Province announces changes to post-secondary funding, tuition and OSAP

The province of Ontario has announced funding changes to publicly supported post-secondary education starting as early as Fall 2026.

It says new funding of $6.4 billion over four years will flow to colleges, universities, and Indigenous institutes to strengthen long-term sustainability and student access.

This is described as the largest investment in post-secondary operating funding in the province’s history, raising annual operating funding to about $7 billion and adding funding for roughly 70,000 more in-demand seats.

The province says it is also ending a long-standing tuition freeze. Publicly funded colleges and universities will be able to increase tuition by up to 2 per cent per year for the next three years. After that, increases will be capped at 2 per cent or at the three-year average rate of inflation (whichever is lower).
The province says the framework is intended to support sustainability while keeping tuition increases among the lowest in Canada.

Changes to OSAP (Ontario Student Assistance Program)

• Starting Fall 2026, students will be eligible for a maximum of 25% of their provincial OSAP funding as non-repayable grants and a minimum of 75% as repayable loans.
• OSAP grants will no longer be available for students at private career colleges. The government says this change aligns Ontario’s student aid with other provinces and aims to ensure the long-term sustainability of the program.

The release states that three principles guide the plan. Preparing students for in-demand careers that meet labour-market needs. Preserving access to high-quality post-secondary education and supporting student investment in their success, and providing long-term sustainability for the post-secondary sector while advancing research excellence and addressing student and labour-market demand.

The government estimates the tuition increases will amount to, on average, about $0.18 per day for college students and $0.47 per day for university students. The release notes that an enhanced Student Access Guarantee will be negotiated with institutions to support students from lower-income backgrounds if costs exceed their financial aid.

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