Australia's Coalition Proposes Significant Reductions in International Student Admissions
The Opposition seeks to cap foreign student numbers amid ongoing housing affordability concerns.
The Coalition in Australia has announced plans to reduce the number of international students allowed to study in the country by approximately 80,000, a move aimed at addressing the housing affordability crisis for young Australians.
Opposition leader Peter Dutton presented the proposal in Melbourne, stating that a cap of around 25 percent would be implemented for foreign students admitted to public universities, indicating that current migration levels are deemed 'unsustainable.'
If enacted, the proposed cap would limit international student admissions to around 240,000 per year, which is 30,000 less than the figures anticipated under the current Labor government's plan.
The Coalition estimates a maximum of 115,000 overseas student commencements each year at publicly funded universities, alongside 125,000 in private and vocational education and training courses.
Dutton emphasized that the Coalition aims to prioritize Australian citizens in the housing market, asserting, 'We're cutting migration because we want to put Australians first.
We want Australians into homes.' Additionally, the Coalition proposed to raise the student visa application fees to $5,000 for students entering the Group of Eight universities and $2,500 for all other international students.
A newly introduced fee of $2,500 will also apply for students wishing to change educational providers.
The Coalition plans to conduct a review of the visa system that allows international students to live, study, and work in Australia after their studies, indicating concerns regarding the perceived misuse of this pathway to access the Australian labor market and achieve permanent residency.
Dutton responded to questions regarding the impact of the student cap on housing affordability for first-time home buyers, pointing out potential savings on fuel costs for commuting students.
He suggested that students might save money on petrol by reducing travel times due to lower student numbers.
The number of international students in Australia has increased significantly, from roughly 520,000 in 2020 to over 850,000 projected for 2025, fostering widespread debate over their contributions and implications for the housing market.
Critics of the Coalition's proposal, including representatives from the Greens party and Universities Australia, have argued that international students are not to blame for the rising rental costs and have called the move a diversionary tactic.
Greens deputy leader Mehreen Faruqi criticized the Coalition for what she described as a 'cynical attempt to scapegoat' migrants and international students for the current housing crisis.
Faruqi also pointed out that the responsibility for housing affordability lies with ongoing government policies that have historically underprovided public housing.
Universities Australia warned that the proposal could inflict economic harm, given that international students constitute less than six percent of the national rental market.
CEO Luke Sheehy remarked that the solution to the housing issue lies in increasing the housing supply rather than limiting the influx of students.
Additionally, the Business Council of Australia echoed concerns regarding the potential negative impact on a significant export sector, underscoring the need for balanced policy-making in regard to international education.