In a surprise holiday-season move, Immigration, Refugees and Citizenship Canada (IRCC) confirmed on December 24 that the decade-old Start-Up Visa (SUV) programme will stop accepting new applications as of December 31, 2025. Existing SUV files—some of which have languished in the queue for up to ten years—will continue to be processed, but the optional SUV work-permit route is now closed to new applicants. Only those founders already in Canada may apply for an extension.
IRCC says the closure is part of a broader “Talent Attraction Strategy” that will pivot Canada’s business-immigration system from an open-ended visa to a more focused pilot pathway launching in 2026. Officials admit that processing backlogs undermined the SUV’s credibility with venture capital funds and designated incubators, while would-be founders increasingly looked to faster routes such as the U.K. Innovator Founder visa and U.S. International Entrepreneur Parole.
For entrepreneurs and HR teams scrambling to identify alternative pathways, VisaHQ can help map out suitable Canadian work-permit or visitor-visa options, manage document collection, and monitor policy updates as the new pilot evolves. Explore their Canada-specific solutions at https://www.visahq.com/canada/.
![IRCC Scraps Start-Up Visa, Announces Targeted Entrepreneur Pilot for 2026]()
Although details of the new pilot will be released in the first quarter of 2026, senior IRCC sources indicate three design pillars: (1) shorter processing—12 months target instead of 37 months; (2) sector-specific quotas aligned with Canada’s Critical Technology Clusters (cleantech, AI, life sciences); and (3) mandatory performance milestones so that entrepreneurs who fail to launch in Canada lose work-permit status. The department will also re-engage provinces so that regional tech hubs outside Toronto–Waterloo can nominate start-ups directly.
For employers and mobility managers, the announcement has two immediate implications. First, companies that planned to relocate founders via the SUV must now pivot to other streams—Global Talent Stream work permits, intra-company transfers or the forthcoming pilot—and adjust timelines accordingly. Second, foreign employees holding SUV-linked open work permits should be reviewed for renewal strategy; IRCC will allow extensions but says it will scrutinise business progress far more closely.
Practically, multinationals should audit talent pipelines before year-end, ensure that any 2025 commitment-certificate holders file by June 30 2026, and budget for possible bridging work permits if the new pilot’s launch date slips. Immigration counsel expect transition guidance in early February, but advise founders to assemble funding proof, traction metrics and business-plan updates well in advance.
IRCC says the closure is part of a broader “Talent Attraction Strategy” that will pivot Canada’s business-immigration system from an open-ended visa to a more focused pilot pathway launching in 2026. Officials admit that processing backlogs undermined the SUV’s credibility with venture capital funds and designated incubators, while would-be founders increasingly looked to faster routes such as the U.K. Innovator Founder visa and U.S. International Entrepreneur Parole.
For entrepreneurs and HR teams scrambling to identify alternative pathways, VisaHQ can help map out suitable Canadian work-permit or visitor-visa options, manage document collection, and monitor policy updates as the new pilot evolves. Explore their Canada-specific solutions at https://www.visahq.com/canada/.
Although details of the new pilot will be released in the first quarter of 2026, senior IRCC sources indicate three design pillars: (1) shorter processing—12 months target instead of 37 months; (2) sector-specific quotas aligned with Canada’s Critical Technology Clusters (cleantech, AI, life sciences); and (3) mandatory performance milestones so that entrepreneurs who fail to launch in Canada lose work-permit status. The department will also re-engage provinces so that regional tech hubs outside Toronto–Waterloo can nominate start-ups directly.
For employers and mobility managers, the announcement has two immediate implications. First, companies that planned to relocate founders via the SUV must now pivot to other streams—Global Talent Stream work permits, intra-company transfers or the forthcoming pilot—and adjust timelines accordingly. Second, foreign employees holding SUV-linked open work permits should be reviewed for renewal strategy; IRCC will allow extensions but says it will scrutinise business progress far more closely.
Practically, multinationals should audit talent pipelines before year-end, ensure that any 2025 commitment-certificate holders file by June 30 2026, and budget for possible bridging work permits if the new pilot’s launch date slips. Immigration counsel expect transition guidance in early February, but advise founders to assemble funding proof, traction metrics and business-plan updates well in advance.
