The Trudeau government's new immigration plan will shrink but not eliminate the housing shortage in Canada, a new report from the Parliamentary Budget Officer estimates.

Prime Minister Justin Trudeau’s plan to restrict inflows of newcomers will narrow the country’s gap between housing supply and demand, according to a budget watchdog.

Canada’s efforts to pause population growth will help to close the country’s housing shortfall, but balancing the market still requires a pick up in construction, according to a new report from the country’s budget watchdog.

Canada's parliamentary budget officer says the federal government is overestimating the impact its new immigration plan will have on the country's housing shortage.