Ministry of Colleges, Universities, Research Excellence and Security: 2026 Spending Plan Review

Publish date: September 23, 2026 ISSN 2819-6961
This report reviews the Ministry of Colleges, Universities, Research Excellence and Security spending plan as outlined in the 2026 Ontario Budget.
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About this document

Established by the Financial Accountability Officer Act, 2013, the Financial Accountability Office of Ontario (FAO) provides independent analysis on the state of the Province’s finances, trends in the provincial economy and related matters important to the Legislative Assembly of Ontario.

Prepared by: Ava Rahbari (Financial Analyst), Michelle Gordon (Manager, Financial Analysis) and Matthew Stephenson (Senior Manager, Financial Analysis) under the direction of Matthew Gurnham (Director, Financial Analysis) and Luan Ngo (Chief Financial Analyst).

This report has been prepared with the benefit of publicly available information and information provided by the Ministry of Colleges, Universities, Research Excellence and Security, the Ministry of Finance and Treasury Board Secretariat.

In keeping with the FAO’s mandate to provide the Legislative Assembly of Ontario with independent economic and financial analysis, this report makes no policy recommendations.

© King’s Printer for Ontario, 2026

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Ministry of Colleges, Universities, Research Excellence and Security: 2026 Spending Plan Review, Financial Accountability Office of Ontario, 2026.
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1. Summary

At the request of Members of Provincial Parliament, this report reviews the Government of Ontario’s (the Province’s) Ministry of Colleges, Universities, Research Excellence and Security (MCURES or ministry) spending plan as outlined in the 2026 Ontario Budget.

Spending Plan Overview

Spending Plan Analysis

Interprovincial Comparison

2. Introduction

This report reviews the Government of Ontario’s (the Province’s) Ministry of Colleges, Universities, Research Excellence and Security (MCURES or ministry) spending plan as outlined in the 2026 Ontario Budget.

This analysis was undertaken in response to research requests from Members of Provincial Parliament and is part of a series that reviews the 2026 spending plans for five ministries: Children, Community and Social Services; Colleges, Universities, Research Excellence and Security; Education; Health; and Long-Term Care.

The report is organized as follows:

For additional information on the Ministry of Colleges, Universities, Research Excellence and Security’s spending plan, see the FAO’s 2026-27 Expenditure Estimates Dashboard, which allows users to review the ministry’s 2026-27 Expenditure Estimates to the standard account level of detail and compare 2026-27 requested spending against spending between 2021-22 and 2025-26.

3. Spending Plan Overview

In the 2026 Ontario Budget, the Province projects that MCURES spending will decline from $13.6 billion in 2025-26 to $12.7 billion in 2028-29, representing an average annual decrease of 2.2 per cent. By comparison, MCURES spending grew at an average annual rate of 5.3 per cent over the previous three years from 2022-23 to 2025-26.

Figure 3.1 Ministry of Colleges, Universities, Research Excellence and Security spending plan in the 2026 Ontario Budget

Note: Historical values are not restated for program transfers or reclassifications, if any. 2025-26 value is an FAO estimate of unaudited spending and may contain differences from the final audited spending reported in the 2025-26 Public Accounts of Ontario.

Source: Ontario Public Accounts, the 2026 Ontario Budget and FAO analysis.

Accessible version
2022-23 to 2025-26
Historical
2025-26 to 2028-29
2026 Ontario Budget
5.3 -2.2
Historical 2026 Ontario Budget
Historical 2022-23 11.6
Historical 2023-24 13.2
Historical 2024-25 14.1
Historical 2025-26 13.6
2026 Ontario Budget 2026-27 14.0
2026 Ontario Budget 2027-28 12.8
2026 Ontario Budget 2028-29 12.7

For context, over the 36-year period from 1990-91 to 2025-26, MCURES spending grew at an average annual rate of 4.0 per cent.[2] The Province’s MCURES spending plan in the 2026 budget calls for significantly slower spending growth compared to the 36-year average and if achieved, would be the slowest three-year growth rate since 2017-18 to 2020-21.

