Canadian Building Permits Plunge 17.3% in July 2026, Erasing June Gains
The total value of building permits issued in Canada fell by $2.6 billion to $12.2 billion in July 2026, driven by sharp declines in both non-residential and residential construction intentions.
The total value of building permits issued in Canada declined by $2.6 billion, or 17.3%, to reach $12.2 billion in July 2026. The drop more than offset the $2.3 billion gain recorded in June 2026. On a constant dollar basis (2023=100), the total value fell 17.5% from the previous month and was down 2.2% year over year.
The non-residential sector led the overall decrease with a drop of $1.9 billion, bringing its total permit value to $5.0 billion. The institutional component accounted for the largest share of that decline, falling $1.5 billion to $1.7 billion. Ontario drove the reduction in institutional construction intentions with a decrease of $1.1 billion, followed by Quebec (-$228.2 million) and British Columbia (-$169.0 million).
The industrial component of non-residential permits also contracted, falling $443.3 million to $795.5 million. Saskatchewan (-$191.8 million), Ontario (-$147.7 million), and Alberta (-$93.1 million) led those losses. In contrast, the commercial component posted moderate growth of $41.0 million to reach $2.5 billion. Gains in Quebec (+$184.8 million) and British Columbia (+$116.3 million) supported the increase, despite a dampening effect from Ontario (-$190.4 million).
Residential construction intentions declined by $701.2 million to $7.2 billion in July. The multi-unit component accounted for most of the loss, dropping $531.8 million to $4.7 billion. British Columbia (-$198.0 million), Alberta (-$115.8 million), and Quebec (-$91.8 million) led the decline in multi-unit permits. The single-family residential component fell $169.4 million to $2.5 billion, with eight provinces and two territories recording decreases. Quebec posted the largest single-family decline at -$116.1 million.
Across Canada, 19,200 multi-unit dwellings and 4,100 single-family dwellings were authorized in July, representing a 10.1% decrease from the previous month. Over the 12-month period from August 2025 to July 2026, the total number of multi-unit dwellings authorized was 297,100, down from 308,200 in the preceding 12-month period.