Study in Australia – What Does the 2025 Cap Mean for International Students?
If you are hoping to study in Australia in 2025, it’s important to understand how the recent student cap can impact your plans. Australia is an all-time popular destination among students worldwide, especially in recent years. As of May 2024, the Australian government recorded over 810,000 international student enrolments. However, in August 2024, the Australian government announced a National Planning Level (NPL) cap limiting the number of international students who will be able to enroll in Australian universities in 2025.
This means a significant change in the number of admissions, enrollments, and visas for international students setting their sights on Australia. To better understand what this means for your study abroad plans, have a look at our breakdown of the NPL cap below.
Admission Cap Distribution
The Australian government plans to set the total number of new international student commencements to 270,000 for 2025. ‘New international student commencement’ here refers to a student starting a course with a particular provider. In other words, if the student starts a second program under the same provider, this will not count as a new enrolment under the NPL cap.
The 270,000 number is closer to 2023 student enrolment numbers, with specific maximum caps applying to higher education and VET providers. Public universities, private universities, and VET institutes will each receive their own quotas. Universities and institutions will also receive individual limitations on the basis of their current student numbers. Experts predict that institutions with an already high number of international student enrolments will receive a lower quota for 2025.
Here is the student number outlook for those planning to study in Australia in 2025:
| Institution | Enrollment Cap |
| Public Universities | 145,000 students |
| Private Universities and Non-University Higher Education Providers | 30,000 students |
| Vocational Education and Training (VET) Institutes | 95,000 students |
| Total Cap | 270,000 students |
Exclusions
The NPL limitations do not apply to a number of student types. These exceptions are mainly for students not enrolling into undergraduate and Master’s programs. Students exempt from the study cap will be:
● Current international students
● School students
● Postgraduate research students
● Students undertaking stand-alone English language courses (ELICOS)
● Non-award students
● Australian government student sponsorship recipients
● Australian transnational education or twinning arrangement students
● Key partner foreign government scholarship holders
● Students from the Pacific and Timor-Leste
Why is Australia Imposing this Student Cap?
Australia saw a large surplus of international enrollments post-COVID. Comparing student enrollments in 2019 to those in 2023, public universities have seen a 10% rise in international student volume. Private universities and VET institutes experienced a much larger rise of more than 50%.
The main goal of the student cap is to roll back the numbers to manage this growth. Australian higher education providers criticized the NPL cap, citing that this could negatively impact Australia’s position as a top global destination for students. Other experts also predict negative impacts on the Australian economy as a result of declining student mobility. The Australian government presents the following reasoning for this decision:
Improving the quality of education
One of the main factors driving this decision is the goal of improving the quality of higher education for those choosing to study in Australia. An impact of the large number of enrollments has in some cases been taxing on education providers unable to accommodate and cater to such volumes. Due to growing class sizes, the teacher-to-student ratio has been decreasing over the past few years. Improving the quality of education and facilities at institutions is a prime target of this study cap.
Imposing stricter standards for Genuine Student intention
The NPL cap is in part an extension of changes the Australian government implemented in 2024 for the Subclass 500 student visa. These changes include updating the Genuine Temporary Entrant requirement to the Genuine Student requirement and raising the English language proficiency requirements. The Australian government intends to prioritize valid student applications of those with genuine intentions to study in Australia and minimize enrolments of those applying under false pretenses.
Encouraging sustainable growth in immigration
Controlling the number of students immigrating to Australia is a focus point of this new plan. In 2023, the number of students opting for immigration increased by 30%. VET students are also changing visas to prolong their stay in Australia in hopes of longer-term immigration opportunities. This massive increase in immigration imposes pressure on Australia’s resources to accommodate students, including a severe shortage in housing. The study cap aims to encourage more sustainable growth in immigration, similar to the study permit cap the Canadian government implemented earlier this year.
Diversifying enrolment opportunities across providers
Along with limiting the number of enrollments, experts expect this reform to distribute international student numbers more evenly across its higher education providers. An institute with an already high volume of international students will receive a lower quota. On the other hand, some universities will see greater student enrolment opportunities following the NPL cap. This will diversify the student base of the higher education system, allowing a more even distribution of international and domestic students.
How Does the 2025 Cap Impact Your Study Plans?
The student cap reform plans are causing a major stir in the global education sector, affecting the Australian economy and thousands of jobs. But it also affects you as an international applicant. Your plans to study abroad in Australia, particularly for those planning to study abroad after 12th grade or for their master’s degree, need to take into account these new changes. The key areas in which you can expect changes to take place from 2025 include:
Higher competition
With these new limitations, steeper competition during admissions is unavoidable. The student cap numbers and quotas that each higher education and VET provider will uphold as well as the Subclass 500 requirement updates will make the process more selective.
Early admission and visa application
Expect an early admission deadline for applications to study in Australia. Although Australian universities generally accept applications up to the month of classes starting, the implementation of the cap may change the way these universities run their admissions calendars. You should keep an eye out for application deadlines for 2025 in Australia and apply as soon as possible.
The same may apply to international student visa applications. As of 2023, Australia has seen a 23% decrease in successful student visas. Should the NPL cap go through in 2025, experts predict a greater number of visa rejections.
Higher merit and English proficiency requirements
As competition increases, Australian universities are likely to be more selective with their admission requirements. Merit requirements and English proficiency requirements may both be tighter should the NPL student cap go through. In fact, the Australian government implemented a higher English language requirement in 2024 for student visa applications. In order to ensure the maximum number of successful enrolments and student visa issues, universities are likely to be more discerning about incoming applications.
Is There a Plus Side?
Developing scenario
It is important to stress that while the NPL student cap would cause significant changes to the Australian education sector, it is still a developing situation. Australian universities and other education stakeholders are strongly making a case against such a drastic change, to minimize the potential decline of Australia’s position as a global education leader and subsequent impacts on the economy.
At the time of writing, the study cap plan is pending review by the Australian parliament before it can become law. As a result, if you are planning to study in Australia, it will be worth your while to closely watch how the situation develops and diversify your study abroad plans to stay responsive.
Diversified enrolment opportunities
Australian universities which have traditionally seen the highest numbers of international students will face the greatest restrictions in student enrolment numbers. On the other hand, other world-class Australian universities will have more flexibility in enrolling higher international students in comparison to previous years. Some public universities that will be enrolling greater numbers of international students under the NPL cap include:
| University Name | Student Numbers in 2023 | Student Numbers in 2025 |
| Australian Catholic University | 1,580 | 1,700 |
| Charles Darwin University | 1,997 | 2,200 |
| Charles Sturt University | 162 | 1,000 |
| Deakin University | 5,448 | 5,800 |
| Flinders University | 2,692 | 3,000 |
| James Cook University | 1,962 | 2,200 |
| Monash University | 8,310 | 10,000 |
Smaller classes and greater resource access
Each program is expected to decrease the number of applicants significantly. As a result, successful applicants will experience smaller class sizes and healthier teacher-to-student ratios. You will enjoy the benefits of better access to and attention from your professors in university. Higher education providers will also be able to accommodate the resource needs, including opportunities like scholarships, of these smaller classes more effectively.
Rounding Up
It’s natural to feel nervous or uncertain about your plans to study in Australia considering the Australian government’s study cap plans. Nonetheless, it is important to remember that this plan is not yet law. As this is a developing situation, we recommend keeping a close eye on how the situation develops, while working on strong applications and diversifying your options for a world-class degree abroad. For more insight and guidance, contact one of our Student Success Consultants today.