2026 Spending Plan Compared to 2025 Spending Plan

Compared to the MCURES spending plan in the 2025 Ontario Budget, the MCURES spending plan in the 2026 Ontario Budget has increased by a total of $1.4 billion from 2025-26 to 2027-28. This includes additional spending of $0.6 billion in 2025-26 and $0.9 billion in 2026-27.

Figure 3.2 Ministry of Colleges, Universities, Research Excellence and Security spending plan in the 2025 and 2026 Ontario Budgets

Note: Historical values are not restated for program transfers or reclassifications, if any. 2025-26 historical value is an FAO estimate of unaudited spending and may contain differences from the final audited spending reported in the 2025-26 Public Accounts of Ontario.

Source: Ontario Public Accounts, 2025 Ontario Budget, 2026 Ontario Budget and FAO analysis.

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Historical 2026 Ontario Budget 2025 Ontario Budget
2022-23 11.6
2023-24 13.2
2024-25 14.1 14.1
2025-26 13.6 13.6 13.0
2026-27 14.0 13.1
2027-28 12.8 12.8
2028-29 12.7

Spending Plan Compared to Cost Drivers

At the request of the Members of Provincial Parliament, the FAO estimated MCURES spending over the next three years that would be required to maintain 2025-26 service levels. Also known as a cost driver projection, this scenario does not recommend how spending should change but serves as a benchmark to show whether the 2026 budget’s MCURES spending plan is likely to maintain, improve or reduce the quality and accessibility of ministry services.

Overall, the FAO estimates that MCURES spending would need to grow by an average annual rate of 3.2 per cent over the next three years to maintain current ministry service levels. The components of the FAO’s cost driver projection vary by program area:

Figure 3.3 Comparing Ministry of Colleges, Universities, Research Excellence and Security spending growth, FAO cost driver projection vs. 2026 Ontario Budget, 2025-26 to 2028-29

Source: 2026 Ontario Budget and FAO analysis.

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FAO Cost Driver Projection 2026 Ontario Budget
3.2 -2.2

As noted above, in the 2026 budget, the Province projects that MCURES spending will decrease at an average annual rate of 2.2 per cent from 2025-26 to 2028-29. Compared to the FAO’s cost driver projection, this results in excess funding of $0.1 billion in 2026-27 and funding shortfalls of $1.7 billion in 2027-28 and $2.2 billion in 2028‑29.

Figure 3.4 Comparing Ministry of Colleges, Universities, Research Excellence and Security spending projections, FAO cost driver projection vs. 2026 Ontario Budget

Note: Historical values are not restated for program transfers or reclassifications, if any. 2025-26 historical value is an FAO estimate of unaudited spending and may contain differences from the final audited spending reported in the 2025-26 Public Accounts of Ontario.

Source: Ontario Public Accounts, 2026 Ontario Budget and FAO analysis.

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Historical 2026 Ontario Budget FAO Cost Driver Projection
Historical 2022-23 11.6
Historical 2023-24 13.2
Historical 2024-25 14.1
Historical 2025-26 13.6 13.6 13.6
Projection 2026-27 14.0 13.9
Projection 2027-28 12.8 14.4
Projection 2028-29 12.7 14.9

The funding shortfall starting in 2027-28 means that, to maintain current service levels, the Province will need to implement program efficiencies (i.e., provide the same level of services with less resources) and/or commit additional funding beyond what was planned in the 2026 Ontario Budget.

4. Spending Plan Analysis

At the request of the Members of Provincial Parliament, this chapter reviews the FAO’s estimate of the impact of the Ministry of Colleges, Universities, Research Excellence and Security (MCURES) spending plan in the 2026 budget on select service level indicators, including inflation-adjusted funding per-domestic student to public colleges and universities, Ontario Student Grant recipients as a share of Ontario-resident postsecondary students and the average inflation-adjusted Ontario Student Grant per recipient.

