Over the last year, one of the major issues faced by international students was not being able to find affordable accommodation near their campus. The shortage of accommodation in many cities had forced homeowners to push up the rents making it unaffordable for international students.
The housing crisis in Canada forced the Canadian Government in January this year to take the extreme step of capping the number of study permits issued each year to international students. For 2024, this has been set at 552,000 applications. The allocation of study permits for each province has been done according to the population of each province. These caps are expected to lead to a decrease in the number of study permits issued for British Columbia and Ontario which have the highest demand. However, provinces which have generally been unable to receive a high number of international students have been given a higher allocation as a way of helping them achieve better numbers. This cap does not affect those renewing their study permits as well as those pursuing Master’s and Doctoral programs. The Canadian Government is expecting that there will be no significant change in the number of international students coming to Canada this year.
PROVINCE-WISE ALLOCATION
Based on the projected target of 552,000 applications, Ontario, which has been allocated 225,000 study permits, is expected to approve 141,000 study permits this year. The second highest number is for British Columbia which has been allocated 83,000 study permits and is expected to issue 49,800 study permits. Alberta has been allocated 40,894 study permits and is expected to approve 24,537 study permits. Provinces like Manitoba, New Brunswick, Nova Scotia and Saskatchewan have seen an increase in their allocation. Overall, the IRCC is expecting 60% of the applications received to get approved.
PROVINCE | STUDY APPLICATIONS QUOTA | EXPECTED STUDY PERMITS ISSUED |
Ontario | 235,000 | 141,000 |
British Columbia | 83,000 | 49,800 |
Alberta | 40,894 | 24,537 |
Manitoba | 18,652 | 9,140 |
Saskatchewan | 15,054 | 7,226 |
Provincial Response
British Columbia is expected to be impacted the most by the cap on international students. British Columbia and, especially Vancouver, has been an attractive destination for international students. The University of British Columbia is one of the top-ranking institutions in Canada offering quality education. The concentration of well-known institutions in Vancouver has added to the demand. Therefore, in July, British Columbia announced new guidelines for post-secondary institutions by which they capped the number of international students to 30% of their total enrollment. This cap may not impact institutes like the University of British Columbia, Simon Fraser University and University of Victoria which currently are not exceeding the 30% cap. The main impact will be felt on the private institutes who are more dependent on international students to remain financially viable. New post-secondary institutions in British Columbia are already banned from enrolling international students for two years.
Ontario is another province that is expected to be impacted by the study permit cap. This is the province that has faced issues regarding housing shortage especially in Toronto and nearby suburbs. Ontario has announced that it will prioritize public post-secondary programs that help prepare graduates for jobs in high demand sectors to support Ontario’s labor market needs. The government has also decided to allocate 96% of the study permit applications to publicly assisted colleges and universities and just 4% to language schools, private universities and other institutes barring career colleges. The high-demand areas that will be given priority are skilled trades, health, human resources, STEM, hospitality and childcare. The guideline for public institutes emphasizes that the enrollment levels cannot exceed the 2023 levels and maximum 55% of domestic enrollments for 2023. Algoma University and Conestoga College are expected to see a decline in the number of international student enrollments for this year.
Other steps taken by the Ontario Government include making it mandatory for all post-secondary institutions to ensure that accommodation is available for all international students enrolling in their institute, Ontario is one of the provinces that faced student protests due to the shortage of accommodation for international students.
Alberta is one of the provinces that can benefit from the cap. It has one of the lowest proportions of international student enrollments amongst all provinces at just 11.5% of all university enrollments compared to British Columbia at 24% and Ontario at 16%. Alberta is expected to increase its enrollment by 10% over last year from 22,306 to 24,537 study permits.
THE IMPACT
The steps taken by the Canadian Government to alleviate the situation for international students is a step in the right direction. While a temporary cap on the number of study permits being issued over the next two years will reduce pressures on the cities affected by the housing shortage, it will also ensure that only those students who are serious about moving to Canada for studies apply for the study permit. Those students who were only looking at it as a steppingstone to gaining Permanent Residency will need to relook at their options.
Another benefit of this is that international students will not focus only on provinces like Ontario and British Columbia but will also look at some of the other provinces like Alberta, Saskatchewan and Manitoba which offer good universities and programs, are less crowded and offer a better support system. This will help reduce pressure on cities like Toronto and Vancouver which are in high demand. It will also give a boost to the lesser-known universities and colleges which offer a good education but are not well recognized.
The cap on international students will impact the private universities more than the public universities and colleges since private universities are more dependent on international students. Immigration consultants will not be able to misuse the system as there will be greater control over the number of study permits being issued by each institution. Students will also need to look at programs that offer more employment opportunities not just in Canada but in their home country.
As the new academic year get underway, we will get to know the real impact of the cap on the post-secondary institutions as well as the international students. By the end of the year, the IRCC will be in a position to announce the targets for next year’s cap.
Contact CanadianXperience for guidance on understanding the new changes in the study permit process and which provinces and programs to apply for. CanadianXperience is an Education Consultancy specializing in study in Canada.
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