Strong communities are Canada’s strongest Northern strategy

Press Release

May 6, 2026

FCM proposes solutions to support resilience and sovereignty in the North and Arctic through affordable, appropriate housing and accessible services.

Ottawa, ON – Canada’s Northern and Arctic sovereignty depends on whether communities can meet basic needs, starting with safe, affordable homes and reliable access to services that keep people healthy.

As the federal government commits billions of dollars to new defence and security measures in the North, the Federation of Canadian Municipalities (FCM) is highlighting the need for those investments to deliver lasting, multi-use local infrastructure, including housing, water systems and community facilities.

That’s the central theme of The Future of Northern and Arctic Canada, a new FCM report that proposes solutions and calls for a long-term local-federal partnership to close urgent social well-being gaps across the North and Arctic.

“Across Northern and remote regions, local governments are on the front lines of nation‑building every day,” said Iqaluit Mayor Solomon Awa, Chair of FCM’s Northern and Remote Forum. “Canada’s sovereignty and security depend on strong communities, including housing, infrastructure, energy, and the capacity of local governments to deliver. This report shows that progress in the North only happens when local governments are true partners.”

Building housing in the territories can cost nearly four times more than elsewhere in Canada.  Housing pressures and service gaps in that region are pushing too many residents into precarious situations. In Yellowknife, for example, the homelessness rate is 1.5 per cent—twice Vancouver’s and six times Toronto’s. The data shows predictable, accessible, and long-term federal support for the North is essential to its vitality.

With the recent federal investment in the region, the report calls for further action in four key areas:

• Sovereignty and security: Recognize local governments and Indigenous governments as essential partners in Canada’s defence and Arctic security, including through bolstering local capacity in the Northwest Passage and ensuring defence investments have multi-use ability for maximum benefit.
• Housing: Accelerating non-market and market housing, funding repairs to aging housing stock, supporting staff housing tied to essential municipal service delivery, and making Reaching Home, a community-based homelessness program, permanent with increased, indexed funding. The report also calls for action on connectivity, including a digital affordability target so broadband and cellular costs do not exceed four to six percent of household income.
• Infrastructure and transportation: Close the infrastructure gap by allocating funding for roads, ports, airports, water systems and community facilities, with few administrative barriers for communities with limited staff capacity.
• Climate change and environment: Provide long-term adaptation funding to respond to climate emergencies and protect ways of life, including diesel use reductions and increased emergency response capacity, for example the creation of a new search and rescue base in the north.

“Healthy and strong communities in the North and Arctic make Canada better as a whole,” said FCM President Rebecca Bligh. “At a time of heightened global uncertainty, partnership with Canada’s northern local governments will strengthen communities across the region and help advance a more sovereign, resilient economy.”

When the federal government partners with northern and Arctic local governments, national priorities translate into safer, healthier communities and a more secure North and Arctic.

The Federation of Canadian Municipalities is the national voice of municipal governments, with over 2,000 members representing more than 90 percent of the Canadian population.

For more information, please contact:
FCM Media Relations, (613) 907-6395, media@fcm.ca

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