Moffatt | Mark Carney’s promise on housing was to build build build. What happened?

It is both supply and demand that need to be matched which was not the case under the Trudeau government, save for the correction that started under Minister Miller:

…The message in the Budget could not be any clearer: the government is increasingly relying on reduced population growth, rather than building more, to address Canada’s housing shortage. This comes at a high cost, as newcomers to Canada do much to add to the social, economic, and cultural fabric of our country, and the changes in immigration rhetoric risk painting newcomers as the cause of housing shortages, when often they are its biggest victims.

Source: Opinion | Mark Carney’s promise on housing was to build build build. What happened?

Mike Moffatt: My remarks to the federal cabinet on housing, immigration, and the temporary foreign worker program 

Really quite striking how academics like Moffatt, Skuterud, Worswick and other have changed the discourse around immigration, focussing on selection criteria, productivity and impact on housing, healthcare and infrastructure.

Another further indication that immigration is not a third rail issue, and Moffatt speaking to Cabinet and sharing his remarks on the conservative outlet The Hub is a further illustration:

..On population growth, yesterday’s temporary foreign worker reforms are welcome news, but Canada must go much further. The TFW program, particularly the low-wage non-agricultural stream, suppresses wage growth, increases youth unemployment, creates the conditions for the exploitation of foreign workers, and reduces productivity, as it disincentivizes companies from investing in productivity-enhancing equipment. The low-wage stream should be entirely abolished, and the other streams should be substantially reformed, including creating a system of open permits.

Population growth targets, including both permanent and non-permanent residents, and housing growth targets, should all be incorporated into the annual release of the Immigration Levels Plan. The targets must be aligned, to ensure population growth does not outpace homebuilding, which will require substantial reductions in the permanent resident target over the next few years.

Like most economists, I support a robust immigration system and believe the current targets are achievable in the long run. In the meantime, however, we need to give ourselves time to allow homebuilding to catch up to past population growth, requiring a substantial reduction in the permanent resident target back to the levels of a decade ago.

We should be clear that this is not about blaming immigrants for Canada’s issues. Rather we must recognize that when we invite people to our country, we need to ensure that we have in place the conditions for them to succeed. We do them no favours, and us no favours, by setting them up to fail.

And we should be clear that we are setting people up to fail, particularly Millennials and Gen Z. Rents on new leases in Halifax are up 75 percent in the past five years. It should come as no surprise that the 2024 World Happiness Report found that Canadians under the age of 30 are the 58th happiest in the world. They are being denied a path to middle-class prosperity.

We can and must do better. Thank you for having me here today.

Source: Mike Moffatt: My remarks to the federal cabinet on housing, immigration, and the temporary foreign worker program

Federal government planning sharp cut to low-wage stream of temporary foreign worker program, sources say

Highlighting the contrasting views between a business group and the more objective Mike Moffatt:

…Dan Kelly, president of the Canadian Federation of Independent Business, said temporary foreign worker programs have been around for decades and have frequently been tightened or loosened over the years based on evolving labour-market needs.

He said the government’s moves to ease access to the program in 2022 were entirely justified at the time.

“There’s absolutely no question that coming out of the pandemic, the labour market was broken. There were hundreds of thousands of vacant positions, particularly in lower-skilled occupational categories, that desperately needed filling,” he said.

Mr. Kelly said he understands that Ottawa is now under pressure to cap access to the low-wage stream, but also urged the government to find the right balance.

“The challenge for government is I think most of them know that the politically popular solution is at odds with the economically viable solution,” he said. “Yes, the labour market has cooled a bit in Canada, but if we take out the temporary foreign worker program, then you better not complain about the line at the local restaurant or the increase in menu prices.”

Mike Moffatt, an assistant professor of business, economics and public policy at Western University who has previously advised the Liberal cabinet, said the 2022 changes went too far. He said reducing the use of the temporary foreign worker program would be good for wages in Canada, would help students find work and would encourage businesses to innovate.

He said he questions why fast-food restaurants in college towns such as London, Ont., are using the program.

