Hospitals strained by Canada’s housing crisis

by | Jun 2, 2025 | Uncategorized

Canada’s housing crisis is turning our hospitals into makeshift shelters for the homeless. In 2023, two Toronto-area hospitals reported that their 100 most frequent ER visitors, who were all homeless, made a staggering 4,309 combined visits. This isn’t just because they need shelter; their dire living conditions make it nearly impossible for them to follow basic medical care instructions, forcing them to depend heavily on hospitals to bridge the care gap.

In Stratford, Ontario, the Ontario government is funding a project that could become a blueprint to alleviate homelessness nationwide – and by extension its impact on our health-care systems. We believe that replicating this approach across Canada will unquestionably result in cost savings and efficiencies in our health-care systems.

Caring for homeless patients at hospitals takes twice as long and more than double the cost of those who have a home to return to. Numbers from the Canadian Mental Health Association tell us that every $10 allocated towards supportive housing on average saves $21.72 across the health, social services and justice systems. Supportive housing, on average, costs $613 per month. In comparison, the monthly cost for someone in a shelter bed, correctional bed and hospital bed are $2,100, $4,300, and $13,500, respectively.

Some hospitals are now looking to integrate housing into their care models. Research from the Canadian Medical Association Journal that has shown the promising potential of hospitals leading in this space, but there will be a significant need for partnerships between the private and public sectors for this to be successful. After all, it is simply not feasible to expect already under-resourced institutions to take on the task of building and managing supportive housing alone.

Canadians are spending upwards of 22 hours in emergency rooms, hospital staff are overworked and carrying the added burden of 6.5 million Canadians who do not have a family doctor. And hospitals are still chipping away at the pandemic backlog of priority procedures, like cancer treatment and surgery. To keep the system from collapsing during the housing crisis, we need more private entities to step-up and lend a hand to non-profit organizations that are focused on serving people who are, or at risk of being, homeless. We must encourage partnerships between public and private sectors and show how tangible change is possible.

Our collaboration underway in Stratford will serve as a model for exactly that sort of partnership. The new housing units we build will be a safe space for those experiencing homelessness to live while accessing programs, navigating court systems, securing food assistance, and attending counselling and therapeutic support groups.

But it’s not just the housing making the difference, it’s also how we are building it. The modular housing project in Stratford, supported by Ontario’s Skills Development Fund, is working with and training historically underrepresented groups: new Canadians, Indigenous populations, youth and women. In some cases, the people receiving the training are at-risk populations that may have otherwise ended up needing this type of housing. Their futures are being recast because of the new skills and work experience they are acquiring. The aim is to empower and expand the economic opportunities available to these groups in the job market and reduce barriers to entry in the skilled labour workforce.

Supportive housing, while simple in principle, is an evidence-based, life-saving solution for residents, and a smart investment in Canada’s economic future. We can achieve necessary change with partnerships that support skills training and homebuilding, one home at a time.

— Todd Clyde is the CEO of Blue Branch, a social enterprise that leverages labour mobility, and Matt Lubberts is the CEO of NOW Housing, a company specialized in affordable, modular housing.

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