**Published Oct 14, 2025 • 2-minute read**
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Prime Minister Mark Carney and Housing Minister Gregor Robertson held a press conference in Nepean, Ontario, on Sunday, September 14, 2025. Photo by Bryan Passifiume / Toronto Sun / Postmedia Network
**OTTAWA** — On Tuesday, the federal housing minister refrained from committing to a Liberal election campaign promise aimed at urging cities to reduce the fees that contribute to local infrastructure funding.
While in Toronto for an announcement, Housing Minister Gregor Robertson did not provide a direct answer when asked if the Liberals remain dedicated to their pledge of halving municipal development charges to decrease homebuilding costs.
“Development charges pose a significant challenge to construction costs across Canada, which is why we committed to reducing them,” Robertson stated. “Initially, we aimed for a 50% reduction in collaboration with provinces and territories. We are currently navigating that process nationwide.”
The minister indicated that further details would be revealed in the federal budget scheduled for November 4.
The Liberals’ spring election platform promised to cut development charges in half for five years by partnering with provinces and territories to address the revenue shortfall. The platform highlighted forthcoming federal investments in water systems, power lines, and wastewater infrastructure as potential offsets for the lost revenue.
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Development charges—fees paid by builders to cover the infrastructure costs linked to new housing—have become an increasingly significant funding source for municipalities in recent years. Some housing advocates argue that these rising fees contribute to the overall cost of construction and hinder efforts to address Canada’s housing supply shortage.
Toronto Mayor Olivia Chow remarked at the Tuesday announcement that financing remains a major obstacle preventing many builders from initiating new projects, which is why the city is in discussions with Ottawa about modifying development charges.
“Our primary focus is on reducing the cost of construction. That’s our objective here,” Robertson told reporters. “Infrastructure costs for cities play a crucial role in that equation, and development charges—especially in Toronto and Vancouver, my hometown—are closely tied to this issue.”