“We’ve got thousands of students, thousands of international students, and we can’t find somebody to work at a Dairy Queen next to a college? It just doesn’t seem reasonable to me,” he said. “I think we have lost the plot here.”

Source: Federal government planning sharp cut to low-wage stream of temporary foreign worker program, sources say

LILLEY: Trudeau changed foreign workers program at your expense

Valid critique with some humour:

The Trudeau Liberals are channeling Captain Louis Renault as they react in shock to problems with Canada’s temporary foreign worker program. Movie fans will know Captain Renault as the corrupt police chief in Casablanca.

After Captain Renault barges into Rick’s Cafe — more of a nightclub and casino — Rick Blaine, played by Humphrey Bogart, walks up and asks on what grounds his establishment is being shut down.

“I’m shocked, shocked to find out that gambling is going on in here,” Captain Renault says.

“Your winnings sir,” says a card dealer handing money to Renault, who thanks him and continues his bust.

The Liberals are Captain Renault, guilty of gambling in the illegal casino and now threatening to throw everyone out. It was the Trudeau Liberals who changed the rules to ramp up Canada’s temporary foreign workers program and now they are promising to punish anyone abusing it, using the rules they changed.

“Abuse and misuse of the TFW program must end,” Employment Minister Randy Boissonnault said last week.

“Bad actors are taking advantage of people and compromising the program for legitimate businesses. We are putting more reforms in place to stop misuse and fraud from entering the TFW program.”

The number of people coming in under the TFW program has been ramping up for years, especially under the Trudeau Liberals. Conservative Leader Pierre Poilievre, who was employment minister in 2015, called this out during a recent news conference.

“Trudeau has destroyed our entire immigration system, and he has expanded our temporary foreign worker program by well over 200% at a time when we’re losing jobs,” Poilievre said during an event at Stelco Steel in Hamilton last Friday.

Poilievre noted that when he was responsible for that program there were only 60,000 people admitted under the TFW program but now that number is near 200,000.

“On top of that, you have international students who are effectively temporary foreign workers who came under the wrong stream.”

There was a time, let’s call it 2014, when Justin Trudeau was leader of the third party in Parliament, that he railed against this program. Trudeau said the Harper government was allowing the program to drive down wages of Canadians.

“The government has allowed the temporary foreign worker program to become a force that drives down wages across the country and takes advantage of vulnerable people from abroad,” Trudeau said in April 2014.

Even as recently as this past April, Trudeau was saying that out of control immigration was hurting wages.

“Increasingly, more and more businesses are relying on temporary foreign workers in a way that is driving down wages in some sectors,” Trudeau said five months ago.

If only he knew someone who could do something about this!

He truly is Captain Renault, shocked that there is gambling going on and pocketing his winnings at the same time.

It was Trudeau who changed the rules in April of 2022 to allow a massive deregulation of the program. Under the changes announced then, seasonal industries could hire under the TFW for the full year while the cap on an employer having only 10% of their workforce come from the TFW program was lifted to 20% in most industries but higher in others.

The feds raised the cap to 30% for manufacturing, food and accommodations, hospitals and nursing homes. They also got rid of a stipulation that if unemployment was above 6% then TFW approval would not be granted.

“This was a deliberate move by the federal government to suppress wage growth for low-income Canadians, and increase the number of temporary workers, who have much weaker labour rights than permanent residents,” Mike Moffat posted on X last week.

Moffat is an academic and self-styled progressive who has advised the Trudeau government and worked for the Canada 2020 think tank that is closely tied to the PM. That’s what makes Moffat’s criticism sting so much for the Liberals.

That and the fact that he pointed out these changes were announced less than two weeks after the coalition deal with the NDP was announced.

The Trudeau Liberals say they are there for the little guy, the middle class and those working hard to join it. If actions speak louder than words then that is clearly not true, by the PM’s own admission, his policies are driving down wages for low-income Canadians.

Now he’s claiming he’s shocked, don’t believe him.

