Studying in Australia has just become significantly more expensive. In its second consecutive annual price hike, the Australian government has raised the application fee for the standard Student Visa (Subclass 500) to AUD 2,500 (1.65 lakh), effective 1 July 2026.
The move, announced by the Department of Home Affairs, represents a steep 25% increase from the previous AUD 2,000 fee. The fee was last year raised from AUD 1,600.
Financial impact on Indian students
For prospective students from India, this upfront cost may add to an already expensive process. The visa application charges are generally non-refundable, so an unsuccessful application now carries a much higher financial risk.
This fee hike is only one part of the financial equation. Students hoping to stay and work in after completing their degrees face another massive price barrier. The Temporary Graduate Visa (Subclass 485), a crucial pathway for gaining international work experience, has been increased to AUD 5,750.
When combining the new visa charges with mandatory health insurance (OSHC), tuition fees, and the government’s updated financial capacity threshold, which requires students to show AUD 29,710 in available living funds, the barrier to entry for Australian education is at an all-time high.
Global Trend: Tightening of International study visas
Australia is not acting in isolation. Across the globe, traditional higher-education hubs are making it increasingly difficult for international students to migrate, largely due to domestic political pressures over housing and population caps.
- : Recently capped its international study permits, ended the fast-track Student Direct Stream (SDS), and more than doubled the required proof-of-funds threshold to CAD 22,895.
- United Kingdom: In April 2026, the UK increased its student visa fee to £558, significantly raised the monthly maintenance funds students must demonstrate, and heavily restricted international students’ ability to bring dependents.
- United States: The US is overhauling its system for 2027 intakes, moving away from an open-ended “Duration of Status” visa to a fixed admission period, while also introducing a new $250 Visa Integrity Fee on top of existing baseline charges.
Why has Australia raised the fees again?
The fee adjustments are part of Australia’s broader strategy to overhaul its migration system and maintain the integrity of its international education sector. By raising the cost of entry and strictly enforcing the Genuine Student (GS) requirement, policymakers aim to deter non-genuine applicants who use the student visa system primarily as a backdoor to the labour market, rather than for academic advancement.
For actively planning their 2026 and 2027 academic intakes, the message is clear: studying abroad now requires earlier financial planning, flawless documentation, and a much larger initial budget.
At a glance: 2026 Visa fee changes
- Subclass 500 (Student Visa): Increased from AUD 2,000 to AUD 2,500 (a 25% jump).
- Subclass 485 (Temporary Graduate Visa): Increased from AUD 4,600 to AUD 5,750.
- Effective date: 1 July 2026.
- Impact: Adds high upfront costs for Indian and international students planning to study in Australia.
