The Australian Federal Government has just released the 2022–23 financial year budget.
The measures most directly relevant to migration fall under the Home Affairs portfolio — covering migration and visas — and there is plenty of good news. Let’s take a closer look!
21-22This Financial YearSkilled stream supplemented with 10,000 additional PR places
Because the family stream partner visa backlog has been substantially cleared, 10,000 places originally allocated to the family stream will be reallocated to the skilled stream this financial year,meaning the skilled stream PR allocation for this financial year will rise from 79,600 to 89,600. The most direct impact is that grants may speed up. While 10,000 extra places is a drop in the ocean compared to the backlog, we have seen the Department actively processing older applications lodged between late 2019 and early 2020 — and we hope to see that momentum continue.
Next Financial Year — FY2022–23
Skilled stream total to rise to 109,900!
The confirmed total PR quota for FY2022–23 is 160,000 — unchanged from recent years,but the skilled migration allocation returns to 109,900, representing 68.69% of the total (nearly seven in ten),which is 30,300 more than this year’s original allocation — broadly returning to pre-pandemic levels, when the ratio was also approximately 6:4.
The family stream falls to 50,100 — a reduction of 27,200. The category with further room to decrease is partner migration; the budget also notes that the partner visa backlog has largely been cleared,while the overall parent migration allocation increases from the current 4,500 to 6,000,though the specific breakdown between contributory and non-contributory parent visas has not yet been published.
Subclass 189/190/491 and employer-sponsored visas all see quota increases next financial year!
According to more detailed reporting from the ABC,the skilled migration categories that everyone is watching have broadly all seen growth. Subclass 189 and the regional categories (Subclass 491 and 494) have more than doubled, making them the biggest winners.
Regional Australia visas are set to more than double from the current 11,200 this financial year,which means roughly 25,000 places once doubled,in support of “regional and rural Australia’s growth”.The Regional category of PR places is split between Subclass 494 and Subclass 491,but because Subclass 494 is considerably harder to obtain than the old Subclass 187, most applicants are pursuing Subclass 491,so this is positive news for Subclass 491 in the coming financial year.
The good news for Subclass 491 can be examined from two angles:
① State nomination quotas for Subclass 491 are expected to increase for each state in the coming financial year,While state nomination quotas and PR quotas are not directly linked and are not distributed evenly, the PR quota (regional+State/Territory Nominatedcategory) forms the basis for state nomination allocations,and can be seen as a directional signal — when PR quotas rise, the Department tends to be more generous when allocating state nomination places to state governments, much like a landlord with a well-stocked grain store.So it is to be expected that states will continue to actively promote Subclass 491. BTW, this budget devotes considerable space across multiple sections to support for regional areas — which truly is the direction of travel.
② Subclass 491 grant processing is expected to speed up,This is directly relevant, because Subclass 491 grants are directly tied to the PR quota in the financial year the grant is made — for example, an applicant invited and lodged in FY2020–21 who waited until FY2022–23 for their grant would draw from the FY2022–23 quota.This means that from the start of the new financial year, the Department will have more PR places available to grant Subclass 491 visas.
We hope that everyone waiting for their Subclass 491 — whether for an invitation or a grant — will hear good news soon.
Analysis of the Subclass 189 increase:
Similar to Subclass 491, the PR quota increase should have the most direct impact on grants,though in practice, a large proportion of current Subclass 189 applications are under the New Zealand Stream,with recent figures estimated at around 10,000 and new lodgements continuing — largely unaffected by the pandemic (with some exemptions likely). Whether this will directly improve Subclass 189 invitations remains to be seen,
If you’re considering switching from Subclass 190 to Subclass 491, or exploring a Plan B,
feel free to contact our state offices below!
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