🇨🇦Program UpdatesNovember 20, 2025· 5 min read

Canada's 2025–2027 Immigration Plan: The Deepest Cuts in Decades

Home/Blog/Canada's 2025–2027 Immigration Plan: The Deepest Cuts in Decades

Canada is reducing permanent resident admissions from 485,000 in 2024 to 365,000 by 2027 — a 25% cut. Temporary resident intake drops 43% in 2026. PNP allocations are slashed nearly in half, with a new rule requiring 75% of nominees to already be living in Canada.

In November 2024, the Canadian government announced its 2025–2027 Immigration Levels Plan — the most significant reduction in immigration targets in decades. The cuts affect every stream: permanent residents, temporary workers, international students, and provincial nominees.

Permanent Resident Targets

2024: ~485,000 permanent residents admitted
2025: 395,000 — a reduction of 90,000
2026: 380,000
2027: 365,000 — a 25% drop from the 2024 peak
Government goal: reduce the temporary resident share of Canada's population from 7%+ back to 5% by end of 2026

PNP Allocations Halved

Provincial Nominee Program allocations took the steepest cuts:

2024: 110,000 PNP nominations
2025: 55,000 — a 50% cut
2026: 91,500 — partial recovery
Critical new rule: 75% of all PNP nominees must already be residing inside Canada
BC PNP: cut to 4,000 total; general draws suspended for all of 2025
Ontario: exhausted its 10,750-slot allocation
Alberta received one of the largest individual increases: 6,403 slots

Temporary Residents

2025 temporary resident intake: 673,650
2026 temporary resident intake: 385,000 — a 43% year-over-year drop
Study permit cap 2025: 550,162 applications accepted
The government aims to achieve a net reduction of temporary residents by end of 2026

Strategic Implications for Applicants

The in-Canada residency requirement for 75% of PNP nominees fundamentally changes strategy for overseas applicants. Rather than applying from outside Canada, the new model rewards those who are physically present. This makes temporary entry (work permit, study permit) the essential first step — followed by PNP nomination once in-Canada status is established. ITC iLand's consultants can build a multi-step pathway tailored to your profile.

Ramin AsadiRCIC · R407111

Regulated Canadian Immigration Consultant (RCIC) · ITC iLand Immigration Inc.

This article was prepared by ITC iLand licensed immigration consultants. This is general information and does not constitute legal advice.

Frequently Asked Questions

How much is Canada reducing its immigration targets between 2025 and 2027?

Canada is reducing permanent resident admissions from approximately 485,000 in 2024 to 365,000 by 2027 — a roughly 25% reduction. Temporary resident intake is being cut by 43% in 2026. The stated government goal is to reduce the temporary resident share of Canada's population from over 7% back to approximately 5% by the end of 2026.

How are Canada's Provincial Nominee Program allocations affected by the 2025-2027 levels plan?

PNP allocations were cut nearly in half, from 110,000 in 2024 to 55,000 in 2025, before a partial recovery to 91,500 in 2026. A critical new rule requires that 75% of all PNP nominees must already be residing inside Canada at the time of nomination. British Columbia's PNP was cut to 4,000 total slots with general draws suspended for all of 2025, while Ontario exhausted its entire allocation.

What does the new 75% residency rule mean for PNP applicants living outside Canada?

The 75% residency rule means each province can allocate no more than 25% of its PNP slots to nominees living abroad. In practical terms, candidates currently outside Canada face significantly lower odds of receiving a provincial nomination. Immigration professionals recommend prioritizing pathways that first establish a legal presence in Canada — such as a work permit or study permit — before pursuing PNP nominations.