Ontario announces $6.4B funding boost, tuition changes for postsecondary sector 

Ontario premier speaks at a podium

February 12,2026

RED FM News Desk

The Ontario government has announced major changes to strengthen the province’s postsecondary education system, including $6.4 billion in new funding over four years, updated tuition rules, and reforms to the Ontario Student Assistance Program (OSAP). 

The funding will support colleges, universities, and Indigenous Institutes, with the goal of expanding in-demand programs, increasing capacity by 70,000 new seats, and improving long-term financial sustainability in the sector. Annual operating funding is set to rise to $7 billion, a 30 per cent increase and the highest level in Ontario’s history. 

Starting in Fall 2026, publicly funded institutions will be allowed to increase tuition by up to 2 per cent annually for three years, followed by increases capped at 2 per cent or the three-year average inflation rate, whichever is lower. The province says this will remain among the lowest tuition increase rates in Canada. On average, the change is expected to cost college students about $0.18 per day and university students $0.47 per day, with low-income students covered through enhanced financial support. 

Ontario is also reforming OSAP to improve sustainability, limiting grants to 25 per cent of total funding and increasing loans to at least 75 per cent. Grants will no longer be available for students attending private career colleges. 

Provincial officials say the measures are aimed at maintaining access to education, aligning programs with labour market needs, and ensuring Ontario remains competitive in research and workforce development.