‘Catastrophic’ student caps blasted before inquiry

Training colleges say new laws cracking down on dodgy providers will rob them of the vast majority of their international students.

The revelation comes as industry groups, federal departments and colleges prepare to appear at a Senate inquiry into education services for overseas students on Wednesday.

From 2025, the number of overseas students able to come to Australia will be limited to 270,000, as part of a bid by the federal government to reduce migration to pre-pandemic levels.

However, colleges across several sectors will tell the inquiry how the caps could hinder their ability to operate.

Chief executive at Basair Aviation College, David Newton said the policy would reduce its international student intake from 224 this year to just two in 2025.

“Such a reduction would be catastrophic for our business and the broader Australian aviation industry,” he said in submissions to the committee.

“Threatening our ability to deliver high-quality training and undermining Australia’s role as a key player in global aviation education.”

Similarly, the Academy of Interactive Entertainment’s submission said it would suffer “direct impacts, financial losses and irreversible damages” under the proposed laws.

The academy, which specialises in video games and visual effects, has been allocated two international students out of a possible 248 in the current allocation.

The $48 billion international education sector supports about 250,000 jobs across Australia, with overseas students having university fees three times higher than domestic students.

Announcing the new caps in August, federal Education Minister Jason Clare said the surge in international students had increased the number of shonky education providers trying to “make a quick buck” by gaming the system.

“That growth … has lured people who really are here to work, not study,” Mr Clare told the Australian Financial Review’s higher education summit.