Australia Updates on student visa (Subclass-500) from 2024 to 2025

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    Jasmin Mishra

  • blog-tag Visa Fee, Visa Hopping, Temporary Graduate Visa, Ghost Colleges, Caps on International students, Caps to universities, Differential Visa Processing Rates, University Mergers, Stricter Onshore Student Visa
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  • created-date 24 Mar, 2025
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Between 2024 and 2025, Australia introduced several significant updates to its student visa policies, impacting international students' applications and experiences.

Here's a comprehensive overview of these changes:​

  • Increase in Student Visa Fees (1st of July, 2024)

Effective from July 1, 2024, the application fee for international student visas (Subclass 500) rose from AUD 710 to AUD 1,600. This 125% increase aimed to reflect the growing value of education in Australia and to restore integrity in the international education sector.​

  • Restrictions on Visa Transfers and 'Visa Hopping' (1st July, 2024)

From July 1, 2024, holders of certain visas, including Visitor (Subclass 600) and Temporary Graduate (Subclass 485) visas, are no longer permitted to apply for a Student visa while in Australia. This measure aims to prevent 'visa hopping' and ensure that student visa applicants have a genuine intention to study.

  • Changes to Temporary Graduate Visa (Subclass 485) Eligibility (1st of July, 2024)

The government tightened eligibility criteria and reduced post-study work durations for the Temporary Graduate visa. Key changes include reducing the maximum eligible age from 50 to 35, increasing English proficiency requirements, and limiting work duration unless in critical sectors. These changes aim to manage migration levels but have raised concerns among international students about their post-study opportunities.

  • Crackdown on 'Ghost Colleges' (21st of August, 2024)

To address issues with non-genuine education providers, the government banned colleges from paying commissions to education agents for poaching students from other institutions. Additionally, college owners are now required to pass a 'fit and proper person test,' and providers must monitor student attendance. These measures aim to uphold the integrity of Australia's education system.

  • Proposed Caps on International Student Enrollments (27th August, 2024)

In August 2024, the Australian government announced plans to limit the number of international student tertiary enrollments to 270,000, with 145,000 allocated to university enrollments. This proposal aimed to manage migration levels and address housing market pressures. However, it faced criticism from the university sector and state governments concerned about potential economic impacts. ​

  • Allocation of Enrollment Caps to Universities (6th of September, 2024)

The government announced the maximum number of student enrollments allocated to each Australian university, as part of the plan to cap international student numbers. ​

  • Introduction of Differential Visa Processing Rates (December, 2024)

After facing opposition to the proposed enrollment caps, the government implemented differential visa processing rates through Ministerial Direction 111 (MD111) in December 2024. This policy categorizes visa processing into 'high priority' and 'standard priority' based on student enrollment percentages, aiming to provide faster processing for regional universities and balance the distribution of international students.

  • Financial Pressures Leading to Potential University Mergers (1st of January, 2025)

Increasing financial pressures on Australian universities, exacerbated by a decline in international student numbers and rising operational costs, may lead to more merger discussions. The federal government's failed attempt to cap international students and the impact of previous policies have further strained university finances, prompting considerations of restructuring for financial sustainability. ​

  • Stricter Onshore Student Visa Application Requirements (1st of January, 2025)

Starting January 1, 2025, onshore student visa applicants must provide a Confirmation of Enrolment (CoE) at the time of application. Previously, a Letter of Offer was sufficient. This change ensures that applicants have formally enrolled in their chosen courses before applying for a visa.

These updates reflect Australia's efforts to balance the integrity of its education system, manage migration levels, and address economic considerations related to international students.

 

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Jasmin Mishra

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