The homeless situation in Halifax is wearing on Mayor Mike Savage.

The mayor is cancelling the New Year’s Day levee because he says it does not feel right to host a celebration as people live in tents directly outside.

The annual event is held at city hall, but this year more than a dozen people are trying to survive in Grande Parade as winter sets in.

Council will donate the $8,500 that would have been spent on the levee to the North End Community Health Centre.

They will use the funding to provide meals for those in need.