Pre-Budget Consultations: Solutions to the Housing Crisis and Economic Stimulation

The Association de la construction du Québec (ACQ), the Association des professionnels de la construction et de l’habitation du Québec (APCHQ), the Institut de développement urbain (IDU), and the Corporation des propriétaires immobiliers du Québec (CORPIQ) are presenting their joint recommendations as part of the 2025-2026 pre-budget consultations. These four associations are joining forces to propose concrete solutions to the housing crisis and the challenges faced by the housing sector.

We are fully aware of the severity of the housing crisis currently affecting the province. According to CMHC, 1.2 million new housing units must be built in Québec by 2030. Unfortunately, a series of factors are hindering the ability to construct housing at the pace required to meet this target.

To address the structural causes of the housing deficit, ACQ, APCHQ, CORPIQ, and IDU have proposed eight recommendations to the government, grouped into four major themes:

• TVQ Exemption
• Water Infrastructure
• Homeownership Access
• Rental Housing Renovation

A $45 Billion Need

One of the most pressing issues is the major water infrastructure deficit faced by cities, requiring an immediate investment of nearly $45 billion. Without the necessary infrastructure to process and distribute water, a growing number of municipalities are being forced to impose moratoriums on real estate development in certain areas.

As a result, ACQ, APCHQ, CORPIQ, and IDU are advocating for the creation of a governmental and municipal infrastructure fund to increase housing supply. The funds allocated to this initiative must be in addition to those already earmarked for Québec through the Canada Housing Infrastructure Fund, which remain frozen in Ottawa due to the lack of an agreement between the federal and provincial governments.

 

Facing the Tariff Threat

Amid a tariff war initiated by the United States, Québec is experiencing unprecedented economic uncertainty. Construction and renovation serve as economic stabilizers during turbulent times, playing a crucial role in job retention and local economic growth. By investing heavily in our water networks, governments have the opportunity to kill two birds with one stone—stimulating Québec’s economy while addressing the housing crisis.

The full report is available here. (Please note that this report is only available in French).