"White people" racist?

Apparently it is racist to use the term white people in Toronto:

Some Toronto councillors and a race relations expert say published comments by Scarborough Councillor Mike Del Grande that "white people" are moving out of his ward are divisive and unacceptable.

Del Grande (Ward 39, Scarborough-Agincourt) says he was only reflecting on the "reality" of demographic changes in his ward when he told the Scarborough Mirror last week that "a lot of the white people are moving out" of the area.

It seems that you are only allowed to refer to white people as "older residents of the community":

Late last week, Del Grande reiterated his comments that his neighbourhood is losing its white population.

"Was `white people' not the most politically correct (term)? The reality is long-term residents of the neighbourhood have moved out and if you look at the census, they're primarily English (or British) background," Del Grande said.

"I should have said many older residents of the community (are moving out). I didn't say it in a politically correct way."