Ontario is reshaping its approach to international student admissions as it responds to another round of federal reductions in study permits, signalling a sharper focus on labour market alignment and workforce development through 2026.
The province announced Tuesday that it will continue allocating Provincial Attestation Letters (PALs) primarily to postsecondary programs tied to in-demand occupations, following Ottawa’s decision to further limit the number of international students permitted to study in Canada next year. The move marks the third consecutive year Ontario’s allocation has been reduced, intensifying pressure on colleges and universities that rely heavily on international enrolment.
“Now more than ever, our government is focused on building a dynamic, highly skilled workforce that will protect and drive our economy,” said Nolan Quinn, Minister of Colleges, Universities, Research Excellence and Security. “As we have been since the beginning, we will continue to work alongside our colleges and universities to ensure they can keep delivering the world-class education that Ontario is proudly known for, enabling students to launch good-paying, rewarding careers that our province needs to remain the most competitive jurisdiction in the G7.”
For 2026, Ontario has been allocated 104,780 PALs by the federal government, translating into a cap of 70,074 international study permits for students planning to attend postsecondary institutions in the province. That represents a 42 per cent reduction from 2025 levels and a steep decline from 2024, when Ontario had a target of 141,000 permits.
Provincial officials say the tighter limits heighten the importance of directing international enrolment toward sectors facing persistent labour shortages, including construction, health care, education and science, technology, engineering and mathematics (STEM). As in previous years, publicly assisted colleges and universities will receive the overwhelming majority of PALs—96 per cent—while the remaining four per cent will be distributed among language schools, private universities and other institutions.
A notable policy shift takes effect in 2026: master’s and doctoral students enrolling at publicly assisted colleges and universities will no longer be required to obtain a PAL. However, these students will still be counted within Ontario’s overall cap for international study permits. Graduate students attending private institutions will continue to require attestation letters.
The province is also extending a practice introduced in 2025 that allows institutions to voluntarily return unused PALs partway through the year. Officials say the midyear reallocation helped maximize use of Ontario’s limited allotment and will be repeated in 2026 to avoid leaving permits unused while demand remains high in priority programs.
The federal government’s ongoing changes to international student policy have created uncertainty across Canada’s postsecondary sector, particularly for institutions that expanded rapidly during years of higher international enrolment. Ontario acknowledged the destabilizing effect of those shifts while emphasizing its own efforts to shore up the system through domestic investment.
According to the province, nearly $1 billion was committed through Budget 2025 to fund more than 100,000 additional seats at colleges, universities and Indigenous Institutes. Those seats are targeted at programs aligned with labour market needs, including nursing, teacher education, construction trades and STEM disciplines. The government is also working with postsecondary partners to modernize Ontario’s funding model, with the goal of creating a framework that is more responsive to economic conditions and long-term sustainability.
Building on the allocation approach used in 2025, the province says it is prioritizing the integrity of Ontario’s postsecondary system by attracting international students who are most likely to contribute to key economic sectors over the course of their careers. The emphasis reflects a broader shift toward viewing international education not only as an export industry, but also as a strategic component of workforce planning.
Students seeking to study in Ontario in 2026 will need to obtain an attestation letter through the admissions office of the institution where they have accepted an offer, unless they fall under the graduate-level exemption at a public institution. Additional guidance is available through the Ministry of Colleges, Universities, Research Excellence and Security.
As federal caps continue to tighten, Ontario’s strategy underscores a balancing act facing provinces nationwide: maintaining the financial and academic vitality of postsecondary institutions while ensuring international student programs align more closely with domestic labour market priorities.
