Australian Immigration Daily News

The Government delivered the 2018/19 Budget this month and large focus of the budget remains tightening Australia’s borders and managing net migration intake.  In a joint press release, Hon Minister for Immigration Peter Dutton notes following elements will be a key focus of the Budget expenditure:

• Use of body scanners and advanced X-ray equipment at major and regional Australian airports;
• Deployment of more than 140 additional AFP Counter Terrorist First Response officers at airports and a further 50 officers to provide tactical intelligence and other support;
• Upgrades to inbound air cargo and international mail screening technology;
• Improved training and accreditation of all screening staff at airports;
• $50.1 million in funding to support regional airports to upgrade security. 

"Through these new measures and funding initiatives, the Government is ensuring the Home Affairs Portfolio and security agencies have the tools needed to keep Australia open for business while managing the increasingly complex security environment," Mr Dutton said.  Full statements can be read here:  http://minister.homeaffairs.gov.au/peterdutton/Pages/Budget-2018-Keeping-Australians-Safe.aspx 

As per standard policy the visa application fees are expected to increase on 1 July this year.  Historically speaking, the fees are incremented in line with the Consumer Price Index (CPI). The Home Affairs Report notes that revenue from Visa Application Charges (VAC) is expected to increase to $2,541.7 million in 2018–19, an increase of $394.4 million over the 2017–18 estimates.

The increase is primarily due to previous Budget measures, which impacted visa applications and pricing and, to a lesser extent, new measures. A further increase of $119.5 million is due to increases in the revenue estimates for both the Passenger Movement Charge (PMC) and Import Processing Charge (IPC). The expected increase in collections of the PMC generally aligns with the expected growth in international passenger movements. The estimated increase in IPC is primarily due to the expected growth in imports, which have the IPC applied. The projected revenue from IPC, as part of the Aviation, Air Cargo and International Mail Security Package measure, will be used to offset the costs associated with this measure. 

The total departmental revenue is expected to decrease from $2,699.7 million in 2017–18 to $2,648.3 million in 2018–19. The decrease of $51.4 million is due to a decrease in Revenue from Government (appropriation revenue) of $68.2 million, slightly offset by an increase in the Department of Home Affairs’ own source income of $16.8 million. 

In 2018–19, the planning figure for the Migration Program remains unchanged at 190,000 visas, marking the seventh consecutive year this figure has been used. This was announced in the Regional Australia ministerial budget statement, unlike in past years where the figure was in the Department of Home Affairs Portfolio Budget Statement.  This continues the highest planning level on record.  Whilst the total figure remains unchanged, the composition will appear somewhat different to previous years.  

Specifically, the following is to be expected in the new migration year: 

• A New Category visa for NZ citizens will see additional places allocated to 444 visa holders transitioning to permanent residency.  The Department has confirmed that it will allocate approximately 10,000 places
• A sharp fall in temporary skilled visa applications as a result of broader policy changes will likely see an increase in grants of other visas categories including retirement category visas 

In terms of migration intake for the next financial year, the humanitarian program is set it increase in numbers.  The figure is expected to rise from 16,250 to 18,750. 

Finally, a new fund for training Australians, the Skilling Australians Fund (SAF), was introduced in the 2017–18 Budget. The SAF imposes a levy on employers who sponsor temporary and permanent skilled migrants. A new measure in the 2018–19 Budget provides for a series of employer refund and exemption provisions. The Australian Government expects to forego $105.1 million over the forward estimates, resulting in an equivalent reduction in payments to state and territory governments via the SAF.   Full information on planning levels can be found here: https://www.aph.gov.au/About_Parliament/Parliamentary_Departments/Parliamentary_Library/pubs/rp/BudgetReview201819