Source: LILLEY: Trudeau changed foreign workers program at your expense

Op-ed from Moffatt:

Moffatt: Justin Trudeau’s government radically transformed Canada’s temporary foreign worker program. Young people and low wage workers are paying the price

If you know a young person who struggled to find a summer job they are not alone. This has been the worst summer on record for youth employment outside of the pandemic. Many factors — from a weak economy to a population boom of young people — are at play with one of the largest being the federal government’s 2022 decision to deregulate the low-wage stream of the temporary foreign worker program.

On April 4, 2022, a mere 13 days after the Liberals and NDP signed their Supply and Confidence Agreement, the federal government announced arguably the largest deregulation of the Temporary Foreign Worker program in Canadian history. The program’s low-wage stream, which allows employers not in the agricultural industry (they have a separate stream) to bring in workers and pay them wages under the provincial median (currently $28.39 in Ontario), was radically transformed. The government removed the rule that employers could only bring in workers in some low-wage occupations if the local unemployment rate was less than six per cent allowing firms in areas of high unemployment to access the program. Companies had been limited to having only 10 per cent of their workforce be low-wage temporary foreign workers; this was raised to 20 per cent. In seven sectors, including accommodation and food services, this was raised to 30 per cent.

Mike Moffatt is the Senior Director of the Smart Prosperity Institute and co-host of the podcast The Missing Middle.

Source: Justin Trudeau’s government radically transformed Canada’s temporary foreign worker program. Young people and low wage workers are paying the price

Mike Moffatt and Cara Stern: Bold solutions to the housing crisis must be front and centre in budget 2024

On immigration, sensibly propose a reduction to 2022 levels (arguably, might need further reduction given housing construction timelines, healthcare capacity and the like):

Address demand while waiting for supply

Canada’s housing crisis was largely caused by our housing stock not keeping up with population growth. Supply-side reforms are needed to increase the absorptive capacity of the housing system to support the newcomers that contribute so much culturally and economically to the fabric of this country. However, that will take time, so demand-side measures are needed while the country builds that capacity.

In the last 18 months, the number of non-permanent residents in Canada nearly doubled, from 1.37 million to 2.5 million. This rapid growth led to a crisis for international students and other non-permanent residents who did not have the housing or supports needed to thrive in Canada. The federal government has responded by capping international student visas, but there is more work to be done.

They could develop a plan to reduce the number of non-permanent residents to 2022 levels of roughly 1.5 million. This one-million-person reduction can happen through attrition by slowing the intake of non-permanent residents (as with the international student visa cap) to levels that are exceeded by the outflow. This includes those both leaving the country and those gaining permanent residency. The purpose of this would not be to close the border to those who contribute so much to Canada but rather give the country time to increase its absorptive capacity. This would then create the conditions for both newcomers and existing residents to thrive.

Source: Mike Moffatt and Cara Stern: Bold solutions to the housing crisis must be front and centre in budget 2024

Moffatt: Canada is failing the grade on housing. Fixing that starts with international students, but it shouldn’t end there

Good overview of issues and needed steps. Perhaps overly optimistic regarding possibility of “doing it all:”

Beyond individual policies, though, what Canada needs most are co-ordination and alignment between our housing and population growth policies, as well as robust population forecasts to plan our needs not just in housing, but in schools, hospitals and other public infrastructure, too. Capping yearly non-permanent resident growth, in the same way that the country caps immigration, is essential for this planning. Canada may have been caught off-guard by how quickly our population has grown in the past two years, but this failure to forecast cannot happen again, as it doesn’t just affect our housing market – it puts Canada’s entire immigration system in disrepute with Canadians.

The good news is that we have a chance to do it all: simultaneously solve Canada’s housing crisis, grow our population, address the climate challenge and have a flourishing high-education system. We can build enough housing for existing residents and the newcomers who contribute so much to Canada’s economic and cultural vibrancy. And the vision to attract the best and brightest to the country to offset the effects of an aging population is sound, too: Integrating the higher-education system into the immigration system to give newcomers Canadian credentials and experiences is fantastic and should not be abandoned. But to achieve this, we need public policies that meet the ambition of our vision to ensure that everyone in Canada, regardless of how long they have been here, has a safe and secure place to call home. A reactionary cap from one level of government, while necessary, cannot be the limit.

