Latest news with #publicinvestment
CBC
22-07-2025
- Business
- CBC
Nova Scotia's first land-for-housing project opens, 4 years after program launched
The Progressive Conservatives are making the first delivery of a promise made four years ago to turn surplus provincial land into affordable housing. Starting shortly after they were first elected in 2021, the PCs opened several calls for bids on land around the province with the intention of tying an agreement to each sale requiring some degree of affordability. A vacant lot on Circassion Drive in Cole Harbour went to non-profit housing developer Rooted — formerly known as the Dartmouth Non-Profit Housing Society — and was the first land-for-housing project to get underway. The project was recently completed and an 18-unit apartment building started taking tenants this month. Tenants in half the units are paying about 50 per cent below market rates. Eligibility is based on income. "This is smart public investment and we're proud to be delivering on it," said Nick Russell, CEO of Rooted, speaking at a ribbon-cutting event at the site Tuesday. According to property records, the province sold the quarter-hectare lot to Rooted for $720,000. The province said it put $4.5 million into the build, including $1.4 million from provincial coffers and $3.1 million from a federal fund the province manages under Canada's National Housing Strategy. Growth and Development Minister Colton LeBlanc said this case shows the land-for-housing program has been effective. But he acknowledged it's had challenges, pointing to the rising cost of construction and red tape that has to be cut through before building can even get underway. "We want to do more, and more of it faster. And as a government, we will do everything within our control to speed up those opportunities, those processes," he said. CBC News has asked the Department of Growth and Development for an update on the program. As of last year, the Circassion Drive project was the only land-for-housing project under construction, with seven others waiting for approvals. Two projects had dropped out after developers found the land to be unsuitable for development. Old apartment buildings purchased The province and Rooted have also partnered on the purchase of two existing apartment buildings on Gaston Road in Dartmouth, with the aim of keeping rents low in all units — 60 in one building and 24 in the other. Rooted is taking the buildings over from for-profit landlord Vida Living. Rents in the two buildings will be about 50 per cent below market rates. "It's about stability and making sure that those tenants feel comfortable and safe and in their communities," said Russell. Russell said the buildings — one of which was constructed in 1970 and the other in 1983 — need some maintenance and retrofitting. He said no tenants will be asked to leave for the work to happen. Dylan Ward, director of development for Rooted, said acquisition is "one of the most practical, high-impact strategies" for non-profits to expand their portfolios and protect affordable housing stock. He said Rooted is looking to do more of it. "What makes acquisition so powerful is that it removes housing from the speculative market permanently," said Ward. "Non-profit ownership ensures long-term affordability, tenant engagement and building improvements without the pressure to sell or price people out," he added. According to property records, Rooted paid $7.8 million for a 60-unit building and $3.1 million for the 24-unit building. Rooted bought the buildings on Gaston Road and will do some renovations with the help of $11.1 million from the province, including a loan of $8.9 million and $2.2 million in grants.
