Condo and office towers in downtown Vancouver on Oct. 21.

Federal spending on housing is projected to drop by more than half over the next three years, according to a new report by the Parliamentary Budget Officer.

The finding is at odds with the Liberal Party’s campaign pledge to bring in Canada’s most ambitious housing plan since the Second World War with billions in funding.

The government’s Nov. 4 budget did follow through with a campaign promise to launch a new agency called Build Canada Homes, setting aside $7.3-billion over five years.

However the PBO points out that overall federal spending on housing is set to decline to $4.3-billion in 2028-29, down from $9.8-billion in the current fiscal year – a 56-per-cent reduction.

The PBO figures assume that various housing program

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