Canada Immigration Levels Plan 2025 to 2027: Lower Targets for Permanent and Temporary Residents
November 1, 2024 Canada 9 min read
The federal government has released the Canada Immigration Levels Plan 2025 to 2027, setting specific immigration targets for permanent residents and temporary residents over the next three years.
The Government of Canada has released its 2025–2027 Immigration Levels Plan, setting specific immigration targets for permanent residents and temporary residents over the next three years. The defining feature of this plan is a strategic shift toward gradually lower immigration targets, aimed at keeping population growth sustainable, supporting the economy, and easing pressure on social services.
In recent years, Canada has pursued welcoming immigration policies to support economic growth and meet labor market needs. However, the Government of Canada recognizes that a well-managed, effective immigration system requires permanent resident and temporary resident levels that match society’s current capacity.
Canada’s PR targets: a 20% cut in permanent resident admissions
The new plan gradually lowers permanent resident targets starting in 2025, with further reductions over the following two years. Specifically, admissions of new Canadian permanent residents will fall steadily from 500,000 (the 2025 target set under the previous 2024–2026 Immigration Levels Plan) to:
- 395,000 in 2025.
- 380,000 in 2026.
- 365,000 in 2027.
The Government of Canada will also prioritize candidates who already live in Canada and have Canadian work experience: 40% of new permanent residents in 2025 will come from people already living in Canada. These candidates form a young, skilled workforce that can keep contributing to the economy without creating additional demand for housing or social services.
The plan keeps its focus on economic immigration, which will account for 62% of total admissions in 2027, with priority given to sectors facing labor shortages such as health care and the skilled trades.
In addition, about 20% of permanent resident admissions will be allocated to family reunification. Canada also maintains its humanitarian commitments by continuing immigration programs for vulnerable groups, including human rights defenders, religious and ethnic minorities, and refugees, among others.
Francophone immigration targets will also rise significantly to strengthen French-speaking communities outside Quebec. Specifically, Francophone immigrants will make up 8.5% of permanent resident admissions outside Quebec in 2025, 9.5% in 2026, and 10% in 2027.
Detailed allocation of Canada’s permanent resident targets by category, 2025–2027 (Source: Immigration, Refugees and Citizenship Canada, IRCC)
Temporary residents to fall to 5% of the population by the end of 2026
A new element of this plan is the goal of reducing temporary residents, including foreign workers and international students, to just 5% of Canada’s total population by the end of 2026. To move toward this goal step by step, the Government of Canada has announced a series of measures over recent months, including:
- Capping the number of study permit applications.
- Updating the cost-of-living financial requirement for international students.
- Changing the eligibility rules for Post-Graduation Work Permits (PGWP).
- Restricting open work permits for the accompanying spouses of international students and temporary foreign workers.
- Limiting the number of temporary foreign workers in low-wage positions and raising the wage threshold for high-wage positions.
Temporary resident targets are based on several factors, including the number of people expected to leave Canada when their permits expire, transitions from temporary to permanent residence, approval rates for each program, permit extension rates, and other factors. Accordingly, to bring temporary residents down to 5% of the total population, Canada projects new arrivals of foreign workers and international students at:
- 673,650 in 2025,
- 516,600 in 2026,
- 543,600 in 2027.
Detailed allocation of temporary resident arrivals to Canada, 2025–2027 (Source: Immigration, Refugees and Citizenship Canada, IRCC)
Impact of the new Immigration Levels Plan
The 2025–2027 Immigration Levels Plan is expected to help Canada keep population growth at a sustainable pace, easing pressure on the housing market, infrastructure, and social services. Canada’s population is projected to decline by about 0.2% in both 2025 and 2026, before returning to growth of 0.8% in 2027.
One of the plan’s main goals is to narrow the housing supply gap. Around 670,000 new housing units are expected to be added by the end of 2027, helping to ease the housing shortage and improve conditions in the real estate market so that residents can access housing more easily. The plan is also expected to support stronger GDP growth and lower domestic unemployment.
With these adjustments, Canada is signaling a clear commitment to sustainable development, ensuring that social and economic development keeps pace with population growth while preserving quality of life for all residents.
Although the new plan lowers immigration levels, Canada remains an attractive destination with many opportunities, and immigrants can still find suitable pathways to settle in the country.
If you are interested in Canadian business immigration, contact IMM Group or leave your details below. Our experienced advisors will provide detailed guidance and help assess your application’s prospects of success. We are committed to keeping your personal data confidential and will use the information you provide only to advise on your family’s case.
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