The Guardian
15-07-2025
- Politics
- The Guardian
The Guardian view on a climate reckoning: an annual address could set a new standard for political accountability
Ed Miliband is a target for the political right; not because he's irrelevant, but because he's effective. The bacon sandwich gags and 'Red Ed' jokes mask a deeper unease: that Mr Miliband, with his dogged insistence on science, public investment and long-term thinking, is right. Now, as energy secretary, he has delivered what he calls an exercise in 'radical truth-telling' and a stark warning to MPs that rejecting climate action is a betrayal of future generations. The language, for once, isn't overblown. It's belated. By highlighting the Met Office's annual State of the UK Climate report, Mr Miliband shows that the hotter, wetter and more arduous future we feared has already arrived. Extremes are becoming the norm: the number of very hot days has quadrupled; in the last 250 years, six of the 10 wettest winter half-years have occurred in the 21st century. Britons experience this in cancelled hospital appointments, flooded homes and hosepipe bans. In parliament, Mr Miliband let the data speak and created a tone of national reckoning rather than moral crusade. He cleverly sought to highlight British leadership on green issues – recasting climate action as a patriotic duty, not piety. By invoking past cross-party progress, he rooted net zero in a governing consensus, not ideology. Crucially, he linked climate and nature as intertwined crises, while signalling to younger voters that action is still possible. The energy secretary is all too aware that public attention is fickle. Climate has slipped down the list of voter priorities. The cost of living dominates the political weather. But, far from making Mr Miliband's intervention ill-timed, the changing public preferences make it essential. Voters may not think of it this way, but tackling global heating is no longer a matter of virtue – it's become the most practical path we have to cheaper fuels, energy security and reducing our dependence on unstable regimes. Reform UK's plan to scrap net zero pledges, while banning onshore wind and solar subsidies, is not just scientifically reckless, it's economically incoherent. But since the election, says the research unit Persuasion UK, Tory voters have been drifting toward Reform's climate stance – turning net zero into a partisan battleground. Labour must understand that its green agenda isn't losing votes. The public don't blame it for high bills or slowing growth. The danger is, if Mr Miliband yields, the narrative will shift from leadership to retreat. Mr Miliband will be judged not just by rhetoric but by delivery – on bills, conservation and oilfields like Rosebank and Jackdaw. He promised to cut energy bills by £300. After ditching zonal pricing, even some allies warn that 'soaring' energy costs are being locked in for years. Campaigners are also wary that, while Mr Miliband defends biodiversity, Labour's planning bill risks degrading habitats. The energy secretary's authority rests on whether he can resist pressure from business interests and the Treasury without blinking on net zero. His speech reads as a principled synthesis of climate and ecological breakdown. But it also reflects a compromise. Mr Miliband promised the Lib Dem MP Roz Savage an annual address to head off a rebellion in January, with Labour MPs ready to back her environmental bill. By turning it into a 'State of the Climate' speech, he has hopefully established a new norm that can deliver political accountability to the generations to come. Do you have an opinion on the issues raised in this article? If you would like to submit a response of up to 300 words by email to be considered for publication in our letters section, please click here.
The Guardian
14-07-2025
- Politics
- The Guardian
The Guardian view on a climate reckoning: an annual address could set a new standard for political accountability
Ed Miliband is a target for the political right; not because he's irrelevant, but because he's effective. The bacon sandwich gags and 'Red Ed' jokes mask a deeper unease: that Mr Miliband, with his dogged insistence on science, public investment and long-term thinking, is right. Now, as energy secretary, he has delivered what he calls an exercise in 'radical truth-telling' and a stark warning to MPs that rejecting climate action is a betrayal of future generations. The language, for once, isn't overblown. It's belated. By highlighting the Met Office's annual State of the UK Climate report, Mr Miliband shows that the hotter, wetter and more arduous future we feared has already arrived. Extremes are becoming the norm: the number of very hot days has quadrupled; in the last 250 years, six of the 10 wettest winter half-years have occurred in the 21st century. Britons experience this in cancelled hospital appointments, flooded homes and hosepipe bans. In parliament, Mr Miliband let the data speak and created a tone of national reckoning rather than moral crusade. He cleverly sought to highlight British leadership on green issues – recasting climate action as a patriotic duty, not piety. By invoking past cross-party progress, he rooted net zero in a governing consensus, not ideology. Crucially, he linked climate and nature as intertwined crises, while signalling to younger voters that action is still possible. The energy secretary is all too aware that public attention is fickle. Climate has slipped down the list of voter priorities. The cost of living dominates the political weather. But, far from making Mr Miliband's intervention ill-timed, the changing public preferences make it essential. Voters may not think of it this way, but tackling global heating is no longer a matter of virtue – it's become the most practical path we have to cheaper fuels, energy security and reducing our dependence on unstable regimes. Reform UK's plan to scrap net zero pledges, while banning onshore wind and solar subsidies, is not just scientifically reckless, it's economically incoherent. But since the election, says the research unit Persuasion UK, Tory voters have been drifting toward Reform's climate stance – turning net zero into a partisan battleground. Labour must understand that its green agenda isn't losing votes. The public don't blame it for high bills or slowing growth. The danger is, if Mr Miliband yields, the narrative will shift from leadership to retreat. Mr Miliband will be judged not just by rhetoric but by delivery – on bills, conservation and oilfields like Rosebank and Jackdaw. He promised to cut energy bills by £300. After ditching zonal pricing, even some allies warn that 'soaring' energy costs are being locked in for years. Campaigners are also wary that, while Mr Miliband defends biodiversity, Labour's planning bill risks degrading habitats. The energy secretary's authority rests on whether he can resist pressure from business interests and the Treasury without blinking on net zero. His speech reads as a principled synthesis of climate and ecological breakdown. But it also reflects a compromise. Mr Miliband promised the Lib Dem MP Roz Savage an annual address to head off a rebellion in January, with Labour MPs ready to back her environmental bill. By turning it into a 'State of the Climate' speech, he has hopefully established a new norm that can deliver political accountability to the generations to come. Do you have an opinion on the issues raised in this article? If you would like to submit a response of up to 300 words by email to be considered for publication in our letters section, please click here.
