Proposed federal deal could bring about $3.3M in homelessness funding to Durham Region

A proposed federal funding agreement could provide about $3.3 million to the Regional Municipality of Durham for work related to unsheltered homelessness and encampments, according to an Aug. 17, 2026 news release from Housing, Infrastructure and Communities Canada. The department said the figure is rounded and not final because contribution agreements are still being negotiated and require approvals.

For Durham Region residents, including in Clarington, the announcement signals potential new federal support for homelessness-related programs, but the amount and final terms have not been confirmed.

The funding would come through the federal Unsheltered Homelessness and Encampments Initiative (UHEI). The department said UHEI funding is intended to support local responses to unsheltered homelessness and encampments, including outreach and support services and work connected to housing stability.

According to the department’s program information, eligible activities include transitional and supportive housing, shelter transformation, case management, and support services.

Durham Regional Chair and CEO John Henry said the funding would help the region “expand housing and shelter options and connect people experiencing homelessness with the services they need to overcome barriers to stable housing.”

Provincewide, up to $45.5 million has been allocated for proposed agreements with 10 Ontario municipalities, with final agreements still under negotiation. The allocations listed in the release include Toronto ($13.2 million), Peel Region ($6.8 million), York Region ($5.5 million), Ottawa ($5.3 million), and Durham Region ($3.3 million), along with Niagara ($2.2 million), Waterloo ($2.7 million), Hamilton ($2.7 million), London ($2.5 million), and Greater Sudbury ($0.8 million).

The department said that in April the federal government announced $125 million to extend UHEI by one year, following two years of initial funding from 2024 to 2026.

UHEI was introduced in 2024 in response to what the federal government described as a rise in unsheltered homelessness and encampments across Canada.

The release also pointed to other federal housing and homelessness programs, including Reaching Home: Canada’s Homelessness Strategy, which it said is investing $5 billion over nine years through 2027–28. It also said Build Canada Homes, a federal Crown corporation launched Sept. 14, 2025, will invest $1 billion to build supportive and transitional housing for people experiencing homelessness.