Canada experienced a decrease in its population last year, marking the first annual net decline since Confederation. According to Statistics Canada’s latest quarterly estimate, the total population, including citizens, landed immigrants, and non-permanent residents, was 41,472,081 as of January 1, 2026. This figure reflected a 0.2% decrease, equivalent to over 102,000 individuals, compared to January 1, 2025.
Although the population saw an increase of more than 77,000 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 the number of non-permanent residents was identified as the primary factor contributing to the slowdown in population growth.
Statistics Canada reported a steady decrease in the number of non-permanent residents in Canada, dropping 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 claimants, and their accompanying family members.
The agency noted that it has been monitoring Canada’s population growth since 1867, with a shift in tracking from June 1 to January 1 starting in 1946. Prior to 2025, there had never been a year with a population decrease in this timeframe.
Furthermore, the government, led by former Prime Minister Justin Trudeau, initiated reductions in both permanent and temporary immigration following a surge during the post-pandemic labor shortage. The administration aimed to decrease the share of temporary residents in Canada’s population. The budget outlined plans to admit 385,000 temporary residents in 2026, a 43% reduction from the previous year, and 370,000 in 2027 and 2028. Additionally, the government set limits on new permanent residents at 380,000 annually between 2026 and 2028 to align with revised targets.
Statistics Canada cautioned that the preliminary estimate should be interpreted carefully due to potential updates from work and study permit extensions. The actual population change may vary when more complete administrative data become available in the coming months.