Visa & Policy Updates

Canada Sets 408,000 Study Permit Places for 2026 as Part of Temporary Resident Reduction Plan

Canada has confirmed that it will issue up to 408,000 study permits in 2026, setting a firm cap as the government continues reshaping its temporary resident policies. 

The figure outlines how many new and renewed study permits can be processed next year, and it marks a notable shift in how Canada intends to manage the flow of international students into the country.

The target is part of a broader federal strategy to gradually reduce the share of temporary residents living in Canada. Immigration, Refugees and Citizenship Canada (IRCC) says the goal is to move toward a “more sustainable” intake while still supporting institutions that rely on international student enrolments.

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Breakdown of the 408,000 Permits

The total cap divides into two main categories:

155,000 spots for new international students starting their programs in 2026
253,000 spots for extensions requested by students who are already in Canada

This split shows how much of the current system depends on existing students renewing or upgrading their immigration status. While new applicants still make up a large share of Canada’s education pipeline, the heavier weight on extensions suggests a focus on retaining current students while controlling new arrivals.

Compared with previous years, the 2026 cap is about 7 percent lower than 2025 and roughly 16 percent lower than the 2024 target, showing a progressive tightening. Although the decrease may not stop students from applying, it will likely heighten competition, especially for undergraduate and college-level applicants.

Graduate Students Get a Significant Exemption

One of the most important policy changes that starts on January 1, 2026 is the exemption of master’s and PhD students from the requirement to obtain a Provincial or Territorial Attestation Letter (PAL/TAL).

Graduate students studying at publicly designated institutions will no longer need this extra document, which was introduced earlier to help provinces manage their own intake. IRCC expects around 49,000 graduate-level students to benefit from this change.

This adjustment aligns with Canada’s long-term economic goals, since graduate students generally contribute more to research, innovation, and skilled labour pathways. Removing the PAL/TAL step makes applications simpler and faster for this group, and it could boost interest in Canadian graduate programmes.

Other groups that remain exempt include:
• K–12 school students
• Certain vulnerable or priority applicants
• Students renewing their permit at the same institution and same level of study

How Provinces Will Receive Their Shares

Under the 2026 distribution, 180,000 new permits that require PAL/TALs will be allocated across provinces. The remaining places fall under exempt categories.

Provincial allocations are based on factors such as population, institutional capacity, historic student volume, and local pressures. For 2026, the largest shares have been assigned to:

Ontario: 70,074 permits
Quebec: 39,474 permits
British Columbia: 24,786 permits
Alberta: 21,582 permits

Other provinces receive smaller allocations, meaning students may find it easier to secure spots in regions that are less saturated. In total, provinces can collectively issue around 309,670 PAL/TAL-required applications. Since this includes applications rather than approvals, demand could easily exceed supply in popular regions.

Impact on Prospective International Students

These changes carry different implications depending on the applicant’s level of study.

For undergraduate and college applicants:
Competition is likely to increase as the number of new permits is reduced. Students will need to apply early, ensure strong documentation, and consider alternative provinces or institutions if top-choice locations reach capacity.

For master’s and PhD applicants:
The upcoming elimination of the PAL/TAL requirement gives graduate students an advantage. With fewer administrative hurdles, processing times may improve, and approval chances may be more stable.

For families choosing study destinations:
The country or province selected will now play a much larger role. Provinces with smaller allocations may move more quickly, while Ontario and British Columbia, already two of the most popular destinations, may see intense competition under the new caps.

Why Canada Is Making These Changes

The government has stated that the new caps are part of a move to reduce reliance on temporary residents across multiple sectors. 

Over the past decade, Canada welcomed rising numbers of international students, workers, and newcomers. The study permit system became a major contributor to population growth in large cities, placing pressure on housing, healthcare, and transportation.

By controlling intake more tightly, the government aims to strike a balance between supporting international education and protecting public services. At the same time, the exemptions for graduate students show that Canada still values long-term talent and wants to support pathways that lead to innovation and skilled immigration.

What Agencies and Consultants Should Focus On

For education consultancies, the new framework requires early planning and targeted guidance:

• Highlight graduate programmes where the PAL/TAL exemption simplifies the process
• Encourage early admissions and timely visa preparation to avoid missing allocation windows
• Guide students toward provinces with healthier permit availability
• Offer realistic counselling to families about competition levels and documentation requirements
• Reinforce proper financial and academic preparation to increase approval chances

Looking Ahead

With the 2026 cap set, the next year will be critical for students planning to study in Canada. The reduced number of new permits will increase competition, but improved clarity and predictable rules may help students navigate the system more confidently.

Canada remains a top study destination, but the pathway is becoming more structured. Students who plan early, choose the right programmes, and understand the revised requirements will be in a stronger position to succeed.

About Author

Asfandyaar Mazhar
Study Abroad Expert

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