Source: Canada is failing the grade on housing. Fixing that starts with international students, but it shouldn’t end there

Clark: Time to address the immigration number that matters now

One of the better assessments, particularly on the lack of action on temporary residents, whose numbers have ballooned over the last 10 years:

Don’t look too closely at the immigration targets the federal government set Wednesday. They’re not the numbers that matter right now.

Immigration Minister Marc Miller kept the already-planned target of 500,000 in 2025, but said there’d be no increase in 2026. But that isn’t Canada’simmigration number.

The figure that matters more is the 2.2 million in temporary residents who are in Canada. That number has surged for reasons that have nothing to do with immigration planning. And the Liberal government should be screwing up their courage to do something about that, right away….

Source: Time to address the immigration number that matters now

Canada’s population sees biggest one-year increase on record, StatCan reports

Quoted on need for annual levels plan to include temporary residents and political will to curb growth:

Canada’s population is growing at its fastest pace since the distant days of the baby boom.

According to the latest Statistics Canada report, the population last year grew by more than a million — a 2.9 per cent rate, the highest since the late 1950s and one that outstrips, by a wide margin, every other G7 country.

At that rate, observed StatCan’s Patrick Charbonneau, the population, now at slightly over 40 million, would double in just 25 years.

The question those figures and that projection raise is this: Is Canada — famously in the midst of both a housing crisis and a health-care crisis — ready to deal with that many more people?

The growth — 98 per cent of it — has been driven by immigration, both permanent and temporary, and particularly by the numbers of non-permanent residents coming to Canada. Those include refugees, temporary foreign workers and international students.

In 2022-23, Canada took in some 1.13 million immigrants, the highest such figure on record, and almost half a million more than the previous year. Over the same period, the number of non-permanent residents increased by 697,701.

As of June 2023, the number of non-permanent residents stood at nearly 2.2 million, about 5.5 per cent of Canada’s population.

“Temporary immigration has surpassed permanent immigration for the first time last year in a context where permanent immigration was already close to a record high,” said Charbonneau.

Andrew Griffith, a former director general at the federal Immigration Department, said Ottawa has a well-managed immigration system of permanent residents, but the exponential growth of the temporary resident admission has made the population growth unsustainable.

Ottawa has an annual plan that sets admission targets for different classes of permanent resident, but the entry of temporary residents is uncapped.

“We have to have an integrated immigration plan that actually looks at both the permanent residents and the temporary residents, given that the temporary residence is largely uncontrolled and has been increasing at a very high rate,” Griffith said.

“If you look at its explosive growth over the past few years, the past 20 years, that obviously contributes to all the pressures on housing, health care, infrastructure and the like.”

He said the government’s immigration plan is developed in silos and doesn’t address infrastructure capacity issues when it comes to health care, housing, education and transportation.

Although public sentiment still largely favours the continued immigration boost and its economic and workforce benefits, many regions are already struggling to manage housing and health-care shortages.

Across Canada, rising prices and limited supply create difficulties for those seeking home rental and ownership. The Canada Mortgage and Housing Corp. said in a Sept. 13 report that Canada needs 3.5 million more units, on top of those already being built, to restore affordability. Sixty per cent of the demand for housing is in Ontario and B.C., largely due to supply lagging behind demand for 20 years.

On the health side, about six million people across Canada lack access to a family doctor, according to Canadian Medical Association data. Of those who have a family doctor, about a third experience overly long wait times to access them.

It’s a system already under strain, with doctors and nurses increasingly reporting stress and burnout, and some quitting.

An increasing population doesn’t necessarily dictate a health-care calamity, said Ruth Lavergne, a Canada Research Chair in Primary Care at Dalhousie University.

But she said the segment of the population supporting and working in health care needs to grow proportionately to the population. And we need to “rethink the organization of health care, to make it more efficient and better use the capacity that we have.”

Some of that capacity exists within the ranks of the newcomers, in the guise of foreign-trained health professionals. The problem is Canada doesn’t have a great record in helping them work here.

But streamlining the credentialing process can’t be the only fix, said Canadian Medical Association president Kathleen Ross.

She said the country will have to reconsider health-care delivery.

