A Portable Housing Benefit for Ontario Karen Myers October 5, 2017

Affordable housing crisis . . . “Rising income inequality, a challenging labour market and scarcity of rental housing stock people can afford, has created a crisis that makes too many families vulnerable.” “Rent is the single biggest expense for Canadian households living with low incomes.” “This crisis is far too big to be fixed by construction alone.”

. . . an innovative solution Direct assistance to renters is a cost-effective way to alleviate homelessness and core housing need Five provinces already have a portable housing benefit Could be a single, harmonized, co-funded federal- provincial-territorial program launched as part of the National Housing Strategy

. . . an immediate solution By providing eligible renter households with direct financial assistance, we can immediately improve the well-being of a large number of households

A bold idea Portable housing benefit would: Reduce core housing need Reduce homelessness Foster social inclusion Promote choice and autonomy Help modernize our income security system Facilitate transition of social housing sector and harmonize housing supports

Who would receive it and how? Available to all renter households in core housing need Tied to the individual or family, not the building or unit Tax system used to determine eligibility and payment Municipally delivered on-ramp to ensure responsiveness to urgent need

What could a housing benefit achieve? All persons of low or modest income paying unaffordable rent brought closer to housing affordability No low or modest income family in Ontario will have to pay more than 50% of their income on rent

Benefit design Universal – Available to all renter households in core housing need Aligned with need – Households receive amount that aligns with the gap between their income and actual rent Targeted – Households in deeper core housing need are subsidized more Mitigates rent inflation – Households bear a portion of cost of increased rent, reducing upward pressure on rents (partial gap coverage)

Final thoughts A national, portable housing benefit would have a real, meaningful impact on thousands of Canadian households by giving them choice and the means to afford rent