Ending Chronic Homelessness in Ontario: An Urgent Call to Action
Ontario’s Homelessness Crisis: A System at Its Breaking Point
Ontario is experiencing a historic surge in homelessness, with 81,515 people experiencing homelessness in 2024—a 51% increase since 2016. More alarmingly, chronic homelessness has tripled, now accounting for over half of all known cases.
This systemic failure extends beyond housing, reflecting deep gaps in healthcare, mental health services, the justice system, and social supports. Without immediate action, homelessness in Ontario could more than triple by 2035, with up to 294,266 people unhoused in an economic downturn.
Key Findings: The Alarming Scale of Homelessness in Ontario
- Chronic Homelessness Has Surged – Over 41,512 Ontarians now experience chronic homelessness, a sign that people are trapped in shelters or on the streets without pathways to stable housing.
- Northern Ontario is in Crisis – Homelessness has increased 204% since 2016, growing far faster than in urban regions.
- Indigenous Peoples Face Severe Disparities – In Northern Ontario, 45% of the homeless population is Indigenous, highlighting systemic inequities.
- Refugees & Asylum Seekers are Being Left Behind – A sixfold increase in chronic homelessness since 2020 shows a failure to provide proper housing supports for newcomers.
- Youth & Children at Risk – Young people now make up nearly 25% of those experiencing chronic homelessness, a clear gap in family and youth-focused housing programs.
- Municipalities Are Carrying the Burden – Ontario spent $4.1 billion on housing and homelessness in 2024, with municipalities covering 65% of housing costs, far more than the province or federal government.
Projected Crisis: Without Action, Homelessness Could Skyrocket by 2035
Ontario is facing a defining moment. Projections show that without intervention, the number of people experiencing homelessness will continue to rise:
- Steady economic conditions: 165,915 people unhoused annually by 2035.
- Economic downturn scenario: 294,266 people unhoused by 2035.
- Best-case scenario with economic improvements: 128,122 people still unhoused.
The data makes it clear: doing nothing is not an option.
Strategic Solutions: How to End Chronic Homelessness in Ontario
1. A $11-Billion Investment to Reach Functional Zero in Chronic Homelessness
This 10-year plan prioritizes long-term, sustainable housing solutions by:
- Creating 75,050 new housing and support spaces to meet urgent needs.
- Allocating $7.7 billion to capital investments for affordable housing and supportive housing.
- Providing $3.3 billion in operational funding for case management, rent assistance, and prevention programs.
- Expanding supportive housing programs to serve high-acuity populations with wraparound services.
This model ensures homelessness is rare, brief, and non-recurring, shifting Ontario away from crisis management toward permanent solutions.
2. A $2-Billion Immediate Investment to Solve the Encampment Crisis
Encampments are one of the most visible and urgent signs of Ontario’s housing failure. This plan includes:
- 5,700 new housing and support spaces to transition encampment residents into stable housing.
- $810 million for capital investments to build supportive and transitional housing.
- $1.2 billion in operating costs to ensure ongoing support for individuals exiting encampments.
- 20% of investments dedicated to Northern Ontario, where housing shortages and Indigenous homelessness are particularly severe.
Why Investing in Housing Makes Economic & Social Sense
Ontario has a choice: continue down an unsustainable path or invest in long-term, evidence-based solutions. The benefits of taking action include:
- Lower Public Costs – Every $10 spent on prevention saves $21 in emergency services, policing, and healthcare costs.
- Stronger Communities – Permanent housing leads to safer neighborhoods, lower crime rates, and economic stability.
- Better Public Health Outcomes – Stable housing reduces hospital visits, improves mental health, and supports addiction recovery.
- Economic Growth – Investing in housing creates jobs, strengthens local economies, and reduces long-term poverty cycles.
Ontario can end chronic homelessness by 2030—but only with bold, coordinated action across all levels of government.
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