Canada Post to end door-to-door delivery as feds push overhaul

The federal government is lifting long-standing restrictions on Canada Post as the Crown corporation struggles with mounting financial losses.

“Canada Post is now facing an existential crisis,” said Joël Lightbound, Minister of Government Transformation, Public Works and Procurement. “Since 2018, the corporation has accumulated more than $5 billion in losses. In 2024 alone, it lost over $1 billion, and in 2025, it is already on track to lose close to $1.5 billion.”

Lightbound said the government is ending moratoriums on both door-to-door mail delivery and rural post offices, while also easing letter mail delivery standards to reflect declining volumes. He said the measures could save hundreds of millions of dollars annually.

“Canada Post is a vital national institution worth preserving,” he said. “The measures announced today will help place the corporation on a stronger financial footing and provide the flexibility it needs to adapt to a rapidly changing environment.”

In a statement, Canada Post welcomed the government’s announcement, citing years of declining letter mail and growing delivery costs.

“Canadians cannot continue to pay more through their taxes for a service they use less and less,” the corporation said.

President and CEO Doug Ettinger said the changes will help ensure the postal service can adapt.

“Today’s announcement will allow us to make the changes needed to restore Canada’s postal service for all Canadians by evolving to better meet their needs,” he said.