Federal government to further limit number of international students

The federal government will be further limiting the number of international students permitted to enter Canada next year. It’s the government’s latest immigration-related measure to address Canadians’ ongoing housing and affordability concerns.

In 2025, new international student study permits will be reduced by 10 per cent from the 2024 target of 485,000. That will mean 437,000 permits issued next year, with that same target continuing into 2026.

“The international student cap is here to stay,” Immigration Minister Marc Miller told reporters on Wednesday.

In January, Miller first announced a temporary two-year cap on international students to reduce levels by 35 per cent this year. Next year’s number will go down by another 10 per cent.

“I would say that the measures that we've taken up to now are working,” Miller said. “You have seen more than anecdotal evidence that there has been an impact on certain rental markets where students are more prevalent.”

The cap is national with each province assigned to its own quotas based on its population.

Miller has previously called the international student system “out of control,” citing examples of abuse from some post-secondary institutions.

But Universities Canada has criticized the federal government’s cap, saying enrolment of international students has dropped by at least 45 per cent from last year, below the intended 35 per cent cut in study permits announced earlier this year.

Miller acknowledged the impact the cap is having on universities but said “they need to adjust their recruitment practices.”

“This is a turbulent year for post-secondary institutions,” Miller said. “I certainly acknowledge that the turbulence is something I think we need to deal with, and what they want is predictability.”

The federal government also announced Wednesday that it’s limiting work permits to spouses of master’s degree students to only those whose program is at least 16 months long, and to spouses of foreign workers in certain sectors with labour shortages. Changes will also be coming this fall to the post-graduation work permit program to align immigration goals and labour market needs.

The international student cap is part of the federal government’s aim to decrease the number of temporary residents in Canada to five per cent over the next three years, down from the current 6.2 per cent.

The federal government has also signalled changes could be coming this fall to permanent resident levels.

In an interview with CTV News back in August, Miller said any upcoming changes to permanent resident levels will not be "cosmetic" but "significant."

Ottawa’s updated immigration levels plan for 2025 to 2027 will be unveiled this November.

Statistics Canada said the country's population in 2023 grew faster than it has at any time since the 1950s due to a sharp rise in temporary residents. Canada's population surpassed 41 million people in the first quarter of 2024, to reach 41,012,563 on April 1, 2024.