And that, to her mind, means reconsidering who’s doing what, where and when in the health system, and how to plug gaps without opening up new ones.

It also means changing how primary care works, reducing the administrative burdens on health professionals and better retaining them.

“We’re in a really unique time. Our emergency rooms, which are sort of the backstop, if you will, for a primary care system that’s not functioning well, are already over capacity and struggling with closures relating to our human health resource challenges.”

“These are all things we need to take into consideration, whether or not our population increases by a half a million or one-and-a-half million this year. It still behooves us to get back to the big discussion about how we are going to deliver access to care for all residents in Canada, whether they’re temporary or permanent.”

On the housing shortage side, the responsibility falls on provincial and federal governments to ensure Canada can withstand rising demand, said John Pasalis, president of Toronto brokerage Realosophy Realty. Over the past decade, he feels that has broken down as governments failed to scale investments in vital services in line with population growth.

Although immigrants often feel the brunt of the blame for these pressures, Pasalis said culpability lies with leaders who set ambitious immigration targets and allow universities to accept significant numbers of international students without investing in upgrading capacity.

“The people who are moving here are the ones that are kind of paying the biggest price in many, many cases.”

If governments don’t step up, all Canadians will eventually feel the squeeze, said Mike Moffatt, assistant professor in business and economics at Western University.

“We certainly either need to increase the amount of infrastructure built and housing built or slow down population growth,” Moffatt said. “If we continue to have this disconnect, we’re just going to have more housing shortages, less affordability and more homelessness.”

Instead of looking at newcomers as the source of housing strain, Moffatt says leaders should impose stronger restrictions on investors taking advantage of scarcity to drive up prices.

But it’s not just the supply of houses; it’s the type of supply. Those stronger regulations will need to be aimed at developers, too, said Marc Lee, a senior economist for the Canadian Centre for Policy Alternatives. The housing in highest demand — for low- and middle-income families — is not as profitable to build.

David Hulchanski, a University of Toronto professor of housing and community development, noted that Airbnb has also taken up available housing across the country, something he said could be curbed through stronger regulation.

“There’s this effort to blame our housing problem on an increase in population,” said Hulchanski. “It isn’t just supply, it’s the type of supply.”

Against this backdrop, Immigration Minister Marc Miller has talked about the need to rein in admissions of international students — around 900,000 this year — by developing a “trusted system” to enhance the integrity of the international student program.

Griffith said that’s not enough — Canada needs to impose a hard cap, though that will take a strong political nerve.

“The business sector will squawk about the fewer temporary workers. Education institutions will go bankrupt if they don’t have their international students. The provincial governments will get in the way because they have to actually pay for university (education) rather than allowing the universities to be subsidized by foreign students.”

Shutting down the international student program and the temporary foreign worker program, or making major reductions to those programs, seems unlikely, he said, but freezing at current levels and gradually reducing those numbers might be viable.

“It would be very contentious,” he said. “It boils down to a lot of political will.”

Source: Canada’s population sees biggest one-year increase on record, StatCan reports

Ontario colleges are fuelling unprecedented growth in international students

Good analysis by there Globe with focus on Ontario and the impact of the Ford government policies in bringing us to this mess:

… There are currently two federal government reviews of the international student program under way, one by Immigration, Refugees and Citizenship Canada and one by Global Affairs. But attempts to curtail the program will have to reckon with its impact on the schools, because international funding has become crucial to Canadian higher education.

Many of the Ontario colleges that have a large proportion of international students have expanded via branch campuses in the Greater Toronto Area or partnerships with private educational providers. The partner schools teach curricula from the colleges and the students receive Ontario college degrees and postgraduate work rights. Both Conservative and Liberal provincial governments have made attempts to limit the size of these lucrative public-private operations. The latest policy imposes a per-college cap of 7,500 students.

Cambrian College, which has a partnership with a private college in the GTA, said its home campus enrolment still has a domestic majority. It said it takes a measured approach because it doesn’t want to bring in more international students than the college or the Sudbury community can accommodate.

The schools have been encouraged on the international path by both provincial and federal governments. The federal government, which aims to attract half a million immigrants a year by 2025, is hoping to build a talent pipeline already equipped with Canadian educational credentials. The provincial governments benefit by placing a growing share of the postsecondary funding burden on prospective immigrants.

