With international students keen to stay and work in Canada after graduation, the move by the government has put the entire business model into disarray.

As of early 2023, there were at least 14 colleges in the province that had partnered with private companies according to government data, including:

• ILAC International College partners with both Fanshawe College and Georgian College at campuses in Toronto
• Trios College works at Sault College of Applied Arts and Technology at Trios College in Toronto; and Sault College of Applied Arts and Technology at Trios College Business Technology Healthcare Inc in Brampton.
• The Mohawk College of Applied Arts and Technology at triOS College Business Technology Healthcare Inc is in Mississauga.
• CDI College Business, Technology and Healthcare operates with Algonquin College
• Stanford International College of Business and Technology with Canadore College
• Ace Acumen Academy with St. Clair College
• Fleming College at Trebas Institute Ontario Inc
• Loyalist College at Toronto Business College
• Niagara College Canada at Toronto School of Management
• Sheridan College has a campus with Canadian College of Technology and Trades in Fort Erie
• Cambrian College of Applied Arts and Technology at Hanson College of Business, Health and Technology with campuses in Brampton and Toronto
• Lambton College at Queen’s College of Business, Technology and Public Safety, and Lambton College at Cestar College of Business, Health and Technology
• St. Lawrence College at Alpha College of Business and Technology

As many of Ontario’s institutions struggle financially, they have increasingly turned to these partnerships with the private sector to boost their income. Growth in the province’s public college market has been driven by private partnership revenues in recent years, increasing from CAN$268.2 million in 2020/21 to $420.3 million in 2021/22, according to figures from Sheridan College.

Fanshawe College opened its Toronto campus with ILAC in 2022, with the goal to build sustainable, complementary sources of revenue, according to the organisation’s 2022/23 annual report.

Overall enrolment reached 1,267 students (19% above target) by the end of its first year and the partnership was partially behind a 29% increase in revenue from full-time international students to $59m in  2021/22.

Fanshawe’s total expenditure increased by $38.6m to support increased enrolments, including the new campus and additional on-campus costs as a result of recovery from the pandemic.

It is not clear what will happen to the partnership now, which is due to run for a total of 10 years. Some PPP with summer intakes may try to enrol as many students as possible before the PGWP eligibility is taken away from September 1.

Similarly, Sheridan College announced a campus together with Canadian College of Technology and Trades in Fort Erie in May last year.

In the organisation’s annual report, bosses said that private partnerships had made the local international market increasingly competitive, but that political concerns – some of which have now been realised thanks to the federal government’s latest measures – “threaten ability” to grow international enrolment.

In Brampton, which is home to several public private colleges, mayor Patrick Brown was one of those calling for caps on international students and more measures linking student visas, institutions and housing availability.

Municipalities like Brampton “carry the responsibility of creating conditions to help international students thrive”, he said.

“These are international students being taken advantage of. Essentially this has become an ATM for these colleges.”

CICan has noted that many international students pursue post-graduate programs to “enhance previously acquired degrees earned in their home country and align them with Canadian qualifications”.

The group has called for increased provincial investment to sustain capacity to “meet students’, community’s, and employers’ needs”.

“Chronic public underinvestment in post-secondary education puts Canada’s world-class system at risk. Without significant reinvestment, we risk compounding the challenges facing Canada’s economy and society, especially in the context of fierce global competition,” it said.

Sheridan declined to comment – Fanshawe had not responded to requests for comment by time of publication.