Search Website
October 18, 2021: New Report on Development Charges in Canada
New Publication
New report on the perverse effects of urban development financing in Canada
We are pleased to announce the launch of a new report by Professor Emeritus Andrew Sancton entitled Reassessing the Case for Development Charges in Canadian Municipalities. On the basis that “growth should pay for growth,” municipalities levy development charges to cover the cost of new infrastructure. They are paid by property developers on completion of projects, and most agree that they are passed on to new home buyers. They have been widely criticized for driving up housing prices in hot housing markets such as the Greater Toronto Area and Metro Vancouver. Indeed, development charges add as much as $90,000 to the cost of a new house in some parts of the GTA, adding to the housing unaffordability crisis.
The report outlines the history of development charges and shows that arguments commonly made in their favour rely on faulty assumptions. It goes on to examine how growth-related infrastructure is financed in other jurisdictions, including Quebec, the United Kingdom, France, and Germany, indicating that other approaches exist.
A virtual launch event with Prof. Sancton in conversation with the Centre's Distinguished Research Practitioner John Fleming was held on Monday, October 18, 2021, with 70 people attending. A video of the event is available.