Canada experienced a decrease in its population last year, marking the first instance of a net decline in residents since Confederation. Statistics Canada’s latest quarterly estimate revealed that as of January 1, 2026, the country’s population of citizens, landed immigrants, and non-permanent residents totaled 41,472,081, showing a 0.2% decrease compared to January 1, 2025, equating to over 102,000 individuals.
While the population saw a slight increase of over 77,000 people in the first half of the year, it was offset by a decline of nearly 180,000 in the latter half of 2025. The reduction in non-permanent residents was identified as the primary factor contributing to the slowdown in population growth.
According to StatsCan, the number of non-permanent residents in Canada dropped from 3,149,131 on October 1, 2024, to 2,676,441 on January 1, 2026. Non-permanent residents encompass individuals with work or study permits, asylum seekers, and their accompanying family members.
The agency noted that it has been monitoring Canada’s population growth since 1867, with population tracking shifting from June 1 to January 1 after 1946. Prior to 2025, there had never been a year where the population decreased in Canada.
Statistics Canada cautioned that the preliminary estimate should be approached carefully as extensions of work and study permits could lead to significant updates in the upcoming months, potentially altering the reported population decrease.
Changes in immigration policies were highlighted, with the government, led by former Prime Minister Justin Trudeau, scaling back both permanent and temporary immigration following a surge in post-pandemic labor shortages. Prime Minister Mark Carney’s administration continued this trend by reducing the number of temporary residents admitted to Canada in 2026 by 43% compared to the previous year, with further decreases planned for 2027 and 2028.
The government also announced limitations on the intake of new permanent residents, setting the target at 380,000 annually between 2026 and 2028. The decrease in permanent immigrants in the last quarter of 2025 aligned with the new immigration targets set by the Liberal government.