The Canadian government today announced its 2025-2027 Immigration Levels Plan, adjusting permanent resident targets to better balance population growth with housing availability. Immigration Minister Marc Miller outlined the new plan, which aims to help manage demographic expansion while easing pressure on the housing market.

Lower Permanent Resident Targets

Canada is reducing its permanent resident targets over the next three years:

The new lower targets aim to slow the pace of population growth, making it easier to support the growing demand for housing, jobs, and social services. The plan marks a decrease of 105,000 admissions for 2025 compared to the previously projected levels.

These newcomers are skilled and educated and can help boost the workforce and economy without relying heavily on social services. These residents make up more than 40% of all permanent resident admissions in 2025, and they are skilled, educated, and part of Canadian society.

Focus on Skilled Workers Already in Canada

The plan prioritizes economic immigration, especially for skilled workers already in Canada through programs like the Canadian Experience Class (CEC), which helps temporary workers become permanent residents. These changes mean that people who are already living, working, and studying in Canada could have an easier path to staying permanently.

• Critical areas like healthcare and trades—jobs in skilled manual work, such as electricians or plumbers—are the main focus with around 62% of total permanent resident admissions geared towards the same by 2027.
• The country will also continue to reunite families by allowing spouses, children, parents, and grandparents to join their loved ones in Canada. Nearly 24% of overall permanent resident admissions set aside for family-class immigration by 2025.
• The plan also includes helping the most vulnerable people in the world, such as human rights defenders, LGBTQI+ refugees, religious and ethnic minorities, as well as women and children in difficult situations.
• The government also aims to bring in more French-speaking immigrants to support French-speaking communities outside Quebec, with targets increasing each year.

Changes to the Provincial Nominee Program (PNP)

The Provincial Nominee Program (PNP), which allows provinces to choose immigrants to meet local needs, will see its target cut nearly in half, from about 108,000 planned for 2024 to 55,000 in 2025. The government’s focus is shifting more towards federal immigration programs like Express Entry, which lets skilled workers apply directly to the federal government.

First-Ever Targets for Temporary Residents

For the first time, the government has also set specific limits on temporary residents—people in Canada on work or study permits. They aim to bring the number of temporary residents down from 7% to 5% of the total population by the end of 2026. This means fewer people may get temporary work or study permits over the next few years, as the government focuses more on those who want to settle in Canada permanently.

The decline in the number of Canada’s temporary population (workers & international students) is shared below:

• 445,901 in 2025
• 445,662 in 2026
• 463,101 a marginal increase of 17,439 in 2027

This expected decline in population is believed to be caused by people who are temporary residents being granted permanent resident status. Temporary residents who have their status expire are also a contributing factor to the declining population.

Categories With Maximum Impact

Being an expert in immigration matters, here are a few key takeaways from today’s developments that we believe will have a maximum impact on certain categories:

With the changes in the immigration levels plan, the Federal Economic Priorities category will continue to focus on critical sectors, including healthcare and skilled trade occupations and French language proficiency. There could be anticipated changes in other priority categories/occupations.

Francophone Immigration

The French-speaking category is the biggest winner with 8.5% in 2025, 9.5% in 2026 and 10% in 2027 of overall permanent resident admissions.

PNP Immigration

Whereas Provincial Nominee Program (PNP) applicants witnessed a decline from almost 108,619 in 2023 to 55,000 in 2025 which is the most significant drop amongst all categories.

In-Canada Immigration

Those who are already living in Canada stand to gain as the plan prioritizes in-Canada applicants and pathways for them. A new in-Canada focus category has been introduced targeting Canadian Experience Class and immigration programs, to attract workers they need.

Business Immigration

Admissions of permanent residents under the Federal Business category will reduce to 1000 by 2026 as compared to 2753 in 2023. There will be a decline in the number of people applying through the Family class category for permanent residency from 109,730 in 2023 to 81,000 in 2026. This means a smaller number of admissions per year for spouses, partners, parents & grandparents.

We believe that the applicants who will adapt to the skill gaps in Canada and contribute to priority sectors will benefit the most.

Development of the Canada Immigration Levels Plan 2025-2027

Every year, the Minister in charge of Immigration presents a plan called the Immigration Levels Plan. This plan outlines the immigration goals for the next three years. It sets objectives for how many permanent residents Canada expects to admit in 2025 and has rough estimates for 2026 and 2027.

This is the first time they included targets for temporary residents in their plan, aiming to decrease the number of temporary residents to 5% of Canada’s population by the end of 2026. When creating the Levels Plan, Immigration, Refugees and Citizenship Canada (IRCC) takes into account the following:

• Immigration priorities and goals, as outlined in the Immigration Refugee and Protection Act
• Economic and regional requirements
• International responsibilities and promises
• Ability to handle immigration applications
• Ability to support, integrate, and keep new immigrants

IRCC consults with various groups, organizations, provinces and territories, to develop their immigration plan. They also conduct surveys and focus groups with newcomers, Canadians in rural areas, Francophones outside of Quebec, and Indigenous Peoples to gather public opinion.

Take Professional Help from Licensed Experts

The new 2025-2027 immigration plan brings both changes and opportunities for those looking to settle in Canada. If you’re unsure how these updates might affect your immigration pathway or need assistance with your application, our team of licensed Canadian Immigration Consultants is here to help.

You can book a consultation with our Licensed Canadian Immigration Consultant if you need guidance with your immigration application.  You can also visit our news section to learn the latest Canadian immigration news and stay updated with IRCC’s most recent announcements.

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