Australia revises student visa rules: Edu providers exceeding 115% enrollment to face slower processing

Australia revises student visa rules: Edu providers exceeding 115% enrollment to face slower processing

If a provider (such as a university or college) exceeds 115% of its student intake target, the government will now lower the processing priority for visa applications associated with that provider

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Education providers crossing 115% enrolment limit to face slower visa processing under MD115Education providers crossing 115% enrolment limit to face slower visa processing under MD115
Sonali
  • Nov 11, 2025,
  • Updated Nov 11, 2025 1:15 PM IST

Australia has announced a new Ministerial Direction on student visa processing that will lower the visa priority level for education providers exceeding 115 per cent of their indicative annual allocation, marking a significant policy shift in the country’s international education system.

This means that each university or education provider in Australia is given an “indicative annual allocation,” essentially a guideline or target number for the number of new international students they can enrol in a year.

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If a provider (such as a university or college) exceeds 115% of its target, the government will now lower the processing priority for visa applications associated with that provider.

New policy to be implemented soon

The revised framework, Ministerial Direction 115 (MD115), will come into effect on November 15, 2025, replacing Ministerial Direction 111. It forms part of the government’s broader 2026 National Planning Level strategy to better manage the intake of international students across institutions.

In a statement, Julian Hill MP, Assistant Minister for International Education, said the new direction will “strengthen and balance distribution of international students across education providers in regional and metropolitan locations.” He added that visa processing resources will now be allocated “on an equitable basis,” with priority given to providers that operate within their indicative enrolment thresholds.

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How the new visa priority system works

Under MD115, offshore Subclass 500 (student) visa applications will be processed in three priority levels:

  • Priority 1: For providers operating below 80 per cent of their annual threshold.

  • Priority 2: For providers between 80 per cent and 115 per cent of their indicative allocation.

  • Priority 3: For providers that exceed 115 per cent, resulting in slower processing times.

The Department of Home Affairs clarified that while these categories guide resource allocation, they do not impose a cap on student enrolments. “The indicative allocation is solely used for determining the number of visa applications to be processed in accordance with Priority 1, Priority 2 and Priority 3,” the directive states.

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A warning has further been added that “integrity issues will be acted upon regardless of the assigned priority” to address any surges in applications or irregularities. All offshore applications received from November 15, 2025, will be assessed against each provider’s 2026 allocation.

Exemptions and special categories

As with MD111, all student visa applications for schools, ELICOS, non-award programmes, TAFE, pilot training, and postgraduate research will continue to receive Priority 1 processing. The same applies to government scholarship holders, transnational education students, and applicants from Pacific nations or Timor-Leste.

Additionally, students transitioning from pathway programmes or schools will not be counted as new commencements, keeping them outside the provider’s annual allocation.

Australia has announced a new Ministerial Direction on student visa processing that will lower the visa priority level for education providers exceeding 115 per cent of their indicative annual allocation, marking a significant policy shift in the country’s international education system.

This means that each university or education provider in Australia is given an “indicative annual allocation,” essentially a guideline or target number for the number of new international students they can enrol in a year.

Advertisement

If a provider (such as a university or college) exceeds 115% of its target, the government will now lower the processing priority for visa applications associated with that provider.

New policy to be implemented soon

The revised framework, Ministerial Direction 115 (MD115), will come into effect on November 15, 2025, replacing Ministerial Direction 111. It forms part of the government’s broader 2026 National Planning Level strategy to better manage the intake of international students across institutions.

In a statement, Julian Hill MP, Assistant Minister for International Education, said the new direction will “strengthen and balance distribution of international students across education providers in regional and metropolitan locations.” He added that visa processing resources will now be allocated “on an equitable basis,” with priority given to providers that operate within their indicative enrolment thresholds.

Advertisement

How the new visa priority system works

Under MD115, offshore Subclass 500 (student) visa applications will be processed in three priority levels:

  • Priority 1: For providers operating below 80 per cent of their annual threshold.

  • Priority 2: For providers between 80 per cent and 115 per cent of their indicative allocation.

  • Priority 3: For providers that exceed 115 per cent, resulting in slower processing times.

The Department of Home Affairs clarified that while these categories guide resource allocation, they do not impose a cap on student enrolments. “The indicative allocation is solely used for determining the number of visa applications to be processed in accordance with Priority 1, Priority 2 and Priority 3,” the directive states.

Advertisement

A warning has further been added that “integrity issues will be acted upon regardless of the assigned priority” to address any surges in applications or irregularities. All offshore applications received from November 15, 2025, will be assessed against each provider’s 2026 allocation.

Exemptions and special categories

As with MD111, all student visa applications for schools, ELICOS, non-award programmes, TAFE, pilot training, and postgraduate research will continue to receive Priority 1 processing. The same applies to government scholarship holders, transnational education students, and applicants from Pacific nations or Timor-Leste.

Additionally, students transitioning from pathway programmes or schools will not be counted as new commencements, keeping them outside the provider’s annual allocation.

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