Canada Records Biggest Population Drop in 80 Years
Canada has recorded its largest quarterly population decline in at least 80 years, with official data showing a fall of 76,068 people (about 0.2%) between July and September 2025. The decrease marks a significant reversal from recent years of rapid population growth and reflects a sharp reduction in temporary residents, particularly international students and migrant workers.
What Drove the Decline
Statistics Canada data shows that the drop was driven mainly by a fall in non-permanent residents, who decreased by over 176,000 during the third quarter of the year. Non-permanent residents include students, temporary workers, and other temporary migrants whose numbers have fallen sharply as Canada tightened immigration and study permit rules. The reduction in international students was especially steep, with far fewer study permits issued in the latest quarter compared to previous years.
Historical Context
The most recent decline far exceeds previous population contractions. The only other fall on record occurred during the COVID-19 pandemic in 2020, when Canada’s population dipped slightly due to pandemic border restrictions. For much of the early 2020s, Canada had experienced strong population growth, largely fueled by immigration and temporary residents.
Impact and Future Outlook
The population drop highlights the impact of recent policy changes aimed at reducing temporary migration amid concerns about housing, infrastructure and labour market pressures. While permanent immigration has continued, the sharp drop in temporary residents has shifted demographic trends. Analysts say the effect on sectors such as education, housing and jobs will unfold in the coming months as the country adjusts to lower levels of non-permanent migration.
