The disappearing city

2 min read · May 3, 2024
New Power Labs

Last week, New Power Labs’ senior advisor, Garrick Ng, had a New Power Talk with Devika Shah from Environment Funders Canada. Devika noted, “Postal code is an indicator of quality of life.” 

Devika was referring to David Hulchanski's research, “The Three Cities within Toronto,” which looked at income data from 1970-2005 and uncovered the disparities among Toronto’s neighbourhoods. According to David Hulchanski, the three cities are: 

City 1: A predominantly high-income area, generally found in the central city and close to the city’s subway lines, where neighbourhood incomes have risen significantly above the average over the past few decades.

City 2: A mainly middle-income area, where neighbourhood incomes have remained fairly close to the average. 

City 3: A generally low-income area of Toronto, in which neighbourhood incomes have fallen substantially compared to the average. These neighbourhoods are found mostly in the northeastern and northwestern parts of Toronto.

Assuming income trends continue and no policy changes, the report projects that City 1 and City 3 will grow while City 2 will disappear by 2025 — in one year. City 2 often represents middle-income areas that serve as vital hubs for diverse communities, and its disappearance signifies a shrinking middle ground, where opportunities for upward mobility and social integration are compromised.  

Strategic investments and funding are essential to mitigate the widening gap between affluent and underfunded neighbourhoods. There is an opportunity for cross-sectoral collaboration among funders, policy-makers, and communities for sustainable systemic change.
Read more about other insights that emerged from our conversation with Devika here. (English only)

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