Canada gov't vows draft law soon to tackle inflation, housing crisis

Metro

18/09/2023 15:55

OTTAWA, Sept 18 (Reuters) - Canada's Liberal government,
trailing in the polls amid complaints about the high cost of
living, on Monday said it would soon introduce wide-ranging
draft legislation designed to help curb inflation.
    Prime Minister Justin Trudeau last week announced a tax
break designed to boost the construction of new rental apartment
buildings and relieve pressure on the Canadian housing market.
    Later on Monday, the heads of major grocery chains will meet
government ministers who are demanding to see a plan to counter
soaring food prices. Trudeau says Ottawa could impose extra
taxes on the grocers and will remove provisions in the
Competition Act that companies have used to defend big mergers.
    "When it comes to housing, when it comes to groceries, when
it comes to the Competition Act, this will be presented
imminently ... in a comprehensive bill," said Karina Gould, the
minister in charge of pushing the government's agenda through
the House of Commons lower chamber of parliament.
    Polls show that the official opposition Conservatives, who
blame Trudeau for high inflation and a shortage of housing,
would win an election if one were held now and end eight years
of Liberal rule.
    Canadian retailers say they are not to blame for surging
food prices, and instead point to food manufacturers and
producers for passing on higher costs to the grocers.
    The grocery chains attending the meeting in Ottawa are
Loblaws  L.TO , Sobeys  EMPa.TO , Metro  MRU.TO , Walmart
 WMT.N  and Costco  COST.O , which together represent 80% of the
Canadian market.

 (Reporting by Steve Scherer and David Ljunggren; Editing by
Bernadette Baum)
 ((david.ljunggren@tr.com; +1 647 480 7891;))