Tens of thousands of jobs have already been lost across the province, with further losses expected in the months ahead. Reports suggest Ontario could face a GDP reduction of 1.5 to 2.5 percent between 2026 and 2027 directly linked to the collapse in residential construction.<\/p>\n Budget 2026 provides a unique opportunity to reverse course. Housing affordability challenges have been decades in the making, but the Ontario government is uniquely positioned to lead, given its jurisdiction over taxes, housing policy, infrastructure funding and municipal governance.<\/p>\n \u201cHousing should not be taxed like alcohol or tobacco as it is a basic economic necessity,\u201d said Lyall. \u201cIf we want a prosperous, competitive Ontario, we must restore the conditions that allow builders to build and consumers to buy or rent homes at attainable prices. The present situation is unsustainable and, if further action is not taken, will only lead to more pain for Ontarians.\u201d<\/p>\n The pre-budget submission recommends that:<\/p>\n \u201cIncremental or piecemeal measures will not be sufficient as Ontario has fallen far behind global leaders in housing delivery,\u201d adds Lyall. \u201cCurrently we rank second last among OECD countries for development approval timelines, underscoring the urgent need for bold, systemic reform. Our members know how to build homes. The time for decisive action is now.\u201d<\/p>\n Read the full pre-budget submission<\/p>\n<\/div>\n![\"-\"](\"https:\/\/www.canadiancontractor.ca\/wp-content\/uploads\/2025\/11\/queens-park-630x419.jpeg\")
The Residential Construction Council of Ontario (RESCON)<\/a> is urging the provincial government to take a series of bold steps in its upcoming budget to address the most severe housing crisis the province has ever faced. In a pre-budget submission<\/a>, the association outlines 10 fixes, including expanding Ontario\u2019s HST rebate to all new home purchasers, rolling back municipal development charges and changing the system, digitizing the approvals process, and supporting off-site construction methods.<\/p>\n\n