Ontario’s OSAP funding pause hits ballet school and divinity college students

Students at Canada’s National Ballet School and McMaster Divinity College are among those affected by Ontario’s decision to pause financial assistance payments to private post-secondary institutions while the province investigates concerns about the use of public student aid.

The Ontario government announced the pause as an independent audit examines the integrity of the Ontario Student Assistance Program (OSAP), which provides financial assistance to eligible students.

Colleges and Universities Minister Nolan Quinn said preliminary findings had raised serious concerns, prompting the government to refer the matter to the Ontario Provincial Police.

The pause applies broadly to private post-secondary institutions, including schools that have not themselves been identified as responsible for the suspected irregularities. Students who had expected to receive assistance are now facing uncertainty over tuition payments and everyday expenses.

Ballet school students struggle to cover costs

Alessia Di Palma, a final-year student in the five-year joint teacher-training programme offered by Canada’s National Ballet School and York University, said she was struggling to work out how to pay her rent despite holding two jobs.

Di Palma had received OSAP assistance during her first four years in the programme. The suspension of funding in her final year has left her worried about completing her studies.

The National Ballet School’s programmes are primarily at the secondary level, but its post-secondary teacher-training programme is also affected by the funding pause. Executive director John Dalrymple said about half of the students in that programme depend on the assistance to pay their tuition.

Dalrymple criticised the government for suspending payments before alternative financing arrangements had been secured, arguing that students who had planned their education around expected aid were being left to find money at short notice.

Divinity college students turn to family and extra work

McMaster Divinity College, a private theological institution affiliated with McMaster University, is also dealing with the consequences of the pause.

Ambrose Thomson, the college registrar and director of student services, said students were distressed by the uncertainty. He said OSAP-funded tuition accounts for about 10 per cent of the non-profit institution’s revenue.

Deanna Hutten, a second-year master’s student in the college’s counselling and spiritual care programme, has turned to family for financial help and increased her hours at her marketing job by 10 hours a week to compensate for the funding being withheld.

Hutten, a single mother who hopes to work in hospital chaplaincy, said she felt students at institutions not implicated in suspected wrongdoing were being unfairly grouped with those under scrutiny.

The Toronto Film School has also reported uncertainty among students. Its president, Andrew Barnsley, called for funding to be restored for eligible students or for the government to provide a clear timeline for resolving the suspension.

Ontario investigates suspected misuse of student aid

The funding pause follows an audit commissioned by the provincial government from KPMG in August 2026. According to a statement from the Ministry of Colleges, Universities, Research Excellence and Security dated Oct 6, preliminary findings raised concerns about the integrity of OSAP applications in the private post-secondary sector.

The concerns included common ownership of institutions, involvement by immigration services firms, inadequate verification of student enrolment and course outcomes, and unusually high concentrations of applications from particular geographic areas. The government also said some concerns were concentrated in online-only programmes.

The ministry said it had referred the matter to the Ontario Provincial Police and notified the Auditor General. The investigation and audit remain ongoing; the reported concerns should not be treated as proof that every institution receiving OSAP funding has engaged in misconduct.

The government has said it is working with financial institutions to develop low-interest, third-party loans for affected students. However, it has not announced a timeline for making those loans available.

Ontario also said private post-secondary institutions will have to meet stricter criteria to regain OSAP eligibility, with further details to be announced later.

For students already enrolled in affected programmes, the immediate concern remains how to meet tuition and living expenses while the review continues.

The absence of a confirmed timeline for alternative loans or the resumption of payments has left students and institutions planning for an uncertain period.