WHITEHORSE, YT, May 21, 2026 /CNW/ - Building a strong Canada starts with investing in the infrastructure that people and communities rely on every day. The Government of Canada and the Government of Yukon have entered into two agreements on a shared commitment to support housing and infrastructure for Yukoners. Together, these partnerships will deliver approximately $350 million in housing and infrastructure.
The first of these partnerships is for almost $157 million under the Provincial and Territorial stream of the Build Communities Strong Fund to build and renew infrastructure in Yukon. With this agreement in place, Yukon will receive up to $82.4 million to support infrastructure projects and priorities related to housing and post-secondary education over 10 years, as well as up to $74.5 million in health infrastructure funding over three years.
This investment will help prioritize upgrades to support and enable housing supply, including water and wastewater systems, roads and bridges, and community infrastructure. It will also help with building and upgrading learning and research spaces, as well as critical health infrastructure, including hospitals and long-term care.
The second of these partnerships is through Build Canada Homes and the Yukon Housing Corporation (YHC). This partnership will accelerate the delivery of up to 500 shovel-ready homes for Yukoners. Supported by federal funding of up to $100 million and up to $93 million from YHC, this collaboration will support a portfolio-based approach to accelerate housing delivery of both public-housing units owned and operated by YHC and partner-led units constructed by community housing developers territory-wide. The initiative will expand capacity and provide predictable, long-term funding to address urgent housing needs across Yukon communities.
The new housing units will focus on affordability aligned with YHC's Rent-Geared-to-Income, employee, and partnership programs. YHC-led public housing projects will prioritize very low-income households and staff essential service delivery, while partner-led projects supported through the Housing Initiatives Fund will ensure affordability for a minimum of 20 years, in accordance with program criteria.
To accelerate construction timelines and improve efficiency, partners will apply modern methods of construction (MMC). Approximately one-third of units in each stream are expected to incorporate MMC, with an intent to prioritize Canadian-made materials and products, supporting domestic supply chains and economic growth. The initiative also supports the integration of supportive and transitional housing, which will help to address homelessness and provide housing stability for vulnerable people.
Creating vibrant communities requires more than building homes; it also depends on investing in the infrastructure that supports them. That's why the Governments of Canada and Yukon are working together to deliver critical infrastructure and affordable homes for Yukoners.
Quotes
"Building a strong Canada starts with building strong communities. The agreements announced today are delivering housing and infrastructure at a speed and scale not seen in generations. By partnering with Yukon, we are building stronger, safer, more connected communities for all Yukoners."
The Honourable Gregor Robertson, Minister of Housing and Infrastructure and Minister responsible for Pacific Economic Development Canada
"Future planning through Build Canada Homes and the Build Communities Strong Fund will help deliver support to northern communities where it's needed most. We recognize the unique challenges of building in the North, and these investments will strengthen resilient housing, infrastructure, and connections--across the Yukon and Canada."
Dr. Brendan Hanley, Parliamentary Secretary to the Minister of Northern and Arctic Affairs, and Member of Parliament for the Yukon
''Through the Build Communities Strong Fund, we are upgrading the everyday health infrastructure Yukoners rely on. By linking these health investments with housing and community development, we are building a stronger healthcare system and a better quality of life--ensuring no one is left behind.''
The Honourable Marjorie Michel, Minister of Health
"Partnerships are central to Build Canada Homes' mandate to scale up the supply of affordable housing across the country. This collaboration with the Government of Yukon demonstrates what can be achieved when strong territorial leadership is paired with targeted federal investment, flexible tools, and modern construction methods. Together, we are accelerating the delivery of more affordable homes for Yukoners while building the capacity for sustained, long-term progress."
Ana Bailão, Chief Executive Officer of Build Canada Homes
"Infrastructure like water and wastewater systems, local roads and active transportation networks are critical for thriving communities. The Government of Yukon is proud to enter a new ten-year partnership with the Government of Canada to invest in projects that provide long-term benefits all across the Yukon."
The Honourable Cory Bellmore, Minister of Community Services
"Investing in health infrastructure is essential to improving access to care for Yukoners. This agreement will help us advance health priorities, including expanding hospital capacity, and responding to growing pressures in our system."
The Honourable Brad Cathers, Minister of Health and Social Services
"This new partnership with the Government of Canada will unlock significant investments and accelerate the delivery of affordable homes for Yukoners. Thank you to Build Canada Homes for your partnership to help provide stable, affordable, quality housing for Yukoners that creates opportunity and builds community."
The Honourable Scott Kent, Minister of Education and Minister responsible for the Yukon Housing Corporation
Quick Facts
- The Government of Canada is planning to invest a total of $156,918,000 as part of the Build Communities Strong Fund (BCSF) bilateral Agreements with Yukon.
- The BCSF is investing $51 billion in a wide range of infrastructure projects across the country through three major streams:
- A Provincial and Territorial stream, which provides $17.2 billion over 10 years, including $5 billion in health infrastructure funding over three years;
- A Direct Delivery stream, which provides $6 billion over 10 years; and,
- A Community stream (formerly the Canada Community-Building Fund), which provides $27.8 billion over 10 years and, is indexed at 2% to deliver $3 billion per year ongoing.
- The BCSF Provincial and Territorial stream is an allocation-based stream that provides funding to provinces and territories to support new and renewed public infrastructure. The allocations consist of a base amount for each province and territory, combined with a per capita calculation using 2021 Statistics Canada Census data.
- Launched on September 14, 2025, Build Canada Homes (BCH) is Canada's new federal agency, with the mandate to scale up the supply of affordable housing. By leveraging public land, flexible financial tools, and modern methods of construction, the agency is catalysing a more productive and innovative homebuilding industry.
- Canada and the Yukon will work collaboratively to monitor progress, address barriers, assess project readiness, and support the delivery of housing projects identified in the agreement. This coordinated planning approach will help ensure timely and effective implementation.
- Budget 2025 provided BCH with an initial capitalisation of $13 billion to unlock stalled projects, attract private and philanthropic investment, and scale up innovative construction methods that reduce costs and accelerate delivery.
- As part of the BCH agreement, the Yukon has committed to encouraging housing development by not increasing any fees or taxes that hinder housing supply.
- Under the BCSF direct delivery stream, project funding is subject to the signing of a contribution agreement between the Government of Canada and the recipient.
Associated Links
- Build Communities Strong Fund
- Prime Minister Carney launches the Build Communities Strong Fund and announces the first tranche of projects
- Build Canada Homes
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SOURCE Department of Housing, Infrastructure and Communities
Contacts: For more information (media only), please contact: Mohammad Hussain, Director of Communications, Office of the Minister of Housing and Infrastructure and Minister responsible for Pacific Economic Development Canada, [email protected]; Media Relations, Housing, Infrastructure and Communities Canada, 613-960-9251, Toll free: 1-877-250-7154, Email: [email protected]; Kara Johancsik, Communications, Department of Community Services, Government of Yukon, 867-332-1237, [email protected]; Thibaut Rondel, Communications, Health and Social Services, Government of Yukon, 867-332-7058, [email protected]; Hope McDonald, Communications, Yukon Housing Corporation, Government of Yukon, 867-332-8774, [email protected]
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