Canada announces its Immigration Levels Plan for 2025-2027 and introduces significant reductions in permanent and temporary resident admissions. Here’s a detailed explanation of these reductions:
Permanent Resident Reductions
The most notable change is the substantial decrease in permanent resident targets:
| Year | New Target | Previous Target | Reduction |
|---|---|---|---|
| 2025 | 395,000 | 500,000 | 21% |
| 2026 | 380,000 | 500,000 | 24% |
| 2027 | 365,000 | N/A (New) | 27%* |
The 27% reduction for 2027 is compared to the 2025 target of 500,000.
This represents a significant shift from the previous plan, which aimed to increase admissions to 500,000 by 2025 and maintain that level in 2026. The new plan gradually reduces the target over three years, resulting in a 21% overall reduction from the previous targets
New Targets (2025 – 2027)
| 2025 | 2026 | 2027 | |||||||
|---|---|---|---|---|---|---|---|---|---|
| Immigrant Category | Target | Low Range | High Range | Target | Low Range | High Range | Target | Low Range | High Range |
| Overall Planned Permanent Resident Admissions | 395,000 (367,000 – 436,000) | 380,000 (352,000 – 416,000) | 365,000 (338,000 – 401,000) | ||||||
| Overall French-speaking Permanent Resident Admissions outside Quebec | 8.5% (29,325) | 9.5% (31,350) | 10% (31,500) | ||||||
| Economic – Federal Economic Priorities | 41,700 | 30,000 | 62,000 | 47,400 | 30,000 | 65,000 | 47,800 | 32,000 | 65,000 |
| Economic – In-Canada Focus | 82,980 | 39,000 | 89,000 | 75,830 | 33,000 | 82,000 | 70,930 | 66,000 | 76,000 |
| Economic – Federal Business | 2,000 | 1,200 | 3,000 | 1,000 | 200 | 2,000 | 1,000 | 200 | 2,000 |
| Total Economic | 232,150 (215,000 – 256,000) | 229,750 (214,000 – 249,000) | 225,350 (207,000 – 246,000) | ||||||
| Family – Spouses, Partners and Children | 70,000 | 65,500 | 78,000 | 66,500 | 63,000 | 75,000 | 61,000 | 58,000 | 67,500 |
| Family – Parents and Grandparents | 24,500 | 20,500 | 28,000 | 21,500 | 16,500 | 24,500 | 20,000 | 15,000 | 22,000 |
| Total Family | 94,500 (88,500 – 102,000) | 88,000 (82,000 – 96,000) | 81,000 (77,000 – 89,000) | ||||||
| Total Refugees and Protected Persons | 58,350 (55,000 – 65,000) | 55,350 (50,000 – 62,000) | 54,350 (50,000 – 60,000) | ||||||
| Total Humanitarian & Compassionate and Other | 10,000 (8,500 – 13,000) | 6,900 (6,000 – 9,000) | 4,300 (4,000 – 6,000) | ||||||
1. Economic Category Reductions
Within the permanent resident categories, the economic immigration stream sees the most substantial cuts:
- The total economic immigration target will decrease from 301,250 in 2026 to 225,350 by 2027.
- The Federal Business stream, in particular, experiences a dramatic reduction from 6,000 in the 2024-2026 plan to just 1,000 annually by 2026 and 2027.
- The Provincial Nominee Program (PNP) saw a significant cut of 50% from the previous plans
2. Temporary Resident Reductions
The plan also addresses temporary residents:
- Approximately 30,000 fewer temporary residents are targeted for 2025.
- The total number of temporary residents is expected to be around 300,000 in 2025
A more detailed breakdown of the Temporary Residence Levels Plan shows:
- 2025: 673,650 temporary residents
- 2026: 516,600 temporary residents
- 2027: 543,600 temporary residents
This includes:
- 367,750 workers in 2025, primarily through the International Mobility Program (IMP) with 285,750 arrivals
- 305,900 student permits consistently throughout the plan period
3. Humanitarian and Refugee Stream Reductions
The humanitarian and refugee stream also sees significant cuts:
- The new plan allocates only 17% of the total immigration target to this category.
- This reduction translates to over 14,000 fewer spots for refugees and those fleeing persecution.
4. Start-up Visa (SUV) Program Reductions
The Start-up Visa program experiences notable reductions:
- New targets set at 1,000 to 2,000 applications annually
- This is a return to levels seen in 2020-2022 when targets were around 700-750 applicants
Overall Impact
These reductions represent a significant shift in Canada’s immigration policy:
- The total number of new permanent residents from 2025 to 2027 will be approximately 1.1 million, a 21% decrease from previous plans. This is nearly 500,000 permanent resident applications declined for these 3 years.
- The government aims to “pause population growth in the short term” to address pressures on housing, infrastructure, and social services
- The changes are expected to result in a slight population decrease of 0.1% in 2025 and 2026, with a projected increase of 0.8% in the following year
These reductions reflect a recalibration of Canada’s immigration strategy, balancing economic needs with infrastructure capabilities and public concerns about rapid population growth. The government emphasizes that this is a short-term adjustment to ensure long-term sustainable growth and integration of newcomers.
Frequently Asked Questions
Q: How much is the overall reduction in immigration targets?
A: The reduction is 21%, with targets decreasing from 500,000 to 395,000 in 2025, 380,000 in 2026, and 365,000 in 2027.
Q: Why is Canada reducing immigration numbers?
A: The government aims to stabilize population growth, reduce pressure on housing, healthcare, and social services, and better balance immigration with infrastructure capacity.
Q: How will this affect those already in Canada?
A: Over 40% of new permanent residents will be selected from people already in Canada as temporary residents, prioritizing those who have begun integration
Q: What changes are happening to the Economic Immigration category?
A: The economic immigration target will decrease from 301,250 to 225,350 by 2027, with significant reductions in programs like the Federal Business stream
Q: How will family reunification be affected?
A: Family reunification targets will decrease, with spousal and child sponsorship declining from 84,000 to 61,000 by 2027, and parent/grandparent sponsorship reducing from 34,000 to 20,000.
Q: What are the new rules for temporary residents?
A: For the first time, the plan includes temporary resident targets, aiming to reduce their population share from 6.2% to 5% by 2027.
Q: How will international students be affected?
A: Students who don’t fit into specific Express Entry categories (STEM, healthcare, agriculture, trades, transport, French) may face more challenges.
Q: How will these changes impact housing?
A: The government estimates these reductions will decrease the housing supply gap by approximately 670,000 units by 2027.
Q: When do these changes take effect?
A: The new immigration levels plan will be implemented in 2025 and continue through 2027.
Q: Can these targets change in the future?
A: Yes, immigration targets are reviewed annually and can be adjusted based on various factors including economic conditions and infrastructure.
