Canada’s 2025 Mid-Year Immigration Overhaul: Key Policy Shifts You Must Know
Sweeping Changes Reshape the Future of Immigration in Canada
Canada’s immigration policies have undergone a major transformation in the first half of 2025. From permanent residence targets to new pilot programs and a revamped Express Entry system, Immigration, Refugees and Citizenship Canada (IRCC) has implemented sweeping changes that affect foreign nationals, students, workers, and entrepreneurs alike.
This mid-year review breaks down the most impactful changes and what they mean for individuals and families seeking to immigrate to Canada.
Lower Permanent Resident Targets & Focus on Temporary Residents Already in Canada
The 2025–2027 Immigration Levels Plan brought significant policy shifts:
- Reduced Permanent Resident Admissions: The overall PR targets were lowered to manage population growth more sustainably.
- Temporary Resident Admissions Targeted: For the first time, IRCC introduced numerical targets for temporary residents.
- Focus on In-Canada Candidates: Over 40% of 2025 PR spots are reserved for individuals already in Canada as workers or students.
- Refugee Intake Decreased: Canada has reduced refugee and protected person admissions.
Provincial Nominee Program (PNP) Drastically Cut
- 50% Reduction in Federal Allocations: Provinces saw their nomination spaces slashed.
- Stricter Eligibility in Several Provinces: Many PNP streams were paused or adjusted to exclude occupations outside high-demand sectors like healthcare and construction.
- New Expression of Interest Systems: Introduced in Newfoundland and Labrador and Yukon to increase control over candidate selection.
New Immigration Pathways Launched
IRCC introduced four new job-offer dependent immigration pilots:
- Rural Community Immigration Pilot (RCIP): Targets labor shortages in designated rural areas.
- Francophone Community Immigration Pilot (FCIP): Encourages French-speaking immigration outside Quebec.
- Home Care Worker Pilots (Child Care & Home Support): For eligible NOC codes; streams for in-Canada applicants opened in March and capped out in one day.
Express Entry Sees Major Overhaul
- Arranged Employment Points Removed: Candidates no longer earn CRS points for LMIA-backed job offers (as of March 25, 2025).
- Updated Category-Based Selection:
- New “Education” category introduced
- “Transportation” category removed
- Other categories updated—healthcare and trade occupations prioritized
- Priority Occupations: 2025 priority draws favor French speakers, healthcare workers, and skilled trades professionals.
Leadership Changes: A New Era in Immigration Governance
- New Prime Minister: Mark Carney, sworn in March 14, 2025, promised to stabilize immigration to pre-pandemic levels.
- Cabinet Reshuffle: Rachel Bendayan became immigration minister in March, succeeded by Lena Diab in May.
Temporary Public Policy Extensions
- Open Work Permits for PNP Nominees extended until December 31, 2025
- Special Measures for Ukrainians and Iranians continued
- Closed Work Permit Flexibility: Workers can switch jobs after formal approval
- IEC Applicants Can Apply From Within Canada (until Dec 1, 2025)
- Judicial Review Deadline Extended to 75 days to ease court backlog
International Students Face New Restrictions
- Study Permit Cap: Capped at 550,162 applications, 10% fewer approvals than 2024
- PGWP Program Changes: 119 new fields of study added; 178 removed
- Spousal Work Permits Tightened: Only spouses of master’s, PhD, or high-skilled workers qualify
- New Transfer Rule: Students must apply for a new permit before changing schools (as of May 1, 2025)
- Provincial Attestation Letter (PAL) now mandatory for master’s and PhD students
Permanent Residence Pathways & New Legislation
- Construction Worker PR Pathway Announced: Aimed at addressing housing shortages; up to 14,000 applicants
- Parents & Grandparents Program (PGP) Cap Raised to 25,000 for 2025
- Maintained Status Changes: Second applications no longer extend status if first is refused
- Citizenship Bill C-3: Would allow children of Canadians born abroad to inherit citizenship even if parents were citizens by descent
- Bill C-2 (Asylum Reform): Proposes restrictions on late claims and irregular border entries
Quebec Asserts More Immigration Control
- Suspension of PEQ – Worker Stream and caps on temporary workers in Montreal
- 2026–2029 Immigration Levels Plan expected in October 2025
- Demand for Reduced IMP Permits: Quebec wants federal work permits cut in half before it increases its own PR targets
Super Visa and Construction Study Permit Updates
- Super Visa Insurance Expanded: Non-Canadian insurers authorized (if on OFSI list)
- No Study Permit Needed for Some Apprenticeships: Applies to foreign construction workers with job offers and agreements (Feb 2025–Feb 2027)
Looking Ahead: What These Changes Mean for You
Canada is transitioning from open, high-volume immigration to more targeted, labor-driven policies with a focus on sustainability, regional balance, and in-Canada applicants. Whether you’re a student, skilled worker, entrepreneur, or family sponsor, staying informed is key to planning your Canadian future.
For a consultation about Immigration options, reach out to the CAD IMMIGRATION today!
