Big Changes in Australian Immigration: Here’s What You Need to Know this F.Y. 2025-2026
Australia’s immigration landscape is evolving once again, with several key updates announced for the new financial year. From streamlined English testing to expanded student opportunities and clearer state nomination criteria, these changes signal Australia’s ongoing commitment to attracting global talent, skilled workers, and future residents.
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New Visa Rules for the Financial Year 2025-2026
The start of each financial year brings fresh updates to Australia’s visa system, and 2025 is no exception. Recent adjustments focus on ensuring the migration program continues to meet Australia’s labour market needs while maintaining integrity and fairness.
Here are the key highlights:
The new financial year, which began on 1 July 2025 and runs through 30 June 2026, brings several impactful updates for visa applicants, employers, and migrants across Australia.
Visa application charges have been increased across a wide range of visa subclasses.
The minimum salary threshold for employer-sponsored visas, such as the Subclass 482 Skills in Demand Visa, has risen. This means employers will need to offer a higher base salary to meet sponsorship obligations.
Positive developments in South Australia’s DAMA (Designated Area Migration Agreement) now allow permanent residency after just 2 years on a Subclass 482 visa (previously 3 years), making the regional migration path more attractive and efficient.
From 7 August 2025, the Australian Department of Home Affairs is making important changes to the English language test requirements for visa applicants.
The Albanese government has announced a major increase in international student places, lifting the cap by 25,000 to a total of 295,000 for 2026.
These changes underline the importance of reviewing your visa strategy carefully. Even if you were previously eligible, new rules may affect your pathway.
English Test Changes
Good news for visa applicants—the Department of Home Affairs has streamlined English testing requirements. Applicants now have access to more flexible options when proving their English ability.
Wider acceptance of alternative English tests, giving applicants more choice and less pressure when preparing.
Faster processing for applicants who meet the new, simplified requirements.
This update makes the visa process less daunting, particularly for students and skilled migrants who previously struggled to meet stringent English test benchmarks.
Student Cap Raised to 295,000 by 2026
In a major boost to Australia’s education and migration sectors, the government has announced an increase in the international student cap to 295,000 by 2026. This move aims to:
Strengthen Australia’s position as a leading global education hub.
Support universities and training providers with a sustainable flow of international enrolments.
Create clearer pathways for students to transition into skilled migration after graduation.
For students, this means more opportunities to study in Australia and potentially secure long-term residency options.
National Innovation Visa Updates – NSW, SA, and Victoria
Another important development is that New South Wales (NSW), South Australia (SA), and Victoria have released updated nomination requirements for the National Innovation Visa (subclass 858).
This visa is designed to attract highly talented individuals in priority sectors such as tech, health, energy, and advanced manufacturing. Each state has tailored its criteria to align with its economic priorities, providing:
Sector-specific requirements that highlight what industries each state is focusing on.
Clearer nomination pathways, making it easier for high-calibre applicants to assess their eligibility.
Opportunities for global innovators to contribute to state-led initiatives in research, entrepreneurship, and future industries.
These updates give skilled innovators and entrepreneurs a stronger, more transparent pathway to permanent residency through state support.
What This Means for Migrants
Together, these updates show that Australia is balancing higher standards with greater opportunities. While eligibility criteria may tighten for some applicants, pathways are opening for others through:
Easier English testing requirements.
Expanded international student opportunities.
State-led innovation visa pathways in NSW, SA, and Victoria.
Continued incentives for regional migration.
The message is clear: now is the time to review your visa options and plan ahead.
With major updates now reshaping Australia’s visa pathways, including new eligibility rules, easier English test options, expanded student caps, and updated state nomination criteria, there’s never been a better time to act.
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