Reuters
25-06-2025
- Business
- Reuters
Breakingviews - New spendthrift Germany will face reform challenge
BERLIN, June 25 (Reuters Breakingviews) - Friedrich Merz wants to go big and fast. The German chancellor was on Tuesday about to fly to a NATO summit when his government announced, opens new tab that it would not wait for the organisation's mooted deadline of 2032 to take its military budget to 3.5% of GDP. That will be achieved in 2029, Finance Minister Lars Klingbeil announced, alongside a package of public investment the size of which the country had not seen since the onset of the euro in 1999. As big as the plan may be, its success will also hinge on Merz's ability to push through major reforms of the state, as well as to write cheques. It's easy to spend, and to spend big, when your debt is at one of the lowest levels among euro zone countries, at 63% of output, and international creditors are eager to lend. Germany's budget deficit will now reach more than 3.2% of GDP at the end of the current parliament in 2029, and the service of its debt, at a predicted 62 billion euros, will then amount to more than 10% of public spending. The days of thrifty Germany lecturing other euro zone members on the virtues of balanced budgets are over. Besides the accelerated defence buildup, Berlin also decided to increase public investment by more than 50%, to 115 billion euros, as soon as this year. Germany still hasn't adopted a proper budget for 2025, which means that extra spending would have to be disbursed in theory in the last four months of this year. From 2026 to 2029, Germany will keep spending more than 120 billion euros a year on its roads, grid, public housing, education and other public goods. Merz and his coalition partners had agreed back in March that the old fiscal straitjacket known as the debt brake was no longer viable. Yet the speed of his fiscal loosening may surprise. Berenberg economists now expect Germany's output to grow by 1.25% annually once the stimulus kicks in, having shrunk in both 2023 and 2024. The key question is how quickly such a surge in spending can be absorbed by an economy hobbled by archaic regulations, where the federal state shares the power to spend with powerful regions. Merz's list of potential investments is long, including repairing an ailing rail network and digitalising a government apparatus that still uses fax machines. But there is a lack of 'shovel-ready' projects, and he will have to contend with a vast bureaucracy, opens new tab that costs the country nearly 150 billion euros in lost output every year, according to the ifo Institute. Unless the chancellor can make the state more efficient and increase German productivity, his fiscal revolution may only produce a temporary growth spurt or, worse still, end up being buried altogether. Follow Pierre Briancon on Bluesky, opens new tab and LinkedIn, opens new tab.
