The Resignation of Justin Trudeau: A Turning Point for Canadian Politics
On January 6, 2025, in a decision that resonated throughout the political landscape, Justin Trudeau announced his resignation as Leader of the Liberal Party of Canada and Prime Minister. This announcement may have come as no surprise to political analysts and citizens alike, given the mounting discontent among his allies and an impending electoral challenge.
The Growing Discontent
For months leading up to Trudeau’s resignation, the list of disillusioned allies continued to burgeon. Among them were the New Democratic Party (NDP), numerous Liberal MPs, and even notable figures such as ex-Deputy Prime Minister Chrystia Freeland. What ultimately unraveled Trudeau’s leadership were the grim reflections of pollsters, who reported his approval ratings at an all-time low as the Liberals trailed Pierre Poilievre’s Conservatives by double digits. The writing seemed on the wall, echoing the fate of his father, Pierre Trudeau, who similarly resigned under daunting electoral circumstances back in 1984.
A Mirror to History
Trudeau’s resignation mirrors the resignation of his father, who stepped down as Prime Minister when faced with the prospect of an almost inevitable defeat. Following Pierre Trudeau’s departure, his successor, John Turner, suffered one of the most significant electoral losses in Canadian history. This historical parallel raises questions about the future of the Liberal Party in light of recent events.
As Parliament was prorogued until March 24, 2025, the Liberals now face the urgent challenge of selecting a new leader capable of reviving their fortunes ahead of an impending election.
A Legacy Overshadowed by a Housing Crisis
Trudeau’s time in office has largely been defined by significant events, policies, and growing challenges. However, one area where his government has seemingly faltered is in addressing Canada’s persistent housing crisis, an issue as urgent now as it was in 2015 when he first took office.
Promises Made and Promises Broken
Trudeau and the Liberals made several key pledges regarding housing during their tenure, such as the promise to remove the Goods and Services Tax (GST) on new rental construction. Initially proposed in their 2015 platform, the promise was dropped two years later but was later revived in September 2023, acknowledging the need for such a measure due to escalating interest rates and construction challenges.
While this change has been welcomed, it came after years of indecision. The implementation of a rebate program designed to support new rental construction illustrated ongoing challenges in the Liberals’ housing strategy.
Federal Properties Initiative
Another key initiative from Trudeau’s 2015 platform was the commitment to inventory and repurpose underused federal properties for affordable housing. The Federal Lands Initiative launched in 2019 aimed to facilitate the transfer of surplus lands for development, but progress has been slow. As of September 2023, only 4,000 new housing units had been created under this initiative.
The recent introduction of the Canada Public Land Bank, which launched in August 2024, aims to increase housing development by making more federal properties available. However, the efficacy of this program remains uncertain, with critics questioning the lack of new units produced thus far.
The National Housing Strategy
Perhaps the most heralded of Trudeau’s housing policies was the National Housing Strategy, introduced in 2017 with an ambitious allocation of $115 billion. While the plan aimed to create significant new housing units, it has faced hurdles and criticism over its implementation and outcomes.
The success of various program commitments, such as the National Housing Co-Investment Fund and initiatives intended to convert office buildings into residential properties, has been mixed. The Liberal government also introduced a commitment to support Indigenous housing, which, while laudable, is still in its developmental stages.
Tackling Foreign Ownership
During the 2021 election, the Liberals pledged to curb speculation in the housing market and address foreign ownership issues. The subsequent introduction of the Prohibition on the Purchase of Residential Property by Non-Canadians Act in January 2023 aimed to restrict foreign investments for two years. However, the reality on the ground indicated that the housing crisis extended beyond foreign buyers, leading to several amendments to the Act shortly after its implementation.
Support for Homebuyers
Among the commitments made in 2021, the Liberals promised a national Home Buyers’ Bill of Rights and accessible programs aimed at facilitating homeownership for Canadians. While initiatives like the First Home Savings Account were introduced, other key measures, including the proposed rent-to-own program, have yet to materialize.
The Housing Accelerator Fund
The Housing Accelerator Fund (HAF) gained attention for its ambitious goal to increase housing supply in major Canadian cities. Although over 100 municipalities have engaged with the program, it has faced significant criticism regarding its requirements and effectiveness, notably for not addressing development charges that hinder new housing developments.
Conclusion: The Road Ahead
As Justin Trudeau steps down, the Liberal Party finds itself at a crossroads, struggling with an electoral forecast that seems far from favorable. The legacy of Trudeau’s government, especially in addressing critical issues like the housing crisis, will be a focal point for both his successors and their opponents.
The question that remains is whether the Liberal Party can revitalize its approach and regain public trust in the run-up to the next federal election. Whether in retrospect or following a new leader’s agenda, the Liberal’s history—and Trudeau’s tumultuous exit—will undoubtedly shape the narrative of Canadian politics for years to come.
