Canada to Cut Immigration by 20 Percent in 2025 What You Need to Know and Why Now is the Perfect Time to Apply

Canada Scales Back Admission Targets for Permanent and Temporary Residents

Discover if You Are Eligible for Canadian Immigration

Permanent Resident Targets

In the latest Immigration Levels Plan, announced on October 24, the Canadian government set revised targets for permanent resident admissions over the coming three years:

• • 2025: 395,000 (revised down from 485,000 for 2024, and 500,000 in the 2024-2026 Immigration Levels Plan)
• • 2026: 380,000 (down from the original 500,000 target in the 2024-2026 Plan)
• • 2027: 365,000

Although Canada is reducing its overall immigration, the proportion of economic immigrants is set to increase. Targets for economic immigration in 2025 are reduced by only 17%, from 281,000 to 232,000, and over 40% of these are expected to transition from temporary residents already residing in Canada.

The following is the breakdown for permanent resident admissions in the next three years:

Unusually, Prime Minister Justin Trudeau announced these changes himself, traditionally a role reserved for the Immigration Minister. Trudeau commended Canadian immigration, saying it had "made our economy the envy of the world," with both he and Immigration Minister Marc Miller reiterating Canada's commitment to immigration.

Reduction in Provincial Nominee Program (PNP) Targets

Provincial Nominee Program (PNP) targets saw considerable cuts:

• • 2025: 55,000, down from the 110,000 target in the prior year
• • 2026: 55,000, reduced from the previous target of 120,000
• • 2027: 55,000

This policy shift marks a significant change in federal immigration strategy.

Increase in Federal High Skilled Economic Immigration

Despite the reduction in PNP targets, the federal government raised targets for the federal high skilled (FHS) economic immigration program managed through Express Entry:

• • 2025: 124,680 (up from 110,770 in 2024 and 117,500 in 2025)
• • 2026: 123,230 (up from 117,500)
• • 2027: 118,730

To calculate these FHS targets, the government combined numbers from the "Federal Economic Priorities" and "In-Canada Focus" categories, excluding Federal Business.

Increase in French-Speaking Admissions Outside Quebec

Canada will increase its targets for French-speaking immigrants outside of Quebec:

• • 2025: 8.5%
• • 2026: 9.5%
• • 2027: 10%

Temporary Resident Levels

This year's Immigration Levels Plan includes temporary resident admission targets for the first time. Previously, no such targets existed. The government intends to reduce the temporary resident population as a proportion of the Canadian population from 7% to 5% by 2026.

The government projects the following admissions for temporary residents in Canada over the next three years:

The significant reduction in workers from 2025 to 2026 results from a decrease in work permits under the International Mobility Program (IMP), dropping from 285,750 to 128,700 in 2026. Temporary Foreign Worker Program (TFWP) permits are capped at 82,000 annually over the next three years.

The government anticipates that temporary residents will transition to permanent residents through Canadian Experience Class (CEC) Express Entry and Provincial Nominee Program (PNP) pathways, helping to reduce the temporary resident population to 5% of Canada's total population.

Projected reductions in the temporary resident population are:

• • 2025: ~445,000
• • 2026: ~445,000
• • 2027: +17,000 (increase)

2024 Cap on Study Permit Applications

In response to rapid growth in the international student population, the Immigration, Refugees and Citizenship Canada (IRCC) set a cap of 360,000 new study permits for undergraduate and college students in 2024, marking this cap as a permanent change. It now also applies to master’s and Ph.D. students.

Throughout 2024, the IRCC revised Post-Graduation Work Permit (PGWP) eligibility to restrict PGWP access for graduates of programs with curriculum-licensing agreements and to introduce new eligibility requirements:

1) CLB 5 for college graduates, CLB 7 for university graduates
2) Program length requirements for master’s students’ spouses applying for spousal open work permits

Temporary Foreign Worker Program Reforms

Prime Minister Trudeau highlighted the need for Temporary Foreign Worker Program (TFWP) reforms, particularly to prevent the exploitation of foreign labor by Canadian businesses. As part of these reforms:

• • Low-Wage Stream Permits: Reduced from two years to one year
• • Labour Market Impact Assessments (LMIAs): Suspended in high-unemployment areas

Conclusion

Now is the time to apply for Canadian immigration. With upcoming changes set to make the process more competitive, starting your application early could give you a crucial advantage. Canada continues to open its doors to those who bring skills, passion, and commitment to building a prosperous life in this beautiful country. Don’t miss your chance to be part of Canada’s future.