More health care professionals and more communities to benefit from Canada student loan forgiveness

GATINEAU, QC, June 28, 2024 /CNW/ – All Canadians deserve to have access to health care, no matter where they live. Improving access to health care in rural and remote communities is crucial to ensure Canadians across the country get the quality care they need.

Today, the Government of Canada has pre-published proposed changes to the Canada Student Financial Assistance Regulations and Canada Student Loans Regulations in the Canada Gazette, Part I. These changes would mean more doctors and nurses working in under-served rural and remote communities would become eligible for Canada Student Loans forgiveness.

To help bring more health care workers to the regions that need them the most, the Government is proposing to amend the definition of an “under-served rural and remote community” so that doctors and nurses working in population centres of 30,000 or fewer would be eligible for Canada Student Loan forgiveness. This measure would ensure that changes in the eligibility of communities are updated as new Censuses of Population are released every five years.  

This expansion is expected to attract over 900 doctors and nurses to work in these communities. All Canadians can comment on the proposed regulations in the Canada Gazette until July 29.

Through the Canada Student Financial Assistance Program, the Government is making higher education more affordable and accessible. Since the fall of 2023, the Government of Canada has increased the maximum amount of forgivable Canada Student Loans by 50% for doctors and nurses who work in under-served rural or remote communities. This increase means family physicians and family medicine residents are now eligible for up to $60,000 in loan forgiveness over five years, and a nurse or nurse practitioner is eligible for up to $30,000 in loan forgiveness over five years.  

Quote

“Access to health care in rural and remote areas is essential to building strong communities. Today’s changes will give doctors and nurses the support they need to provide quality care to those in our communities who need it the most, while attracting new health professionals to contribute to our growing health care network. This is ensuring Canadians across the country have access to the health care they need.”
– Minister of Employment, Workforce Development and Official Languages, Randy Boissonnault

Quick facts

The Canada Student Financial Assistance (CSFA) Program provides Canada Student Grants and Canada Student Loans to help students pay for their post-secondary education.Canada Student Loan forgiveness for family doctors, family medicine residents, nurses and nurse practitioners only applies to the federal portion of a student loan.The CSFA Program works in partnership with 10 provinces and territories to deliver student financial assistance. Quebec, the Northwest Territories and Nunavut receive alternative payments from the Government of Canada to administer their own student financial assistance measures.Communities with a population of over 30,000 that are currently eligible will remain eligible until the 2026 Census.Budget 2024 announced the Government of Canada’s intention to permanently expand the reach of Canada Student Loan Forgiveness Program to more health care and social services professionals working in rural and remote communities. These professions would include early childhood educators, dentists, dental hygienists, pharmacists, midwives, teachers, social workers, psychologists, personal support workers and physiotherapists. The cost of this measure is estimated to be $301.7 million over four years, starting in 2025–26, and $100.1 million ongoing.The expansion to the list of occupations eligible for the Canada Student Loan Forgiveness Program is expected to be implemented starting in 2025–26, subject to legislative and regulatory approvals.

Associated links

Budget 2024
Canada Student Financial Assistance Regulations
Canada Student Loans Regulations
Canada Student Financial Assistance Program
Canada is addressing current and emerging labour demands in health care

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SOURCE Employment and Social Development Canada