Effective July 1, the Student (Subclass 500) visa application charge has risen from AUD $2,000 to $2,500, while the Temporary Graduate (Subclass 485) visa application charge has actually increased to $5,750.
The government has actually introduced a lower tier Student visa application charge of $2,050 for students from ASEAN nations, those undertaking study abroad programs and ELICOS students, while applicants from Pacific Island countries will continue to pay $745.
International Education Association of Australia (IEAA) CEO Phil Honeywood described the visa cost hikes as a blow to Australia’s competitive position.
“Australia’s rival research study destination countries will be celebrating today at our market share’s expense. With no assessment and no phase in duration, all visa categories have actually been increased overnight by roughly 25%.”
Honeywood noted that simply two years earlier, the non-refundable Student visa application charge stood at $745.
“Even then, provided our extraordinary visa rejection rate, it is a genuine lotto ticket situation whether the student gains approval to study here.”
Despite the production of a reduced cost category for ELICOS trainees, Honeywood stated the concession fell well except what the sector had actually looked for.
“While IEAA has actually been advocating for a special ELICOS visa for some time now, our expectation was for this to be at a 50% discount rate to the basic trainee visa charge.”
English Australia president Ian Aird said ELICOS providers had once again been struck hard by the modifications, despite the partial exemption from the full increase.
Aird said the sector had actually been left reeling by the announcement, pointing to what he referred to as “disappointment, frustration, even heartbreak” amongst companies following the abrupt execution.
“The boost in the student visa application charge from $710 to $1,600 on 1 July 2024 triggered a 38% drop in trainee visa applications for Independent ELICOS. The second visa application charge boost to $2,000 since 1 July 2025 resulted in a fall of another 25%.”
“To study English for four or five months– the average length of an ELICOS enrolment in Australia– in one of the other crucial ELICOS locations, consisting of USA, Canada, UK, Ireland, New Zealand, Malta, and so on, an applying student will pay a visa application charge of between 1% and 60% of the Australian student visa application charge,” discussed Aird.
Elsewhere, Honeywood also criticised the increase to the Temporary Graduate visa, arguing it weakened Australia’s appeal for worldwide graduates.
“For those who are just finishing their degree here, to unexpectedly need to discover $5,750 for a post-study work right (485 classification) visa, contradicts being treated relatively.”
On the other hand, The Group of 8’s president Vicki Thomson cautioned that worldwide students ought to be viewed as a tactical financial investment instead of a source of profits.
“Every significant rival country understands that drawing in talented trainees is an investment in future financial growth and nationwide ability. Australia increasingly appears to see them as an earnings source,” she stated.
“The risk is not short-term. If talented trainees pick Canada, the UK, Europe, Singapore or emerging destinations instead of Australia, those relationships, skills and research study connections are lost for decades. As soon as market share and track record are lost, rebuilding them is challenging and costly.”
Universities Australia chief executive Luke Sheehy stated the most recent increase was part of a wider pattern of policy changes that had progressively deteriorated Australia’s beauty as a research study destination.
“Today’s fee hike doesn’t stand alone. It comes on top of greater visa refusal rates, policy unpredictability and a series of choices that have made Australia a less attractive destination.”
Australia is ending up being a harder sell, and the sector’s slow nosedive
continues Luke Sheehy, Universities Australia
“The cumulative result is clear. Australia is ending up being a more difficult sell, and the sector’s slow nosedive continues.”
While acknowledging concessions for ASEAN trainees and authentic movement students, Sheehy argued they did little to balance out larger issues.
“These are welcome and reasonable measures, and they point to the sort of long-term policy approach Australia needs. However they do not balance out the more comprehensive damage being done by repeated fee boosts, higher refusal rates and ongoing policy uncertainty.”
Independent Higher Education Australia (IHEA) likewise criticised the federal government’s decision, highlighting the scale of current increases.
IHEA chief executive Peter Hendy noted that the Trainee visa application charge has actually increased by 252% in just over two years.
“The independent college sector already supplies $3 billion of tax income to the treasury but the federal government continues to require that trainees pay more and more.”
The Department of Home Affairs has actually been approached for comment and is expected to respond.