Here are the five biggest highlights from Ottawa's fall economic update

The Liberal government has finally presented its much-awaited fall economic statement, and Canadians are in for many new measures and changes — especially if they’re part of the middle class.

Just hours ahead of the statement, Prime Minister Justin Trudeau said the statement would focus on “the fact that Canadians are having a tough time right now.”

“We’re stepping up massively on housing in ways that are going to help people — both buyers and renters — across the country in the coming years as we build more supply,” the PM said.

“We’re going to be moving forward on more competition measures to keep the prices of groceries in the affordable range. And we’re also moving forward on jobs and careers with a green industrial strategy that’s going to help Canadians for decades to come.”

As experts had anticipated, the fall fiscal update touched on housing affordability, the cost of living crisis, and the general financial well-being of Canadians.

Canada’s deputy prime minister and finance minister, Chrystia Freeland, announced the following on Tuesday afternoon:

A housing action plan

The Liberal government plans on repurposing more federal land to build homes for Canadians. It also aims to remove the GST from new rental housing, including cooperative housing corporations that provide long-term rentals.

A $4 billion Housing Accelerator Fund is helping build more than 100,000 new homes across Canada, and the government aims to unlock another $20 billion in low-cost financing for rental construction to build up to 30,000 more homes per year.

A new $15 billion program called the Apartment Construction Loan Program will help finance loans to build 30,000 new homes, and $1 billion will be spent on making 7,000 affordable housing units for vulnerable Canadians.

A new Canadian Mortgage Charter will ensure “Canadians at financial risk can access the tailored mortgage relief they can expect from their bank to help them make their payments and stay in their homes.”

Short-term rental crackdown

A Toronto Star scoop published on Monday indicated that the government was looking into making short-term rentals like Airbnb “less lucrative” for owners to encourage more long-term renting and alleviate the housing shortage.

The fall fiscal statement confirmed this, saying the Liberal government will crack down on non-compliant short-term rentals and support municipal enforcement of short-term rental restrictions.

You might also like:
• 15 years after winning $100,000, lucky retiree bags $2 million in the lottery
• These Canadian airlines are the worst in North America for on-time arrivals
• The real reason there's a single red maple leaf on the Canadian flag

Boosting the middle class

To help support the middle class, the government hopes to strengthen competition and crack down on unfair practices that keep costs high, thus lowering prices for everyday consumers.

Canada’s five biggest grocery chains have already committed to help stabilize prices and enhance competition in the grocery sector. Statistics Canada’s Consumer Price Index report shows that the CPI fell to 3.1 from 3.8 in September, but food prices remained elevated.

Money saving measures

The Liberals will continue stomping out junk fees, which include fees charged by banks for having insufficient funds. They also plan on enhancing low-cost and no-cost banking accounts to “reflect the realities of modern banking while designating a single independent ombudsman to help Canadians resolve complaints with their banks.”

International mobile roaming rates will also be investigated for better affordability.

Air travel was also in the Libs’ scope, and they hope to ensure that Canadian kids under 14 can fly next to an accompanying adult at no cost.

The legislation will also be amended to support Canadians’ right to repair devices and products by “preventing manufacturers from refusing to provide the means to repair them in an anti-competitive manner.”

“A new Employment Insurance adoption benefit, which would provide 15 weeks of shareable benefits to parents,” reads the fall economic statement release.

Cheaper mental health help

A significant highlight of the government’s affordability plan is to remove GST from psychotherapy and counselling services to make mental health care more affordable for Canadians, who are still recovering from the slump of the pandemic.

“I absolutely understand that after three difficult years after a global pandemic, global inflation and global interest rate hikes, Canadians are worn out, frustrated, and feeling the squeeze,” said Freeland.

“What Canadians deserve today is for us to address the very real pain that so many are feeling with a hopeful and achievable vision for our country’s future. That is my priority. That is our government’s priority. And that is the priority of this fall economic statement,” she concluded.

What are your thoughts on this year’s fall economic statement? Let us know in the comments.