Mohawk College faces $1.4M deficit after decline in international student enrolment

One of Hamilton’s biggest institutions is feeling the pain of the federal government’s cap on international students.

Mohawk College is facing a $1.4 million deficit primarily due to a decline in international student enrolments.

In financial documents, student fees revenue dropped by $78.6 million last year.

In the 2024-2025 fiscal year, the student fees revenue was about $202 million, then in the following year that number dropped to just over $123 million.

The documents also show that back in 2024, when the cap on international students was announced, the student fees revenue was just over $209 million.

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The federal government had put the cap on international enrolment looking to ease pressure on health care, housing, and other infrastructure.

Since then, Mohawk College has cut hundreds of positions.

Mohawk college said in an email Friday that they expect international enrolment to begin stabilizing this year, adding that the college has planned for these enrolment levels and taken a number of steps to strengthen its financial position.

It projects a surplus of around $5 million this year, representing more than 1.5 per cent of projected total revenue.

Maïca Murphy, the vice president of Higher Education Strategy Associates, says schools may make a few changes in the future due to the impacts of the international student cap.

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“And it could mean that some opportunities for education for students are narrowed, meaning we value experiential learning, we value all sorts of different types of learning in college, but a lot of those are expensive to offer,” said Murphy.

“Some of the colleges, particularly if they are running deficits year over year, may not be able to offer the same caliber or variety of experiences that they have, when they had more international students. On the flip side, you could see an increase in partnerships between institutions, and we’re seeing a couple of examples of that already.”

Niagara College’s student tuition and fees revenue also dropped.

In 2025, it was just over $253 million, but in 2026 it was at around $104 million.

Niagara College says it is actively adapting to sector-wide enrolment shifts, but says it is entering this period carrying zero debt, and maintaining a $59.5 million reserve balance.

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