VICTORIA, British Columbia, February 28, 2023  — Today, the Hon. Katrine Conroy, Minister of Finance, presented the 2023 BC Budget that spends big on housing and focuses on creating more supply through $4.2 billion in funding over the next three years.

This includes $2 billion in capital funding and other investments that will go towards affordable housing programs and projects. Items in the 2023 BC Budget that are in-keeping with residential industry priorities include:

• $1 billion for a new Growing Communities Fund;
• $91 million towards a new pilot project that financially incents homeowners to develop new secondary suites for long-term rental opportunities;
• $77 million to speed up natural resource permitting and modernize the permitting service delivery model, like the Permitting Strategy for Housing and Housing Action Task Force;
• $57 million to create more homes through new residential zoning measures and by reducing the time and cost associated with local government approval processes;
• $11 million that will help implement the Housing Supply Act: and
• New property transfer tax incentive to encourage the construction of new purpose-built rentals.

“This budget signals that the BC government is serious about removing the barriers and red tape fueling the housing shortage that exists in the province” said CHBA BC CEO, Neil Moody. “We’re encouraged by the recent announcements related to housing being magnified by what we see in the 2023 BC Budget today. However, more supports are needed to help the industry meet CleanBC goals.”

Unfortunately, funding for CleanBC enhancements has been drastically reduced from $24 million to $11 million for the 2023/24 period. While this investment potentially allows the CleanBC Better Homes Program to continue, it is inadequate to enable low carbon market transformation in new residential construction.

CMHC data shows over 500,000 new homes need to be built to restore affordability in BC. Increasing housing supply and streamlining its delivery remains a priority for CHBA BC and the association will work with the government on creating more housing choices across the province.

With demand for housing of all types at an all time high, interest rates seeming to have plateaued and the expectation of stability with inflation, CHBA BC is pleased to see that no new tax increases on housing are included in the 2023 BC Budget.