“Housing is one of the biggest challenges of our time, facing every community in Canada. Creating more affordable housing requires big investments from everyone, including governments, private sector and philanthropy”, says Jean-Marc Mangin, President & CEO of Philanthropic Foundations Canada, “and Budget 2024’s commitment to partnership in affordable housing is most welcome.”

Foundations are critical partners to Canada’s 170,000 nonprofits and charities who are working to address many of the country’s most pressing social, environmental and cultural issues. Foundations are increasing their grants, but in addition many also want to responsibly deploy their assets for social good. Co-investing with government in affordable housing is an ideal pathway.

PFC’s latest analysis shows that Canada is home to more than 11,000 charitable foundations, stewarding over $135B in assets, and granting close to $10B annually.

PFC commends the government’s commitment to addressing the housing crisis, per their strategy announced last week and reiterated in Budget 2024. Of particular note is their proposed Canada Rental Protection Fund, to provide $1B in loans and $470M in contributions to non-profit and other partners to help them acquire rental units and keep prices down, while mobilizing co-investments and financing from the charitable sector and others.

“Partnering with government to unlock the power of philanthropy to make impact investments and advance the common good in even deeper ways has long been a priority for PFC,” says Mangin.

• In addition to affordable housing investment commitments, PFC is pleased that the government also promised in Budget 2024:
  greater resources for the CRA to administer historic regulatory changes made over the past few years, and other sector service modernizing measures
• investments in critical programming that support financial literacy, disabled communities, and anti-racism
• more funding for research and a new advisory council on Science and Innovation, with non-profit participation

PFC notes the revision on the Alternative Minimum Tax, to allow individuals to claim 80 per cent (instead of the previously proposed 50 per cent) of the Charitable Donation Tax Credit when calculating AMT. This measure will reduce potential negative impacts on charities. The charitable sector should not become collateral damage for legitimate efforts to address rising income inequality.

PFC welcomes the opportunities the government has outlined to work with our sector, and to improve the impact of charities and non-profits on the wellbeing of Canadians.

A registered charitable organization, Philanthropic Foundations Canada (PFC) is Canada’s national philanthropic network. Our membership is comprised of foundations, charities, corporate giving programs, donor-advised funds, and nonprofits whose primary function and activity is grantmaking. PFC advances the common good through network capacity building, collaboration initiatives, and policy & research.