Irish Times
21-06-2025
- Business
- Irish Times
Ireland needs to ditch empty promises and economic fairy tales and start confronting reality
The next six weeks or so are going to go a long way to defining the Government's term in office. The printers are going to be busy. We are due an updated housing plan, a new strategy on competitiveness and productivity, the Summer Economic Statement and a new medium-term budget strategy along with a revised National Development Plan outlining state investment plans. Then, in the middle of all this, there is the deadline for the US/EU tariff talks on July 9th. The Government needs to use this crucial period to set some kind of coherent economic narrative for its term. So far it has been firing blanks. For example, bits of its housing plan are drip-feeding out in an often-disorganised fashion. Perhaps this is meant to give the impression of busyness, but all it does is confuse people. READ MORE At the heart of all this is credibility. A believable strategy must have some hope of delivery. And here the State – in the widest sense of the Government and the public service – is struggling. It is not just that things are happening late – like the National Children's Hospital. Or that there are signs of waste and carelessness with public money – step forward the Leinster House bike shed. It is that a lot of vital stuff is simply not happening at all. It is a stretch to believe that the Metro will ever get built. Or the giant project to bring water from Shannon across the State. Or the offshore wind infrastructure that is meant to be at the heart of our energy transition , where the Draghi report on EU competitiveness showed Ireland has one of the most long-drawn out consent mechanisms in Europe. In this context, government targets take on an air of fantasy. Less than six months into the Coalition's term, Minister for Housing James Browne told us this week that the target of building 41,000 homes this year is not going to happen. So why should we believe the target for 2026 or the 300,000 plus homes promised during the Coalition's term? The Departments of Finance and of Public Expenditure will publish a budget strategy over the summer, based, we must assume, on tighter control of day-to-day spending. But key spending targets have ended up being roundly ignored in recent years. Central Bank researchers estimated this week that permanent Government spending has risen by 37 per cent since 2021. Had the annual spending limits of 5 per cent set by the previous administration been adhered to, the increase would have been 16 per cent. That is a €16 billion difference. Official documents and targets seem to exist in some kind of parallel universe where no one really expects them to happen. They are more fairy stories than strategy. And the risk with the plans coming in the weeks ahead is that these are more endless checklists of stuff that is happening already and stuff that might or might not happen at all. Some central themes and directions are urgently needed. And some convincing messages of actual action to get things done. Investment is built on certainty, yet in key areas such as climate change and housing this is simply missing. The current drift has a cost. The stalling of investment across the economy is in part due to threats of tariffs from Donald Trump . There isn't much the Government can do about that. But it can start to get its own story straight. Lack of clarity about housing policy is causing parts of the construction industry to sit on its hands. With talk of more incentives and tax breaks on the way, and uncertainty on state commitment in areas of social housing, builders wait to see what emerges. House building volumes slipped by 4.3 per cent in the first quarter of this year, compared to the previous three months. Meanwhile, big foreign investors – and their international headquarters – are starting to realise that promises to deliver better energy and water infrastructure are simply not being met. Investment plans, on hold to see how the US/EU talks work out, will restart at some stage. Ireland is at risk of not being in the frame. The first real alarm bell for this was when Intel ditched Oranmore in Co Galway as a possible site for a big new plant in 2021 because the State could not guarantee how long planning would take on vital supporting infrastructure. This followed the seemingly endless planning saga for the Apple data centre in Athenry , also Co Galway. A convincing economic narrative needs a few central points that everyone has signed up to. Read the Central Bank research out this week for a convincing case on how state investment remains low here, despite tripling over the past decade. This is because the economy and population have grown so fast and the economy was already hobbled by years of underinvestment after the financial crash. To allow space for investment to continue to grow – and provide a buffer if the public finances tighten – other parts of the budget need to be under control. This means keeping the budget in surplus and continuing to put away excess corporate taxes in the funds for the future. This needs to be a central part of a coherent strategy. To be credible, the whole Government – including Micheál Martin and Simon Harris – need to explicitly sign up to this. If it is just a creature of the budget departments, then it will be there to be negotiated away during the budget process. It goes without saying that the second leg of any strategy needs to focus on prioritisation and delivery. Many thousands of words have been written about this. And the challenges are significant. But Ireland, for now anyway, is in a uniquely privileged position with a flush Exchequer and room for manoeuvre. The resources are there. Spending them well is the challenge. Ireland can consider how to respond as the Trump story plays out. The odds are that it will continue to do so long after the July 9th talks deadline. But the Government needs a convincing narrative of how it is going to manage what is under its control and use what may prove to be transitory budgetary riches. There are dangers ahead. But we are starting from a good position, with full employment and flush coffers that are the envy of many other countries. The Government needs to start telling a better story – not just to the public and investors, but also to itself.
