- Language school enrollment dropped thirteen percent following strict Canadian visa caps and policy shifts.
- A sharp nineteen percent decrease in student weeks signals shorter stays and reduced economic impact.
- New rules require provincial attestation letters and restrict transfers between language schools and universities.
Languages Canada said its annual report for 2025 shows Canada’s language schools are losing students fast under visa curbs and a study permit cap. The group released the report on August 14, 2026. The numbers are down.
Gonzalo Peralta blamed policy, not demand.
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"The sector is now in a state of crisis. it is the policy environment that most decisively undermined the sector’s stability and growth."
The report put numbers on the downturn. Enrollment fell. Class time fell too. The slide was broad.
Even the sector’s economic footprint weakened. The figures point the same way.
The annual report said:
| Metric | Figure | Note |
|---|---|---|
| Total student numbers | 13% lower | 2025 compared with the previous year |
| Student weeks | 19% lower | Less time spent in language classes |
| Direct economic contribution | CA$1.03 billion | Down 1% after a 13% drop in the prior year |
The approval gate also narrowed. The association said study permit approval for language programs fell to 36% in the last year. Immigration, Refugees and Citizenship Canada set a 2026 ceiling of 155,000 new international student arrivals, a 49% cut from the 2025 target of 305,900. The intake gate narrowed fast.
More paperwork now sits between an application and a classroom
Most applicants now need a provincial attestation letter before IRCC will process a study permit. The Student Direct Stream has been discontinued. Everyone now moves through the standard processing stream, which currently takes 7-12 weeks. That route is closed.
Students shifting from one institution to another face another barrier. Anyone moving from a language school to a university now needs a separate study permit. That has disrupted pathway programs. Transfers are harder.
Students also have to align their studies with Canada’s 1107 eligible Classification of Instructional Programs codes if they want post-graduation work rights. The rule narrows the options. Not every course fits.
Ottawa was not the only capital tightening the route
The Department of Homeland Security published a final rule on July 17, 2026, titled "Establishing a Fixed Time Period of Admission and an Extension of Stay Procedure for Nonimmigrant Academic Students, Exchange Visitors, and Representatives of Foreign Information Media." It takes effect on September 15, 2026. The change closes another door.
"Under the new final rule, F students will be admitted to the United States for a fixed period of time instead of duration of status. not to exceed four years."
That rule covers F, J and I nonimmigrants. It ends open-ended admission and pushes anyone who needs more time to file Form I-539 with USCIS. English language training gets its own limit, with F-1 students in those programs capped at an aggregate 24-month stay. The tightening reached both sides of the border.
Smaller provinces took the harder hit
An Auditor General of Canada report on July 13, 2026 said the reduction in study permits has "disproportionately affected smaller provinces" and produced a "sharper decline than forecasted." The hit was uneven. Some places felt it first.
