Increase in Visa Application Fees in Effect from 1 July 2023 Onwards | Federal Budget 2023-2024

On 9 May 2023, the Australian Government’s Treasurer Jim Chalmers released the Federal 2023- 2024 Budget. There are a few changes in the budget in relation to the migration program which will be in effect by 1 July 2023.

Increase In Visa Applicants Fees by 1 July 2023

The Department of Home Affairs is increasing the Visa Application Charges (VACs) by 6% to 40%, depending on the visa subclass. This change will be effective from 1 July 2023 onwards:

Visa CategoriesPercentage Increase
Business innovation and Investment visas40%
Visitor, working holiday, work and holiday, training, temporary activity and temporary (short stay specialist visas)15%
Other visas6%
Pacific Engagement Visa and Pacific Australia Labour Mobility visasExemption from the increase

Why Is The Department Of Home Affairs Increasing The Fees?

The Department may be planning to raise visa fees for a few reasons. One possible reason is the aim to increase visa processing capacity by hiring more visa processing officers. Moreover, the Government has allocated $27.8 million over a two-year period, beginning in 2023-2024, to improve the current visa ICT systems. These upgrades and changes aim to simplify processes and enhance service delivery efficiency, resulting in faster visa outcomes for applicants

How Does This Change Impact You As A Visa Applicant?

With the increase in visa application fees, potential visa applicants may find it difficult to meet the financial requirements, including limiting their opportunities to study, work, or achieve their goals to remain in Australia. For example: for a Partner visa (subclass 820/801 or subclass 309/100), the current visa application fee to date is AUD 8,085 and by 1 July 2023, the VAC will increase to AUD 8,570.10. For offshore potentials note that the Business Innovation and Investment visa has the highest increase with 40%. Hence, we highly suggest that you as a visa applicant apply for the specific visa (if eligible) you are aiming for as soon as possible, so you can lock in the current fees before 1 July 2023.

Does Visa Application Fees Increase Affect Visa Sponsors?

As of today, the announcement is only for visa application fees, however, there may be a probability for the sponsorship or nomination fees to increase. These changes may affect sponsors depending on if the sponsor is covering the visa applicant’s fees. If an employer who acts as a work sponsor, only covers their own responsibility for the sponsorship and the nomination fees, then the visa application fee doesn’t impact them yet. However, if you are looking to sponsor your parent on a Parent visa and planning to cover the costs, then the VAC fee increase may impact you as well. 

What Can Visa Applicants Do Now?

If you are planning to apply for an Australian visa to travel, study, work, or move permanently to Australia in the coming period. We encourage you to apply for a visa without wasting any more time to avoid the increasing fees and charges by 1 July 2023.

How Can Agape Henry Crux Assist

Contact us if you require any assistance in relation to any migration matter.

At Agape Henry Crux, our Accredited Specialist(s) Immigration Lawyers and our team of immigration lawyers and migration agents are specialised in handling highly complex matters.  You may schedule an appointment with one of our lawyers or agents to seek professional advice by calling 02-8310 5230 or email us at info@ahclawyers.com

We speak fluent English, Mandarin, and Malay. If this isn’t your language, we can also help you arrange an interpreter. 

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