What Trudeau's resignation could mean for Toronto
City relies on Ottawa for funding for key priorities, will need to build new relationships
When Toronto city councillor Alejandra Bravo learned about Prime Minister Justin Trudeau's resignation, her immediate concern was its potential impact on Toronto. The leadership race and upcoming federal election following Trudeau’s announcement signal uncertainty, particularly for municipalities dependent on federal funding for critical priorities.
"Municipalities have to deal with the fallout. And we don't necessarily have the tools, and we definitely don't have the funding to meet the challenges that we face," Bravo said, referring to issues like transit and housing—areas where the federal government has pledged support.
Toronto Mayor Olivia Chow did not address the media after Trudeau’s announcement but expressed gratitude for his service in a brief statement, emphasizing her commitment to ongoing priorities. Chow later stated that she had spoken with MP Nathaniel Erskine-Smith, the federal housing and infrastructure minister, to ensure continued progress on key city projects during the leadership transition.
"We have an active partnership in investing in food in schools, building affordable housing, continued investments in public transit, and the waterfront. So for all of those things, the work will continue in the next few months until a new leader is elected," Chow said.
Federal Commitments to Transit and Housing
Recent federal support for Toronto includes $1.2 billion announced in November to upgrade subway cars for Line 2 of the TTC. Bravo underscored the importance of this investment, noting, "We need those trains for our transit system, to move people to work, to school, around the city, to fight congestion. They're a crucial part of the local economy."
In late 2023, Toronto also received $471 million over three years from the Housing Accelerator Fund to facilitate nearly 12,000 new homes. However, this program’s future remains uncertain, especially since Conservative leader Pierre Poilievre has indicated plans to discontinue it if elected.
Mark Richardson, a volunteer technical lead with HousingNowTO, emphasized the reliance on stable cooperation across all levels of government for affordable housing initiatives. "Now the next six to nine months is going to be around political engagement, education, advocacy, dealing with the campaigns, dealing with the candidates... which isn't getting shovels in the ground and getting things built," Richardson said.
Opportunities Amid Change
Despite concerns, some see potential in this political shift. Brian Cheung, a board member with More Neighbours Toronto, views the transition as an opportunity for new housing policies to emerge. "It will be interesting to see, is there a new slant or a new emphasis that will be coming out of this conversation with a Liberal leadership race?" he said, adding that an election could also allow opposition parties to refine their housing platforms.
Matti Siemiatycki, a geography and planning professor at the University of Toronto, agreed, suggesting the next Liberal leader might focus on urban issues to secure support in cities like Toronto. "They need to be finding safe harbours, and so they might be highly motivated to bring forward policies that address big issues, especially around housing affordability and infrastructure," he said.
While uncertainty looms, the leadership transition in Ottawa could reshape Toronto’s trajectory on transit and housing in unexpected ways.