According to a report from Ontario Auditor-General Bonnie Lysyk, Queen’s Parkprovided by far the lowest level of government support to colleges of any province in 2018-19. The funding gap that colleges face has been exacerbated by the Doug Ford government’s decision to cut domestic tuition fees by 10 per cent in 2019 and freeze them at that level.

McMaster University economist Arthur Sweetman, an expert on immigration and public policy, said the growth in international students is an example of what happens when policy makers misunderstand the incentives they create.

The federal government has placed no limits on student visas, he said, and the provinces are happy not to increase their grants to postsecondary institutions. The result is that some schools have pushed the envelope.

“I think it’s a regulatory failure,” Prof. Sweetman said. “If you tell people to go make money and here are the rules, people are going to make money and go right up to the edge of the rules.”

Conestoga said in a statement that the well-being of its students is a priority and that it works with them to find affordable housing options. This year, it signed onto a sector-wide set of standards on how best to support international students.

Revenue generated through increased enrolment has helped the college boost hiring, invest in new facilities as well as in new programs and student services, the statement added, including supports for students seeking employment. It has expanded its Kitchener campus, opened one in downtown Guelph and will open two new locations in Milton next year.

David Agnew, president of Seneca, said international students are now the majority at his Toronto college, and that they enrich the learning environment and college experience for everyone on campus. Domestic students aren’t displaced by the international students, as schools are required to offer places in high-demand programs to Ontario applicants first and Canadians second. The school is, however, able to offer more programs for domestic students thanks to the funding that international students provide.

“We haven’t had a grant increase in more than a decade and now we have frozen tuition. We [wouldn’t] have enough money to operate anything close to the high-quality educational institution that Ontarians should expect,” Mr. Agnew said.

Seneca recently crossed the international majority threshold among full-time students, but the ratio drops to 39 per cent when continuing education students are included. Mr. Agnew admits that the concentration of international students at some Ontario colleges could be perceived as a concern by some people. But he says it’s wrong to lay the blame for housing shortages at the feet of international students.

He said housing affordability is an issue that cuts across society. Seneca has about 1,350 residence spaces and more than 28,000 students. The college would like to work with governments and the private sector to build more, Mr. Agnew said.

“Let’s not demonize international students,” Mr. Agnew said. “Let’s work on solutions to the affordable housing issue rather than trying to blame people.”

In a presentation to Hamilton City Council this year, Steve Pomeroy, an industry professor at McMaster’s Canadian Housing Evidence Collaborative, said the biggest added pressure in the housing market is the rapid increase in non-permanent residents, a large chunk of whom are international students or former students. He places the inflection point at 2016, when international enrolments began to jump.

“When these folks come into the housing system they’re trying to find relatively affordable housing and they’re also displacing other folks who are trying to find relatively affordable rental housing,” Prof. Pomeroy said. The competition heats up and international students, who are nearly all renters, often outbid low-income Canadians in the bottom quartile of the rental market.

With as many as 900,000 students expected in the country this year, Prof. Pomeroy said in an interview it’s reasonable to assume they’re adding demand equal to somewhere between 5 per cent to 10 per cent of the national rental housing market of 4.5 million homes.

Economist Mike Moffatt was surprised when he first noticed the close links between the real estate crunch and higher education in London, Ont., where he teaches at the University of Western Ontario’s Ivey Business School. The share of the impact on rent prices attributable to international students hasn’t been quantified, Prof. Moffatt said, but rent increases are happening at the start of term and appear to be rising faster in locations near campus.

London, Kitchener, Windsor – mid-sized Ontario cities that have both university and college campuses and high numbers of international students – have seen record rent increases and the lowest vacancy rates in 20 years, according to a January report from Canada Mortgage and Housing Corp.

The international students do not deserve any blame, Prof. Moffatt said.