Provincial Operating Funding to Public Colleges

MCURES provides funding to Ontario’s 24 public colleges to support domestic students. In 2025-26, the FAO estimates that the ministry provided $7,768 in operating funding per full-time equivalent (FTE) domestic student, on an inflation-adjusted basis (i.e., in real 2026-27 dollars). Based on the MCURES spending plan in the 2026 budget, the FAO estimates that real ministry funding will increase to $10,195 per FTE domestic student in 2026-27, and then decline to $9,840 in 2027-28 and $9,571 in 2028-29.

Figure 4.1 Provincial operating funding to public colleges per FTE domestic student, inflation-adjusted, 2016-17 to 2028-29

Source: Ontario Public Accounts, 2026 Ontario Budget and FAO analysis of information provided by the Province.

Accessible version
Historical 2026 Ontario Budget
Historical 2016-17 9,050
Historical 2017-18 9,006
Historical 2018-19 9,375
Historical 2019-20 8,514
Historical 2020-21 9,388
Historical 2021-22 8,649
Historical 2022-23 8,638
Historical 2023-24 7,625
Historical 2024-25 7,720
Historical 2025-26 7,768
2026 Ontario Budget 2026-27 10,195
2026 Ontario Budget 2027-28 9,840
2026 Ontario Budget 2028-29 9,571

Provincial Operating Funding to Universities

MCURES provides funding to the province’s 23 public universities to support domestic students. Ministry operating funding to universities was $9,310 per FTE domestic student in 2025-26, on an inflation-adjusted basis (i.e., in real 2026-27 dollars). Based on the MCURES spending plan in the 2026 budget, the FAO estimates that real ministry operating funding to universities per FTE domestic student will increase to $10,356 in 2026-27, and then decline to $9,689 in 2027-28 and $9,462 in 2028-29.

Figure 4.2 Provincial operating funding to public universities per FTE domestic student, inflation-adjusted, 2016-17 to 2028-29

Source: Ontario Public Accounts, 2026 Ontario Budget and FAO analysis of information provided by the Province.

Accessible version
Historical 2026 Ontario Budget
Historical 2016-17 11,286
Historical 2017-18 11,277
Historical 2018-19 11,108
Historical 2019-20 11,107
Historical 2020-21 10,335
Historical 2021-22 9,875
Historical 2022-23 9,586
Historical 2023-24 9,373
Historical 2024-25 9,085
Historical 2025-26 9,310
2026 Ontario Budget 2026-27 10,356
2026 Ontario Budget 2027-28 9,689
2026 Ontario Budget 2028-29 9,462

Student Financial Assistance Programs

The ministry’s student financial assistance programs are comprised of loans, grants, scholarships and repayment assistance. Of the grants available to postsecondary students, the Ontario Student Grant (OSG) forms the largest share at 91.7 per cent in 2025-26. The OSG is an income-tested, needs-based grant available to all postsecondary students who are residents of Ontario[3] taking an eligible course load in an approved program. Other grants such as disability grants and the Ontario Learn and Stay Grant are available to students with more targeted eligibility.

Beginning in the 2026-27 academic year, the Province implemented changes to student financial assistance programs, including reducing the amount of funding that students enrolled in public colleges and universities may be eligible to receive as provincial grants, and eliminating provincial grants for students enrolled in private career colleges.[4]

Ontario Student Grant Recipients as a Share of Ontario-resident Postsecondary Students

In the 2025-26 academic year, the FAO estimates that 59.0 per cent of Ontario-resident postsecondary students received the OSG. Based on the change in OSG funding eligibility announced by the Province, the FAO estimates that the share of Ontario-resident postsecondary students who will receive the OSG will decrease to 37.3 per cent in 2026-27, 36.4 per cent in 2027-28 and 35.8 per cent in 2028-29.

Figure 4.3 Share of Ontario-resident postsecondary students who receive the Ontario Student Grant, 2017-18 to 2028-29 academic years

Note: Other includes Ontario-resident students attending a postsecondary institution outside of Ontario.

Source: 2026 Ontario Budget, and FAO analysis of information provided by the Province and custom tabulation from Statistics Canada’s Postsecondary Student Information System (PSIS).

