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Canada is preparing to implement significant policy updates under its upcoming Immigration Levels Plan 2026–2028, as outlined in Budget 2025. Among the major announcements, the government will introduce a new initiative to transition up to 33,000 work permit holders to permanent residency between 2026 and 2027.
According to the federal government, the upcoming Immigration Levels Plan 2026–2028 will bring a balanced approach to immigration by adjusting both temporary and permanent residence targets. Key changes include:
Meanwhile, the permanent residence admissions target for 2026 remains at 380,000, unchanged from last year’s plan. However, economic immigration will take a larger share 64% of total admissions, compared to 59% previously.
For 2027, the notional target for permanent residence admissions will be 380,000, marking a 4% increase from the previous projection of 365,000. The plan will also consider the unique needs of rural and remote communities, as well as sectors impacted by trade challenges.
The Liberal minority government, led by Prime Minister Mark Carney, tabled Budget 2025 in Parliament on November 4, 2025. Further details about the Immigration Levels Plan 2026–2028 will be provided in the Annual Report to Parliament on Immigration, expected later this year.
Although the new plan lowers targets for temporary residents, this adjustment is primarily administrative and may not significantly impact actual admissions. Data from January to August 2025 shows that Canada admitted 154,515 temporary foreign workers only 42% of its annual target and 89,430 international students, which represents 29% of the goal for 2025.
Prime Minister Mark Carney has indicated that Canada’s Temporary Foreign Worker Program (TFWP) will be restructured to focus on strategic sectors and regional priorities.
However, Budget 2025 does not specify how admissions will be divided between the TFWP and the International Mobility Program (IMP). Historically, the IMP has accounted for the majority of work permits issued.
In 2025, the government set a target of 285,750 admissions under the IMP and 82,000 under the TFWP. For 2026, both streams will need to expand slightly to meet the new combined target of 230,000, compared to 210,700 in the previous plan.
The permanent residence target for 2026 will remain steady at 380,000, but there are minor shifts within individual categories:
These changes reflect the government’s emphasis on attracting skilled talent through economic immigration pathways while maintaining balanced support for family and humanitarian programs.
The Immigration Levels Plan serves as a roadmap outlining how many temporary and permanent residents Canada will admit over the next three years. While the targets for the first year are firm, those for the subsequent years remain provisional and may be adjusted as needed.
Last year’s plan marked the first inclusion of temporary resident targets, reducing overall permanent residence goals by about 20% from the 2024–2026 plan.
Under the latest framework, the government’s top-level targets will be as follows:
This represents a notable decrease from previous years, primarily due to the government’s focus on sustainability and responsible growth in international student admissions.
The Immigration Levels Plan 2026–2028 marks a strategic shift in Canada’s approach to immigration. By providing pathways to permanent residency for work permit holders and streamlining temporary resident admissions, the government aims to maintain economic stability while addressing regional labor market needs.
This balanced approach underscores Canada’s long-term vision to attract skilled workers, support communities, and ensure that immigration continues to drive the nation’s growth and prosperity.