Australia Accused of Exploiting Migrants with 200% Visa Fee Hikes

The federal government has been accused of exploiting international students and permanent residents after non-refundable visa fees were quietly hiked by up to 200%, placing Australia well in excess of other western nations.

The peak body representing international students has warned prospective students to consider studying elsewhere, while critics affected by the scheme have accused Labor of trying to “out One Nation, One Nation”.

Here’s what you need to know.

What has changed – and by how much?

On 1 July, most visa application charges were quietly hiked by the federal government by about 25%, with some categories rising by 200%.

Among the largest cost jumps was the resident return visa, which more than tripled from $490 to $1,475, while the bridging visa B surged from $190 to $575.

Australia and New Zealand are the only western nations where a permanent resident’s right to re-enter the country expires after a year if they are abroad. In NZ, the cost to renew the resident return visa is A$290. But the average visa cost for skilled workers in Australia is now more than double that in the UK and more than 10 times that in the United States.

Adrian Riordan is married to a permanent resident with whom he splits his life between Australia and Japan. He says his wife, like many other foreigners, cannot gain Australian citizenship without giving up her birth citizenship and so is at the mercy of visa costs.

“What is the point of paying taxes, if government services are considered a source of revenue, rather than a service?” he says. “They’re trying to out One Nation, One Nation. These are people that are permanent residents. And we have no choice over the matter.”

He is not alone in his frustration. A petition opposing the “extraordinary” increase of the resident return visa fee has attracted more than 30,000 signatures, describing it as “excessive, disproportionate and unfair”.

“I pay tax here, I work here, I live here – and you still charge me like I’m a stranger begging at the border,” one signatory wrote. “Going to the Netherlands to see my family will be not possible anymore due to the political gameplay of the Australian government,” another wrote. “For me it is not a game, this is my life.”

How expensive are student visa fees?

International student visa fees in Australia have been cemented as the most expensive in the world for graduates hoping to stay onshore after completing their studies.

On 1 March, the federal government doubled non-refundable application fees for temporary graduate visas (485) from $2,300 to $4,600, criticised at the time as a “massive breach of trust”.

Then, on 1 July, the 485 visa increased again, to $5,750 – more than double what it was six months ago. The student visa application charge also increased from $2,000 to $2,500. It follows another rise in 2024 when the international student visa application fee more than doubled from $710 to $1,600.

The fees are more than triple that of comparative study destinations, including the UK, US, New Zealand and Canada.

How have students reacted?

The International Students Representative Council of Australia (ISRC) says prospective students should carefully consider studying in Australia after the sharp visa hike.

Its president, Weihong Liang, says it was not an “isolated change” but part of a broader pattern of “increasingly restrictive, unpredictable and poorly communicated policy changes”.

“International students are increasingly being treated not as valued members of Australian campuses and communities, but as a source of government revenue,” he says.

“To students around the world considering Australia, our message is clear: carefully assess the increasing policy uncertainty surrounding Australia’s international education system before choosing Australia as your study destination.”

One student, who wishes to remain anonymous for fear of repercussions, describes it as a “kick in the teeth”.

“Are international students just official ATMs for the government at this point?”

The ethnocultural officer at the National Union of Students, Syed Taqi Abbas Razvi, says he felt “devastated” and “hopeless” when he learned of the increase. Razvi is in his final year of a science degree after arriving in Australia from Pakistan during the pandemic, and was planning to apply for a 485 visa in a matter of months.

“It’s extremely shocking,” he says. “International students don’t feel supported. With the constant visa fee increases, it’s getting unaffordable for not just myself, but most international students to even consider coming here.

“I set up my life here, I have friends here. But at the moment … who knows what’s going to happen before my visa expires in September.”

What about the business sector?

The Australian Chamber of Commerce and Industry has warned that rising visa costs will make Australia less attractive to skilled workers by sending a “poor signal” to the global market. Skilled independent visas rose 25% from $4,910 to $6,140 on 1 July, while partner visas were also hiked by 25% ($9,365 to $11,710).

“Higher visa costs will make Australia a harder sell for visitors, which will have significant impacts on tourism operators and education providers,” its CEO, Andrew McKellar, says.

“Sneaking in major changes that carry drastic consequences is a poor way to treat the business community. The government cannot keep asking businesses to lift productivity while making it increasingly difficult to be productive.”

The chief executive of Universities Australia, Luke Sheehy, agrees. He says governments have encouraged universities to build the international student sector for years but are now “dismantling it, one decision at a time”.

The fee hike came on top of “higher visa refusal rates, policy uncertainty and a series of decisions that have made Australia a less attractive destination”, he says.

“The cumulative effect is clear. Australia is becoming a harder sell, and the sector’s slow nosedive continues.”

Why were the fee hikes announced?

The federal government reviews visa application charges at the beginning of the new financial year, and typically increases prices marginally. But it has not formally justified why the fees jumped in excess of inflation.

The minister for home affairs, Tony Burke, told Guardian Australia a visa to live, work or study in Australia “is underpriced at any cost” and remains a “small fraction” of the average fees international students paid to study in Australia.

It fits within Labor’s broader attempt to manage migration growth, particularly in the international student sector, which it has maintained is too high after the pandemic and subject to “dodgy players”.

The federal government has confirmed it will cap international student places at 295,000 in 2027 – 8% below the immediate post-Covid peak.

The education minister, Jason Clare, said: “International education is an incredibly important export industry for Australia, but we need to manage it sustainably.

“This is about making sure international education supports students, universities and the national interest.”