Australia Tightens Immigration Policies: Net Migration Reduction and Visa Fee Increases on the Horizon
Following the Labour Party’s re-election in May 2025, Australia is set to implement stricter immigration measures aimed at reducing net migration and aligning skilled visa programs with market demands. These changes are poised to impact international students and skilled workers, particularly from India.
Key Policy Changes:
Net Migration Reduction: The government plans to halve net overseas migration from a peak of 510,000 to 250,000 by 2024–25, with further reductions to 255,000 in 2025–26 and 235,000 in 2026–27.
Increased Salary Thresholds: Minimum salary requirements for skilled visa applicants are expected to rise, ensuring that incoming workers meet higher income standards.
Visa Fee Hikes for International Students: While a cap on international student intake is unlikely, visa application fees are anticipated to increase, potentially affecting affordability for prospective students.
Impact on Indian Migrants:
India remains Australia’s second-largest source of migrants. In 2023–24, 49,848 Indians were granted permanent residency, marking a 21% increase from the previous year. However, student visas issued to Indian nationals dropped by over 50%, from 102,696 to 50,516. Similarly, temporary skilled employment visas decreased from 27,402 to 18,397.
Expert Insights:
Immigration specialists suggest that while the Labour government’s approach is more balanced compared to the opposition’s proposals, the emphasis on high-skilled workers and stricter visa processes will continue. This strategy aims to address labor market needs while managing population growth.