A fresh internal battle over Australia’s migration settings erupted in Canberra on 3 December when Victorian Liberal senator Sarah Henderson crossed the Senate floor to introduce amendments that would impose a hard 25 per cent ceiling on the share of new commencements reserved for overseas students at every public university. Her proposal—co-sponsored by senator Jacinta Nampijinpa-Price (Country Liberals) and One Nation’s Malcolm Roberts—mirrors elements of the Opposition’s 2024 bill that was blocked earlier this year, but adds a ‘carrot’ for institutions willing to invest in new beds: the cap could rise to 30 per cent if purpose-built student accommodation is delivered on- or near-campus.
Henderson argued that unrestrained student growth has pushed up rental prices, strained urban infrastructure and “distorted” the skills mix the economy really needs. The Albanese Government, by contrast, has flagged a 25,000-place expansion of student visas for 2026, insisting that education exports remain a strategic pillar worth $53 billion. Business groups fear a blanket cap would cut regional campuses off from much-needed fee revenue, while cities grappling with housing shortages see merit in slowing demand.
![Coalition Senator Revives Plan to Cap International Student Numbers]()
Universities Australia was quick to warn of “serious reputational damage” in key markets such as India and China if sudden numerical limits are legislated. Sector analysts note that Canada’s and the UK’s tightened post-study work rules have already sent more applicants to Australia; any hint of caps could reverse those gains.
What happens next? The Coalition’s leadership has not endorsed Henderson’s move, leaving the amendments unlikely to pass in the current parliament—yet the debate signals that student migration will remain an election flash-point in 2026. Corporate mobility managers should monitor for policy swings that could affect campus start dates, payroll planning for graduate intakes and demand for short-term accommodation.
Henderson argued that unrestrained student growth has pushed up rental prices, strained urban infrastructure and “distorted” the skills mix the economy really needs. The Albanese Government, by contrast, has flagged a 25,000-place expansion of student visas for 2026, insisting that education exports remain a strategic pillar worth $53 billion. Business groups fear a blanket cap would cut regional campuses off from much-needed fee revenue, while cities grappling with housing shortages see merit in slowing demand.
Universities Australia was quick to warn of “serious reputational damage” in key markets such as India and China if sudden numerical limits are legislated. Sector analysts note that Canada’s and the UK’s tightened post-study work rules have already sent more applicants to Australia; any hint of caps could reverse those gains.
What happens next? The Coalition’s leadership has not endorsed Henderson’s move, leaving the amendments unlikely to pass in the current parliament—yet the debate signals that student migration will remain an election flash-point in 2026. Corporate mobility managers should monitor for policy swings that could affect campus start dates, payroll planning for graduate intakes and demand for short-term accommodation.