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Public Colleges Universities Private Career Colleges Other Total
Historical 2017-18 23.8 38.0 2.9 2.0 66.7
Historical 2018-19 25.8 40.9 3.6 2.3 72.6
Historical 2019-20 17.4 24.1 3.2 1.6 46.3
Historical 2020-21 11.8 17.3 3.6 1.2 33.9
Historical 2021-22 12.4 19.6 4.1 1.3 37.4
Historical 2022-23 12.4 20.3 5.7 1.4 39.8
Historical 2023-24 14.8 21.2 9.1 1.4 46.6
Historical 2024-25 15.4 20.6 13.9 1.4 51.4
Historical 2025-26 16.9 21.7 18.8 1.6 59.0
2026 Ontario Budget 2026-27 16.1 19.6 1.6 37.3
2026 Ontario Budget 2027-28 15.7 19.1 1.6 36.4
2026 Ontario Budget 2028-29 15.5 18.8 1.5 35.8

Average Ontario Student Grant Per Recipient Enrolled Full-time in Public Colleges

In the 2025-26 academic year, the average OSG per recipient enrolled full-time in Ontario’s public colleges was $5,889, after adjusting for inflation (i.e., real 2026-27 dollars).[5] Based on the changes to OSG funding announced by the Province, the FAO estimates that the average real OSG per recipient enrolled full-time in Ontario’s public colleges will decline to $2,269 in 2026-27, $2,204 in 2027-28 and $2,192 in 2028-29.

Figure 4.4 Average Ontario Student Grant per recipient enrolled full-time in Ontario’s public colleges, inflation‑adjusted, 2017-18 to 2028-29 academic years

Note: Historical data is based on information provided by MCURES. 2025-26 value is based on preliminary information as of September 9, 2026 and is subject to change once academic year-end data is finalized.

Source: 2026 Ontario Budget and FAO analysis of information provided by the Province.

Accessible version
Historical 2026 Ontario Budget
Historical 2017-18 4,756
Historical 2018-19 5,116
Historical 2019-20 4,428
Historical 2020-21 4,279
Historical 2021-22 4,443
Historical 2022-23 4,326
Historical 2023-24 4,314
Historical 2024-25 4,259
Historical 2025-26 5,889
2026 Ontario Budget 2026-27 2,269
2026 Ontario Budget 2027-28 2,204
2026 Ontario Budget 2028-29 2,192

Average Ontario Student Grant Per Recipient Enrolled Full-time in Universities

In the 2025-26 academic year, the average OSG per recipient enrolled full-time in Ontario’s public universities was $4,225, after adjusting for inflation (i.e., real 2026-27 dollars).[6] Based on the changes to OSG funding announced by the Province, the FAO estimates that the average real OSG per recipient enrolled full-time in Ontario’s public universities will decline to $1,716 in 2026-27, $1,660 in 2027-28 and $1,618 in 2028-29.

Figure 4.5 Average Ontario Student Grant per recipient enrolled full-time in Ontario’s public universities, inflation‑adjusted, 2017-18 to 2028-29 academic years

Note: Historical data is based on information provided by MCURES. 2025-26 value is based on preliminary information as of September 9, 2026 and is subject to change once academic year-end data is finalized.

Source: 2026 Ontario Budget and FAO analysis of information provided by the Province.

Accessible version
Historical 2026 Ontario Budget
Historical 2017-18 5,055
Historical 2018-19 5,273
Historical 2019-20 3,747
Historical 2020-21 2,850
Historical 2021-22 3,120
Historical 2022-23 3,122
Historical 2023-24 3,190
Historical 2024-25 2,931
Historical 2025-26 4,225
2026 Ontario Budget 2026-27 1,716
2026 Ontario Budget 2027-28 1,660
2026 Ontario Budget 2028-29 1,618

Average Ontario Student Grant Per Recipient Enrolled Full-time in Private Career Colleges

In the 2025-26 academic year, the average OSG per recipient enrolled full-time in Ontario’s private career colleges was $13,249, after adjusting for inflation (i.e., real 2026-27 dollars).[7] Based on the change in OSG funding eligibility announced by the Province, the FAO estimates that the average real OSG per recipient enrolled full-time in Ontario’s private career colleges will decline to $0 starting in the 2026-27 academic year.

