StatementMinistry of Colleges, Universities, Research Excellence and SecurityOctober 6, 2026
Ontario pauses OSAP payments to private postsecondary schools
Students at private postsecondary institutions may face a funding gap while the province audits OSAP applications and considers new loan options.
Summary
Ontario has paused all OSAP payments associated with private postsecondary institutions while an independent KPMG audit continues. The release does not give a timeline for when payments may resume.
- Audit and oversight: Preliminary findings raised concerns about student verification, enrolment and outcomes, and concentrations of applications from the same locations. The province has notified the Auditor General and referred the matter to the Ontario Provincial Police.
- Eligibility changes: Six campuses received non-renewal notices in May 2026 and have since had their OSAP eligibility suspended. Private institutions will face stricter criteria to regain eligibility. The government intends to introduce legislation excluding predominantly online programs at private career colleges from OSAP eligibility.
- Student support: The province is discussing low-interest loans from third-party lenders for students at private postsecondary institutions. Details are not yet available.
Source: Ontario Newsroom