Algonquin College closing Perth, Ont. campus as it deals with 'challenging fiscal times'

The Algonquin College campus in Perth, Ont. (Kimberley Johnson/CTV News Ottawa)

Algonquin College plans to close its campus in Perth, Ont. next year, as it deals with a multi-million deficit due to the new federal cap on international students and provincial funding shortfalls, according to the president.

In a letter to employees and students, Algonquin College president Claude Brulé says a recommendation will be presented to the Algonquin Board of Governors in February to close the Perth Campus by the end of August 2026.

"This is an extremely difficult decision that is not taken lightly and is the direct result of the financial challenges we are facing," Brulé said, calling the revenue shortfalls the "most challenging fiscal times in the college's history."

"Programs at the Perth Campus will remain active until the end of the 2026 Spring Term, at which point they will be transferred to the Ottawa Campus. The College is planning to complete this transition and cease operations at the Perth Campus by the end of August 2026. Every effort will be made to mitigate impacts on employees and learners during this transition."

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In November, Brulé said Algonquin College was projecting a $32 million decrease in revenues this year due to the new federal cap on international students, changes to the eligibility for post-graduate work permits and "sustained financial challenges" due to the ongoing freeze on domestic student tuition.

Brulé say following a review of operations by the college's Executive and Leadership Teams, it has "become clear" that Algonquin College is projecting a $32 million loss in revenue for the 2024-25 school year.

"Without mitigation measures to change course – on a cash flow basis – the college anticipates a deficit of $60 million for 2025-26, increasing to $96 million for 2026-27."

The Perth Campus is one of three campuses operated by Algonquin College.  The Perth Campus offers programs including Business-Agriculture, practical nursing and "Heritage Trades" including a "Bachelor of Applied Science (Building Conservation)" and "Heritage Carpentry and Joinery."

According to the Algonquin College website, there are approximately 350 students at the Perth campus.

Algonquin College has campuses in Ottawa, Perth and Pembroke.

Brulé says Algonquin Colleges continues to "review additional fiscal mitigation measures," with a full review of programs, as well as administrative and support services," ongoing.

"Every area of the College is being reviewed and will be impacted. Details of these additional measures will be finalized soon and will be communicated directly to the College Community," Brulé said.

In January 2024, the federal government announced a temporary two-year cap on international student levels by 35 per cent this year. Last September, the government announced new international student study permits will be reduced by another 10 per cent to 437,000 permits, with the target continuing into 2026.  The federal government also announced changes this fall to post-graduate work permits, with the permits restricted to areas that have labour shortages in Canada.

Algonquin College was projecting international student enrolment to be short nearly 2,400 incoming students this school year.

"These are the most challenging fiscal times in the College’s history," Brulé said in the letter to the Algonquin College community. "I understand how morale is being negatively impacted and employees and learners may be feeling concerned and anxious as they await updates. These decisions are being carefully considered with a focus on minimizing impacts on employees and learners while maintaining our commitment to providing exceptional learning experiences for years to come."

Algonquin College also has campuses in Ottawa and Pembroke.