Figure 4.6 Average Ontario Student Grant per recipient enrolled full-time in Ontario’s private career colleges, inflation adjusted, 2017-18 to 2028-29 academic years

Note: Historical data is based on information provided by MCURES. 2025-26 value is based on preliminary information as of September 9, 2026 and is subject to change once academic year-end data is finalized.

Source: 2026 Ontario Budget and FAO analysis of information provided by the Province.

Accessible version
Historical 2026 Ontario Budget
Historical 2017-18 11,955
Historical 2018-19 12,492
Historical 2019-20 11,820
Historical 2020-21 10,277
Historical 2021-22 10,809
Historical 2022-23 10,251
Historical 2023-24 11,071
Historical 2024-25 12,143
Historical 2025-26 13,249
2026 Ontario Budget 2026-27
2026 Ontario Budget 2027-28
2026 Ontario Budget 2028-29

5. Interprovincial Comparison

At the request of the Members of Provincial Parliament, this chapter compares provincial funding to colleges and universities with funding in other provinces. It also compares colleges and universities spending and average domestic tuition fees across provinces.

Public Colleges

Provincial Funding to Public Colleges

In 2023-24, Ontario had the lowest provincial funding for public colleges per full-time equivalent (FTE) domestic student, at $9,460, which was $5,727 below the national average of $15,187. Compared to other large provinces, Ontario’s per FTE domestic student colleges funding was lower than in British Columbia ($17,322), Alberta ($17,728) and Quebec ($17,911).

Figure 5.1 Provincial funding to public colleges per FTE domestic student, by province, 2023-24

Note: The FAO estimates full-time equivalent college enrolment as full-time enrolment, plus part-time enrolment divided by 2.0. Canada average does not include territories. Quebec college funding includes direct subsidies to lower “in province” domestic student tuition fees.

Source: Statistics Canada, “Revenues of colleges by type of revenues and funds”, Table: 37-10-0028-01 and “Postsecondary enrolments, by registration status, institution type, status of student in Canada and gender”, Table: 37-10-0018-01.

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Province Funding per FTE Domestic Student
ON 9,460
PE 13,700
BC 17,322
AB 17,728
QC 17,911
NL 17,987
NS 19,379
MB 20,983
NB 22,640
SK 22,720
Canada Average 15,187

Public Colleges Spending

In 2023-24, Ontario had the second lowest public colleges spending per FTE student (including domestic and international students), at $18,877, which was $619 below the national average of $19,496. Compared to other large provinces, Ontario’s colleges spending per FTE student was higher than in Quebec ($16,526) but lower than in British Columbia ($21,310) and Alberta ($24,248).

Figure 5.2 Public colleges spending per FTE student, by province, 2023-24

Note: The FAO estimates full-time equivalent college enrolment as full-time enrolment, plus part-time enrolment divided by 2.0. Canada average does not include territories.

Source: Statistics Canada, “Canadian Classification of Functions of Government (CCOFOG) by consolidated government component”, Table: 10-10-0005-01 and “Postsecondary enrolments, by registration status, institution type, status of student in Canada and gender”, Table: 37-10-0018-01.

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Province Spending per FTE Student
QC 16,526
ON 18,877
BC 21,310
MB 21,980
PE 23,375
NL 24,212
AB 24,248
NB 27,807
SK 28,395
NS 28,625
Canada Average 19,496

Universities

Provincial Funding to Universities

In 2023-24, Ontario had the lowest provincial funding for universities per FTE domestic student, at $10,516, which was $6,971 below the national average of $17,487. Compared to other large provinces, Ontario’s universities funding per FTE domestic student was lower than in Alberta ($15,282), British Columbia ($24,755) and Quebec ($28,318).

