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10 Mar 2026 17:59
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  •   Home > News > International

    International students blindsided by federal government's doubling of temporary graduate visa cost

    The Department of Home Affairs has doubled the price of a post-study work visa, leaving "tens of thousands" of graduates out of pocket.


    Like many international student graduates, Katie was confused to see the price of the visa she was applying for had doubled without warning.

    "It had literally changed overnight," she said.

    "There was nothing on the news and there was no notice."

    Katie, who did not want her real name published for fear speaking out could impact her visa application, last year completed an honours degree in science and was planning to work in the Australian agriculture industry.

    She hoped to gain experience and skills to support her middle-income family's organic farming business in India.

    She also planned to save her earnings and pay off her $140,000 student debt but had to scramble to find the extra funds just to stay in the country.

    "My parents are very supportive and even if we can afford it, it would mean moving money around, and making it available on short notice is really difficult," Katie said.

    "I would rather focus my energy on looking for the right job and see how I can also positively contribute back to Australian society.

    "But now I'm worrying about finding the money to apply for my visa."

    Fee increase doubles overnight

    The visa is the temporary graduate visa (subclass 485), which allows international students who have gained their qualifications in Australia to stay in the country for up to three years to live, study and work.

    Earlier this month, the Department of Home Affairs raised the application fee from $2,300 to $4,600.

    The new price is a far cry from the $1,535 application fee in 2019.

    Education is Australia's fourth largest export, according to the Australian Bureau of Statistics, behind iron, coal and natural gas.

    International students brought about $50 billion into the economy in the financial year ending in 2025.

    Students from Pacific countries and Timor-Leste are exempt from the latest increase.

    A department spokesperson said this was "in recognition of the importance of Australia's special ties with the Pacific".

    "Australia continues to offer generous post-study work rights through the temporary graduate visa to primary applicants and their families," they said.

    A spokesperson for the Department of Home Affairs said fewer students were not expected to apply for the visa despite the price rise.

    "The visa application charge increase will unlikely be a barrier to those wishing to study or remain in Australia after graduation," a department spokesperson said.

    Price hike is 'inequitable' for thousands of students

    International Education Association of Australia CEO Phil Honeywood said the price hike was "inequitable" for the tens of thousands of students nearing the end of their study visas.

    "Australia is really getting a reputation for having pulled the welcome mat from underneath international students," he said.

    Mr Honeywood said the price of the post-study visa and student visa would deter future students from choosing to study abroad in Australia.

    The regular student visa currently costs $2,000 and is one of the costliest visas of its kind in the world — far more expensive than the United States and Canada which cost less than $300.

    "International students have been seen as a cash cow. There's no other reason for it," Mr Honeywood said.

    The National Union of Students (NUS) launched a petition calling on the federal government to reverse the fee increase which it said was "exploitative".

    NUS president Felix Hughes said the change in policy "sends the wrong message" and wished the government had consulted with students.

    "When you don't have students at the table, you get worse policy outcomes," he said.

    "This price increase can genuinely determine if someone can afford to stay and work in Australia right now and doubling it overnight undermines our confidence in the system and doesn't let students plan in advance."

    Federal Education Minister Jason Clare said international education "doesn't just make us money, it makes us friends".

    "Temporary graduate visa holders have access to unlimited work rights and are able to use their Australian qualifications to access graduate work opportunities and progress their careers in Australia or overseas," he said.

    For Katie the financial pressure has taken a toll on her mental health and she is considering jobs outside the agriculture industry just to make ends meet.

    "It's quite unfair, it makes me feel a little dejected about my future here," she said.

    "Decisions like this make it feel like we're just here to pay more."


    ABC




    © 2026 ABC Australian Broadcasting Corporation. All rights reserved

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