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Federal government slow to reduce, modernize its office space
- Auditor General Karen Hogan released a report on June 10, 2025, stating the federal government’s 10-year plan to halve office space is off track in Ottawa.
- The reduction effort, launched in 2019, faced delays mainly due to lack of funding, with full-scale implementation only starting in 2024.
- Last year, the government allocated $1.1 billion to Public Services and Procurement Canada to achieve a 50% cut, intending to save $3.9 billion over 10 years.
- Despite the target, PSPC now projects only a 33% reduction, since federal office space only reduced by two percent from 64.6 million square feet so far.
- The slow progress suggests the government risks missing cost savings and modernization goals, while also delaying opportunities to repurpose properties for affordable housing.
23 Articles
23 Articles
Auditor General Finds Ottawa Slow to Reduce Underused Federal Office Space
The federal government is falling short in its efforts to repurpose underused office space for housing and reduce unnecessary costs, according to the auditor general, who found Ottawa has managed to reduce the space by less than 2 percent. Auditor General Karen Hogan examined the period from 2019 to 2024 and released her findings in a report tabled in the House of Commons on June 10. The report was one of eight performance audit reports delivere…
The federal government has been slow to offload office space: auditor general
Despite pledges by the federal government to shed half of its office space, departments and agencies have been hesitant to sign-off on real estate reductions, according to a new report by Canada's auditor general.
The government has deprived itself of significant savings in the cost of maintaining buildings with little or no use.
Karen Hogan regrets that very little progress has been made, while the federal government has only released only 2% of its office portfolio since 2019.
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