August 20, 2025
Canada’s International Student Program Faces Auditor General Probe
Canada’s Auditor General has launched a review of the international student program, citing concerns over housing shortages, rising asylum claims, and rapid enrolment growth. The audit is still in the planning phase, with findings to be presented in Parliament in 2026.
This marks a major step in assessing whether the program has been effectively managed and whether reforms are needed to keep it sustainable in the long run.
How Much Have International Student Numbers Grown?
- Canada hosted more than 1 million international students in 2023, up from roughly 333,000 a decade earlier
- The increase has generated major revenues for universities and colleges but has also contributed to housing demand, higher rents, and pressure on public services.
- Critics argue that the federal government failed to anticipate the broader consequences of this growth.
What Role Have Refugee Claims Played?
- In 2024, over 20,000 international students filed asylum claims, nearly double the number from the year before.
- In the first quarter of 2025 alone, 5,500 claims were filed, up 22% from the same period in 2024
This trend suggests that an increasing number of students are pursuing permanent residency through refugee pathways rather than traditional immigration streams.
How Has the Government Responded?
- In 2024, Ottawa introduced a two-year cap on study permits to reduce numbers by one-third.
- Permits dropped from 681,000 in 2023 to 516,000 in 2024, with a 2025 target of 437,000
- The cap has led to financial strain on many postsecondary institutions, prompting hiring freezes and layoffs.
Private colleges, in particular, have faced criticism for aggressive recruitment and concerns over admission standards.
What Issues Might the Audit Address?
Economists and policy experts believe the Auditor General will examine:
- The design and impact of permit caps.
- Student work rules and their effects on the labour market.
- Admissions quality control, especially in private colleges.
- The program’s connection to immigration and refugee trends
Economist Dr. Mikal Skuterud has called the audit an opportunity to assess whether the program is sustainable over the long term and to develop evidence-based recommendations.
What Does This Mean for Students and Institutions?
- Students may face tighter permit screening, stricter work-study regulations, and evolving residency pathways.
- Universities and colleges could experience budgetary pressures, especially those heavily reliant on international tuition fees.
- Policymakers may use the audit to reshape immigration and education frameworks in line with housing and labour market capacity.
Call to Action
Students, institutions, and stakeholders should watch the audit closely. We’ll continue to provide updates on how potential reforms could affect admissions, housing, and long-term immigration opportunities.
Hannah Cho
Hannah graduated from the J.D. program at Western Law in 2023. While in law school, Hannah was the Vice-President of the Western Law Charter Society, where she organized and moderated panel discussions on pressing legal issues concerning the Canadian Constitution and Charter rights. She also volunteered as a Student Clinician at the Law Student Legal Advice Program in British Columbia, where she gained experience handling a wide range of legal matters, including residential tenancy, employment and human rights law Before law school, Hannah received her B.A. (Hons.) with distinction from the University of Toronto, St. George, in Criminology and Book and Media Studies.
Prior to joining Bellissimo Law Group PC, Hannah worked as a student-at-law at a private immigration law firm, where she gained experience in Canadian immigration law by working on a range of matters including temporary residency applications, work permit applications, applications for permanent residence based on humanitarian and compassionate grounds, and she has also co-written several articles on immigration law for platforms such as Law360 and International Law News.