Australia’s Ruling Party Plans Student Visa Fee Hike Ahead of Election

The ruling party in Australia, the Labor Party, intends to increase the visa prices for foreign students. It is expected to commence on July 1, 2025, stating a hike in visa prices from the initial AUD 16,00 to AUD 2,000. It is done to adhere to the commitments made by the Australian government to aid the people in regard to healthcare, mental health services, and doctor visits before the election commences. A goal of collecting over AUD 760 million over 4 years is expected through this program.

It is the second time that the visa prices have risen within a year, with the first being in July 2024, when the prices increased from AUD 710 to AUD 1,600. This has led to a decrease in the number of foreign students coming to study in Australia.

Australia’s economy relies on the Australian education industry. During the 2022-23 financial period, the Australian economy reaped an impressive AUD 36.4 billion from it. It also creates jobs and provides cultural benefits. Critics say that if fees were to rise, Australia would no longer be as attractive as other nations offering significantly lower student visa fees, such as USD 185 in the US, CAD 150 in Canada, and GBP 490 in the UK.

Student visa restrictions with increased fees are what the opposition party proposes to implement. The opposition stands in favor of issuing only 240,000 student visas annually while decreasing the Labor-set target by 30,000 and charging students based on their selected universities. According to their viewpoint the measures will both restrict immigration flows while easing housing shortages.

The Australian government implemented new procedures which difficulty students in obtaining student visas. The new requirement from authorities involves better English proficiency and sufficient funds for living expenses and other essential needs. From October 2024 onwards students must demonstrate having AUD 29,710 as their minimum funding for living expenses. The governmental change intends to prevent visa system exploitation while ensuring international students have enough money to live in the country.

The large number of Indian students studying in Australia concerns their government about tuition expenses. The government wants discussions with the Australian administration to provide help for families facing financial burdens. 

Student visa price increases proposed by the Labor government during election season have become a topic of intense debate. The program presents financial needs for supporting national programs yet critics fear this measure could damage Australia’s attractive reputation for foreign students. Political factors together with economic considerations could potentially outweigh the international goodwill and billions of dollars bound to this policy throughout the election campaign year.