The Jing-Mi Diversion Canal is a large-scale water diversion project in Beijing. Routine monitoring is crucial for the reliability and stability of urban water supply. Compared with traditional monitoring methods, interferometric synthetic aperture radar (InSAR) has the advantages of large scale and high accuracy. Based on the small baseline subset InSAR, 187 ascending and 102 descending SAR images obtained from Sentinel-1 were used to detect the deformation along the diversion canal from 2017 to 2023. The results show that there was a sinking trend along the diversion canal. The subsidence was serious in the first half of the canal, and continued to sink from 2019 to 2020. The subsidence was alleviated in 2023. Combined with leveling measurements, the InSAR deformation monitoring results of important pumping station buildings were verified. The measurement accuracy of InSAR can reach the millimeter level. We extracted the groundwater level time series and subsidence for risky canal segments. Through pixel-by-pixel comparison, it was found that fluctuations in groundwater level would have some impact on surface deformation. Severe local subsidence or uplift deformation occasionally occurred. To ensure the safety of water diversion, the monitoring and maintenance of relevant pump station buildings in risky areas should be increased in the future.