We can `Finnish' homelessness across Canada

In recent weeks. Canada's housing crisis and ways to solve it have received much attention. In typical Canadian fashion, federal and provincial politicians have squabbled over who has jurisdiction and offered a patchwork of solutions. Meanwhile, municipalities are stuck with the very real problem of how best to ensure that everyone, rich or poor, lives in a proper home of their own.

Much of the focus has been on the lack of affordable housing for those who either are already integrated into Canada's economic and social mainstream or have the capacity and motivation to join it, such as young families and immigrants. Relatively little attention has been paid to the needs of the truly homeless — those living on the margins of society in shelters and tent encampments, or on our streets and in our alleys.

When attention has turned to the needs of the truly homeless, it has been encouraging to see references made to the very successful Finnish approach. And yet, here at home, with the singular and magnificent exception of Medicine Hat, Alta., we continue to spin our wheels in search of answers. Why? Perhaps it is because we fail to fully comprehend why Finland has been so successful.

At the turn of the 21st century, it experienced just as big a homelessness problem as we face now. However, from the very outset Finland understood that shelters are expensive and ineffective. Simply put, they are degrading institutions that deprive the occupants of any sense of dignity. So what the City of Helsinki did was “persuade” the Salvation Army (SA) to convert its largest shelter, Alppikatu 25, into supported housing, at a considerable cost to SA.

This physical and social transformation was a huge achievement, given that the Salvation Army is a very powerful institution. It goes to show what can be achieved when politicians are thoughtful and determined to do the sensible thing.

From the very outset Finland understood that shelters are expensive and ineffective.

Here in Canada, we have finally acknowledged that residential schools represented a shameful chapter in our history. How long will it be before we come to accept that shelters are similarly outdated and harmful? Those who operate and manage them may be well intentioned. But this does not mean that they succeed in solving the homeless problem.

Shelters do little, if anything, to rehabilitate the homeless into “normal” society. On the contrary, those who are compelled to live in them are exposed to all kinds of harmful addictions. Finland has stopped pouring money into shelters and instead enticed, or perhaps forced, shelter owners to convert them into small apartments that give the previously homeless a key to their own front door.

This new home does not come free of charge. Tenants are expected to pay a modest rent according to their means. And they are not left to fend for themselves. They are provided with continuing medical and social worker support where needed. Finland estimates that more than half of the formerly homeless have become fully rehabilitated into society. The beauty of the “housing first” program, as it has become known, is that it actually saves taxpayer euros.

So the question is: What is preventing Canada from following Finland's admirable lead?

Lead author Andrew Gilbert Lumsden is a Chartered Accountant who worked in both the private sector and for the federal government. His interest in the homeless and solutions to their plight took him to Finland at his own expense in 2022 to learn more about its approach. Donald James MacLean is a consultant in public and international policy innovation. He is interested in how successful policy innovations can be transferred between countries and across different policy domains. He held senior strategic planning and policy development positions in the federal government and the International Telecommunication Union.