The student visa program by the Australian Government is an essential component of the international education sector. The main goal of this program is to provide overseas students with high-quality education and academic excellence. According to reports, Australia attained an all-time record with 2.8 million temporary migrants and 713,144 overseas students in late February. The high number of students can affect the quality of the education system in Australia. 

Therefore, the New Migration Strategy, released on December 11, 2023, calls for actions to raise the standard and integrity of Australian overseas education. The Department of Home Affairs has been working to reduce the number of international students to thirty-five percent. However, it will take significant time to lower the overall number of students. A spokesperson for the home affairs minister, Clare O’Neil, stated:

“We’re considering all options as we work to restore integrity to international education.”

These measures will guarantee that international students obtain a top-notch education, lower the possibility of exploitation, and ensure that Australia always welcomes talented and skilled students. One of the important measures under consideration is to increase the Australian student visa fees from $710 to $2,500. The chief executive of the Independent Tertiary Education Council Australia, Tray Williams, stated that:

“A fee hike “would be” consistent with the Australian Government’s clear policy intent to reduce the size of the international education sector.”

According to publications in the Australian Financial Review and The Guardian, among other mainstream media, the Government is considering raising the student visa fee from $710. In an attempt to raise more money for Commonwealth Rent Assistance, the Grattan Institute first suggested increasing the student visa application fee to $2,500 per visa.

However, the Australian Financial Review published on April 12 suggested that the cost will probably not be as high as the $2,500 proposed by the Grattan Institute. Phil Honeywood, a member of the International Education Association of Australia, stated that any increase in the Consumer Prices Index would render Australia “globally uncompetitive.” Furthermore, he said that: 

“As the fee is non-refundable, it will be hugely inequitable for the large number of students who are having their visas rejected.” 

According to Simon Costain, the current visa payments are non-refundable, and since rejection rates are “pushing 70–90% for some nationalities,” raising the fees would result in stealing money from thousands of students. Abul Rizvi, the former deputy secretary of the immigration department, proposed that: 

“Increasing the non-refundable Australian Student Visa Fees for foreigners to pay for Aussies’ rent is “very good politics,” although it’s “poor long-term policy.” 

Without a doubt, increasing the application fee for international students requesting a visa will affect job opportunities. This policy puts thousands of working Australians who are committed to providing international students with higher academic outcomes at risk of losing their jobs. However, Grattan’s chief executive, Brendan Coates, and deputy director of migration, Trent Wiltshire, think:

“The Australian Student Visa fees increase would “discourage the growing number of international students who compete for cheaper, low-value courses from coming to Australia.”

Abul Rizvi stated in an article that: 

“The measure has the potential to “scare away the better students”—those who have options and can study in competing nations with lower fees.”

Since Australian student visa fees are already higher than those in the United States, Canada, and the United Kingdom, this rise may discourage potential students from choosing Australia over more cost-effective options. It would ultimately hurt Australia’s capacity to draw in highly qualified students.

Therefore, increasing the Australian student visa fees can prevent talented students from coming to Australian universities, thus affecting the skills and employment department. The Government needs to resist the urge to increase the cost of student visas, as suggested by the Grattan Institute. Rather, it should improve its approach to attract the best students and promote study in areas where there is a sustained lack of skilled workers. 

Are you still confused? Watch this video for clear and better understanding:

Final Thoughts

By now, you have reviewed what the Grattan Institute, the Immigration Department, and expert commentators have stated about the hike in Australian student visa fees. The Government has shifted its priority from restoring educational integrity to the housing crisis to lowering migration numbers.

The policies implemented by the Government are not quite effective, as increasing the Australian student visa fees will dampen the demand for talented and skilled students in the country. However, keep in mind that this measure is under active consideration and has not been confirmed yet. 

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Our immigration lawyers provide a wide range of services, including genuine consultation, document preparation, submission of Expression of Interest, and visa applications based on the latest rules introduced by the Department of Home Affairs. Therefore, schedule an online appointment now and allow us to help you get successful approval for your student visa. 

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