Ahead of Australia’s federal election on May 3, the Coalition has put forth a plan to restrict new international student arrivals to 240,000 annually and impose a $5,000 visa fee specifically for those aiming to study at top universities.

Under the leadership of Peter Dutton, the Opposition Leader, there is a proposal to reduce international student commencements by 80,000 in efforts to tackle housing issues. Should Dutton’s government come into power, publicly funded universities would see a maximum of 115,000 overseas student commencements each year, with the remaining 125,000 allocated to the VET, private university, and non-university higher education sectors.

The figure of 240,000 is lower than what Labor had suggested, with Dutton’s party having opposed Labor’s ESOS Amendment Bill previously, arguing that it did not adequately address the need to limit student numbers. Additionally, the Coalition intends to raise the student visa application charge to $2,500 and escalate it to $5,000 for students seeking admission to the Group of Eight universities.

Amidst these proposals, there is also a new charge of $2,500 for students looking to switch education providers. The plan to increase visa fees has been met with criticism from sector leaders, who view it as detrimental to Australia’s international education market reputation, especially given the already high visa fees in the country.
Vicki Thomson, CEO of the Go8, expressed concerns over the targeted visa fee hike, emphasizing the negative implications it could have on attracting top talent to Australia’s leading universities. Phil Honeywood, CEO of the International Education Association of Australia (IEAA), condemned the lack of consultation with key stakeholders on the proposed caps and visa fee increase, labeling the latter as “outrageous.”

Honeywood further highlighted the potential negative impact of the visa fee hike on Australia’s competitiveness as a study destination, suggesting that it might steer students towards more welcoming countries like the UK and New Zealand. He also pointed out the lack of substantial evidence linking rent increases to international student numbers, questioning the basis of the proposed restrictions.
Universities Australia CEO, Luke Sheehy, warned about the repercussions of both major parties’ actions on the international education sector, emphasizing the significant financial contribution that international students make to Australia’s economy and higher education system.
In the lead-up to the federal election, the debate over international student policies and their implications on various sectors continues to unfold, with stakeholders expressing concerns over the potential repercussions of the proposed changes on Australia’s global education standing and economic stability.
As the political landscape evolves and the election draws near, the decisions made regarding international student caps and visa fees could have far-reaching consequences for the education sector, the economy, and Australia’s reputation as a preferred study destination for international students.
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