Canada is shifting its immigration policy with the new 2025–2027 Immigration Levels Plan. Announced by Marc Miller, Minister of Immigration, Refugees, and Citizenship, the plan focuses on balancing population growth and sustainable development. This new approach also includes targets for temporary residents for the first time, addressing both permanent and temporary immigration needs.
The goal of this plan is to ease pressures on housing, infrastructure, and social services while maintaining a skilled workforce. Canada’s population growth rate will slightly reduce by 0.2% each year over the next two years, with an expected return to a growth rate of 0.8% by 2027. This measured approach aims to balance incoming residents and maintain stability.
Key Stats
- Planned temporary population decreases of 0.2% in 2025 and 2026, with growth resuming at 0.8% by 2027.
- Annual targets were reduced to 395,000 (2025), 380,000 (2026), and 365,000 (2027), prioritizing manageable growth.
- By 2027, 62% of permanent residents will fill key economic roles in healthcare and trades to ease labor shortages.
- Over 40% of 2025 permanent resident slots are for temporary residents already contributing to Canada’s economy.
- Temporary residents are to be capped at 5% of the population by 2026, with 445,901 leaving in 2025 and 445,662 in 2026.
- Study permit limits, stricter Post-Graduation Work Permit rules, and higher wages for high-wage foreign workers.
- Family class admissions hold at 24% of all permanent resident slots in 2025, supporting close family migration.
- Francophone immigration targets outside Quebec rise to 8.5% (2025), 9.5% (2026), and 10% (2027).
- Immigration reductions are expected to reduce housing demand by 670,000 units by 2027, improving affordability.
- New visa rules and faster processing aim to manage asylum claims while maintaining humanitarian support.
- Funding supports faster credential recognition for 6,600 foreign-trained healthcare professionals.
- Enhanced anti-racism initiatives include staff bias training and funding for racialized community services.
- Expanded refugee spaces, with up to 500 slots for human rights defenders and dedicated support for LGBTQI+ refugees.
The Implications for Permanent Residents
The plan sets new permanent resident targets at 395,000 admissions in 2025, 380,000 in 2026, and 365,000 by 2027. This adjustment aims to synchronize immigration levels with resources and infrastructure. Notably, over 40% of these new permanent residents will already be in Canada on temporary permits, such as students and workers, who have shown potential for long-term economic integration.
Many of these new residents will fulfill labor needs in crucial sectors like healthcare and skilled trades. The plan continues to prioritize family reunification, with nearly a quarter of all permanent resident spots reserved for family members of Canadian citizens and residents. Canada remains committed to providing asylum to vulnerable groups, including LGBTQI+ individuals, and religious and ethnic minorities.
A key aspect of this plan is its focus on Francophone communities outside Quebec. By 2027, French-speaking immigrants are expected to make up 10% of all permanent resident admissions, supporting these communities’ cultural and economic contributions.
Balancing Temporary Residents
The plan also addresses the number of temporary residents, capping their volume at 5% of Canada’s total population by 2026. This reduction will affect international students and foreign workers, whose numbers have increased significantly post-pandemic. The new guidelines introduce stricter requirements for international students and cap study permits. Work permits for spouses of temporary residents are also limited, and the Temporary Foreign Worker Program now includes a 10% cap on low-wage hires and a 20% increase in starting wages for high-wage hires. Canada expects a net decrease of 445,901 temporary residents in 2025 and 445,662 in 2026, helping to manage housing, infrastructure, and labor needs more effectively.
This reduction aligns with Canada’s goal to address housing affordability. The plan aims to reduce the housing supply gap by around 670,000 units by 2027. Along with continued GDP growth, these efforts are expected to increase per capita income and lower unemployment, creating a more stable environment for all Canadians.
The Canadian government has prioritized existing temporary residents (students and workers) transitioning to permanent residency, believing these individuals are already integrated and contributing to the economy. The plan also seeks to reduce temporary resident volumes to 5% of the population by 2026, addressing concerns about housing and social services. This plan has sparked mixed reactions among Canadians. Some appreciate the reduced strain on resources, while others worry about potential labor shortages and the impact on international students and diversity.