“Enrolment growth is not being fed into housing policy and it’s causing all kinds of local tensions,” he said…

Source: Ontario colleges are fuelling unprecedented growth in international students

Integrity of immigration system at risk as international student numbers balloon, minister says

Smart communications to link to integrity issues but test will be what he and the government does about it. Too late for the upcoming academic year and the education associations are already protesting:

Immigration Minister Marc Miller says the concern around the skyrocketing number of international students entering Canada is not just about housing, but Canadians’ confidence in the “integrity” of the immigration system itself.

Canada is on track to welcome around 900,000 international students this year, Miller said in an interview that aired Saturday on CBC’s The House. That’s more than at any point in Canada’s history and roughly triple the number of students who entered the country a decade ago.

That rapidly increasing number of international students gained increased attention this week when the country’s new housing minister, Sean Fraser, floated the idea of a possible cap on the number of students Canada brings in.

Fraser framed a cap on international students as “one of the options that we ought to consider” during a cabinet retreat earlier this week in Prince Edward Island.

Miller, who took over from Fraser at Immigration, Refugees and Citizenship Canada, told guest host Evan Dyer that the rising number of students was a concern for housing, though he says it is important not to overstate that challenge.

“It is an ecosystem in Canada that is very lucrative and it’s come with some perverse effects: some fraud in the system, some people taking advantage of what is seen as a backdoor entry into Canada, but also pressure in a number of areas — one of those is housing,” he said.

But Miller shied away from committing to the idea of a hard cap on the number of students entering Canada.

“Just putting a hard cap, which got a lot of public play over the last few days, is not the only solution to this,” he said.

“Core to this is actually trying to figure out what the problem is we’re trying to solve for. It isn’t entirely housing, it’s more appropriately the integrity of the system that has mushroomed, ballooned in the past couple of years.”

Miller said there were a number of “illegitimate actors” who were trying to exploit the system, which was eventually having a negative effect on people trying to come to Canada for legitimate reasons. Miller referred to one high-profile instance last month of an international student found sleeping under a bridge.

He said he would not get involved with “naming and shaming,” but said his focus was on some private colleges. Work would need to be done to tighten up the system, he said, to make sure institutions actually had space and suitable housing for people who are being admitted. Miller also said closer collaboration with provinces was key to solving the problem.

Cap opposed by major universities

In a statement to The House, the National Association of Career Colleges said “regulated career colleges provide efficient, high-quality, industry-driven training for domestic and international students to produce the skilled workers Canada most desperately needs.” That includes workers in the construction trades that build housing, they said.

Philip Landon, interim president and CEO at Universities Canada, also pushed back on the idea of a cap, seeking to position major universities as part of the solution to the problem.

“I think we can say that the housing situation is a crisis for Canadians broadly,” Landon said in a separate interview with The House. “I do not think that the blaming newcomers or international students … is the right way to go.”
With Canada facing an acute shortage of affordable housing, the federal government is considering putting a limit on the number of international students it allows in each year.

Speaking to The House, a number of international students in Ottawa pushed back on the idea that people like them are making housing unaffordable. In fact, said Rishi Patel, a student from Zambia, international students often have a more difficult time finding housing than domestic students as they often lack credentials.

“I just came to Canada. I don’t have any credit checks yet. I don’t have any employment references,” he said.

Mike Moffatt, an assistant professor at the Ivey Business School who specializes in housing policy, agreed with that sentiment when he spoke in P.E.I. earlier in the week.

“This is a systemic failure, I would say, of both the federal and provincial government and as well that the higher education sector in which I work to ensure that there’s enough housing for both domestic and international students.”

“Domestic and international students are the biggest victims of this, not the cause of it,” he said.

Housing has become a top political issue federally, with the Tory opposition hammering the government as Canadians struggle with the cost of living.

“We as Conservatives will make sure that international students have homes, health care and when they want it, jobs so that we can get back to a system that supports our universities, attracts the world’s brightest people, helps the demographics of our country but does not leave people living in squalor,” Conservative Leader Pierre Poilievre said.

Talking with Dyer, Miller said the focus of his department was on ensuring the system was working properly for those trying to come to Canada.

“What we don’t want to see is hopes dashed based on a false promise,” Miller said.

Source: Integrity of immigration system at risk as international student numbers balloon, minister says