The cost of living in Toronto has skyrocketed the past 5 years with the cost of housing at astronomical levels in the city proper and still unrealistically high in surrounding towns. Eg. Average rent for 1 bedroom at $12-1500/month and detached houses going for $1mill plus. It's easy to see the number of homeless increasing.
There was "Tent City" in a central ravine area in the early 2000s but it was dispersed by the city, they're still breaking up homeless communities that pop up along rivers and under bridges. They've opened a fair amount of shelters and safe injection sites around the city at the dismay of a lot of people who live in those areas, but because of the sheer volume of people needing these facilities it often gets ruined by the shitty few. The shelters fill up quick and even if you get into one as a small family or person just down on their luck with nowhere to go, you risk getting your shit stolen or some asshole will harass or assault you.
Super frustrating to see but at the same time, a lot of not well off people are struggling as is. A few small stints of shit luck could leave you in the streets if you don't have family or friends to fall back on, at least the social systems in place here exist and healthcare is decent. Couldn't imagine being in a similar situation in the States where a small medical emergency could bankrupt you.