Nov 10, 2026
“They all run out like sheep.”
That’s how Ontario Premier Doug Ford described students who walked out of class on Nov. 5 to protest changes to the Ontario Student Assistance Program (OSAP). Speaking to reporters on Nov. 9, Ford also called the protesters “naive,” saying they were swayed by social media.
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Behind the protests is a sharp change in how OSAP pays out: much more of the money students receive now has to be paid back. Knowing how those loans are charged, and which grants are still available, can make a real difference to what a degree or diploma ends up costing.
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What changed with OSAP this fall?
On Feb. 12, the Ontario government announced it would slash the maximum share of provincial OSAP funding that students can receive as grants from 85% to 25%. The change applies to programs that start on or after Aug. 1, 2026, so more of the money students receive this year will come back as a monthly bill after graduation.
The province also lifted its seven-year tuition freeze. Publicly assisted colleges and universities can now raise tuition by up to 2% a year for three years. After that, increases are capped at 2% or the three-year average rate of inflation, whichever is lower. The government paired the changes with $6.4 billion in new post-secondary funding over four years.
The province says the grant cap protects OSAP’s long-term sustainability and brings Ontario in line with other provinces. According to the province, OSAP costs reached $2.7 billion in 2025-2026, and Ontario spent $1.7 billion on grants in 2024-2025, a 143% increase over 2020 levels.
Your total aid may not shrink, though. When CBC News ran a sample estimate through the updated OSAP calculator, one student’s total 2026-2027 funding rose to $9,500 compared to the previous year.
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Why are students pushing back?
Ford made his remarks at a Peterborough press conference, days after students on 15 post-secondary campuses walked out of class. Student groups argue the change redirects costs onto the students who are least able to carry them.
University Affairs, a publication covering Canada’s higher education sector, reported that students are increasingly turning to bank loans, savings and extended family in order to afford school.
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Additionally, a University of Toronto master’s student told The Varsity, the school’s student newspaper, that he “would not have been able to make it through” his four years without OSAP.
How much will a loan-heavy OSAP package cost to repay?
OSAP loans come in two parts, and they’re charged differently. The federal portion has been interest-free since April 1, 2023. The Ontario portion charges prime plus 1%; that interest starts building during your six-month grace period and is added to your balance.
Repayment is typically based on a 9.5-year schedule. In this hypothetical example, a student assessed for $12,000 in provincial aid could have previously received up to $10,200 as grants. Under the new cap, no more than $3,000 can be issued as grants.
If payments become unaffordable, the Repayment Assistance Plan (RAP) can lower them. A single borrower with no dependents and a gross family income under $2,083 per month may not have to make provincial payments. Federal and provincial assistance have separate eligibility rules, so you may qualify for different relief on each portion of your loan.
Which grants can Ontario students still get?
The 25% cap applies to provincial funding. Federal grants are assessed separately through the same application. The Canada Student Grant for Full-Time Students pays up to $4,200 a year ($525 per month of study) depending on family income. That amount reflects a temporary 40% increase that runs until July 31, 2027.
Students at private schools face tighter rules. As of Aug. 1, 2026, Ottawa generally limits the federal full-time grant to students at public and not-for-profit private institutions, with exemptions for some programs. Provincially, students at private career colleges now receive all of their OSAP funding as loans. Separately, the province has paused OSAP funding for students at private postsecondary institutions for 2025-2026 and 2026-2027 while it audits the sector.
What to do now
- Run your numbers through the OSAP aid estimator to see how much of your package is grants versus loans
- Apply early each term for your school’s bursaries and scholarships
- Put extra payments toward the Ontario portion first, since the federal portion is interest-free
- Apply for Continuation of Interest-Free Status if you return to full-time studies without taking OSAP
- Apply to RAP if payments become unaffordable, and reapply every six months
- Keep up with payments, since a loan goes into default after 270 days of missed payments, which can lead to wage garnishment and credit bureau reporting
Whether the protests move Queen’s Park or not, most students now face a practical decision: how much to borrow, which debt to pay first and when to ask for help.
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Writer and editor based in Toronto with experience in personal finance, insurance, arts and culture and branded content.
