Will There Be a Cap on International Student Admissions? Read all about the recent Speculation

Will There Be a Cap on International Student Admissions in Australia? Read all about the recent Speculation

Wed Nov 29 2023 Effa Iqbal

Reports from local media suggest that the Australian government is considering capping the number of international students as part of its plan to reduce overall migration.

These changes might be included in the upcoming migration strategy to be released next month.

According to sources, the government is also contemplating taxing international students, a proposal found in the Australian Universities - Accord Interim report released earlier this year.

However, it’s worth noting that the idea of a levy on international student fees has not been universally accepted.

Speculation Surrounding Government Plans

While initial reactions indicated that the government might not proceed with the levy, no official announcement has been made yet.

The final Australian Universities Accord report will be released alongside the migration strategy in December, leading to speculation about the government’s intentions.

Current International Student Statistics

As of June 2023, Australia received 590,304 student visa applications, with significant numbers from India and China.

The Grattan Institute attributes the country’s accommodation shortages to immigration, suggesting that raising student visa fees might be a more effective solution than imposing a levy on international student fees.

Proposals for Funding Support

The Grattan Institute proposes raising student visa application fees to discourage enrollment in cheaper, low-value courses.

They suggest increasing fees from $710 to $2,500, which could generate around $1 billion annually to fund support for vulnerable renters.

Comparison with the UK and Canada

The UK increased fees for the Immigration Health Surcharge and visa applications to fund public sector pay rises.

In Australia, there’s speculation that the country is considering limiting the number of student visas, similar to Canada’s approach.

However, stakeholders in both countries emphasize that accommodation shortages are primarily concentrated in major cities.

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Concerns from Industry Stakeholders

The Student Accommodation Council in Australia urges the government to rule out a tax on international students, emphasizing the need to focus on housing solutions.

They argue that purpose-built student accommodation can alleviate demand, making housing more affordable.

Industry Calls for Collaboration

Property Council Group executive Matthew Kandelaars emphasizes the importance of collaboration between the government and industry to expand student housing.

He suggests addressing planning approvals, removing taxes, and prioritizing student accommodation near educational institutions.

Opposition to Student Tax

The Independent Tertiary Education Council Australia calls on Canberra to reject the idea of a tax for international students.

They argue that the case for such a tax has not been adequately made and could make Australian education less competitive globally.


The Australian government is contemplating changes to international student policies, including potential caps and taxes.

Industry stakeholders advocate for alternative solutions to address accommodation shortages and maintain the competitiveness of Australian education on the global stage.



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