Figure 5.3 Provincial funding to universities per FTE domestic student, by province, 2023-24

Note: The FAO estimates full-time equivalent university enrolment as full-time enrolment, plus part-time enrolment divided by 3.8. Canada average does not include territories. Quebec and Nova Scotia university funding includes direct subsidies to lower “in province” domestic student tuition fees.

Source: Statistics Canada, “Revenues of universities by type of revenues and funds”, Table: 37-10-0026-01 and “Postsecondary enrolments, by registration status, institution type, status of student in Canada and gender”, Table: 37-10-0018-01.

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Province Funding per FTE Domestic Student
ON 10,516
AB 15,282
NS 15,329
MB 19,980
PE 20,664
NB 20,813
SK 22,992
BC 24,755
QC 28,318
NL 34,081
Canada Average 17,487

Universities Spending

In 2023-24, Ontario had the second lowest universities spending per FTE student (including domestic and international students), at $22,699, which was $1,504 below the national average of $24,203. Compared to other large provinces, Ontario’s universities spending per FTE student was higher than in Quebec ($20,731) but lower than in Alberta ($23,577) and British Columbia ($32,066).

Figure 5.4 Universities spending per FTE student, by province, 2023-24

Note: The FAO estimates full-time equivalent university enrolment as full-time enrolment, plus part-time enrolment divided by 3.8. Canada average does not include territories.

Source: Statistics Canada, “Canadian Classification of Functions of Government (CCOFOG) by consolidated government component”, Table: 10-10-0005-01 and “Postsecondary enrolments, by registration status, institution type, status of student in Canada and gender”, Table: 37-10-0018-01.

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Province Spending per FTE Student
QC 20,731
ON 22,699
MB 23,435
AB 23,577
NS 26,621
NB 28,471
PE 29,681
NL 29,765
SK 32,026
BC 32,066
Canada Average 24,203

Domestic Tuition Fees

In 2023-24, Ontario had the fourth highest average domestic tuition per university and college undergraduate full-time domestic student, at $8,271, which was $1,119 above the national average of $7,152. Compared to other large provinces, Ontario’s full-time domestic tuition fees were higher than in Quebec ($3,489), British Columbia ($6,477) and Alberta ($7,561).

Figure 5.5 Average tuition for undergraduate full-time domestic students in public postsecondary education programs, by province, 2023-24

Note: Canada average excludes all territories except Yukon. Quebec, Nova Scotia, and Newfoundland and Labrador average tuition accounts for different fees paid by "in province" and "out of province" Canadian students. Quebec average excludes tuition fees for students enrolled in CEGEP.

Source: Statistics Canada, “Canadian undergraduate tuition fees by field of study”, Table: 37-10-0003-01.

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Province Average Fees per Undergraduate Full-time Domestic Student
QC 3,489
NL 3,593
MB 5,390
BC 6,477
PE 7,359
AB 7,561
ON 8,271
NB 8,701
SK 9,240
NS 9,551
Canada Average 7,152

Footnotes

[1] The OSG is an income-tested, needs-based grant available to all postsecondary students who are residents of Ontario taking an eligible course load in an approved program.

[2] FAO, Government Spending Trends: 1990 to 2023 and FAO calculations.

[3] Residents are postsecondary students who are Canadian citizens, permanent residents or protected persons where Ontario is the most recent province in which they have resided for 12 consecutive months, not including any time as a full-time postsecondary student.

[4] Beginning in the 2026-27 school year, the Ontario Student Assistance Program (OSAP) funding composition was altered so that the maximum funding students will be eligible to receive as grants will decrease from 85 per cent to 25 per cent, with the remainder provided as loans. In addition, students at private career colleges will no longer be eligible for OSAP grants. Government of Ontario, Ontario Investing $6.4 Billion to Support Postsecondary Sector’s Long-Term Success and Sustainability, February 12, 2026.

[5] Based on preliminary information provided by MCURES as of September 9, 2026 and is subject to change once academic year-end data is finalized.

[6] Based on preliminary information provided by MCURES as of September 9, 2026 and is subject to change once academic year-end data is finalized.

[7] Based on preliminary information provided by MCURES as of September 9, 2026 and is subject to change once academic year-end data is finalized.