As Australia approaches its federal election, the opposition Coalition has intensified its stance on international education policy, with Opposition Senator Sarah Henderson addressing university leaders at the Universities Australia Solutions Summit in Canberra. Henderson reinforced the party’s position that “Australian students must come first” while outlining plans for tougher international student caps than those proposed by the current Albanese government. This political positioning occurs against a backdrop of record international student numbers and growing debate about the impacts of education-driven migration on Australian society and infrastructure.
Coalition’s Policy Approach
The Coalition’s proposed caps would specifically target what Henderson described as “excessive numbers of foreign students in metropolitan cities, particularly Melbourne and Sydney where two thirds of foreign students live and study.” This geographic focus represents a key element of the opposition’s strategy, which promises to deliver what party leader Peter Dutton has characterized as more stringent limitations than current government proposals. Henderson emphasized that their approach would provide long-term certainty for educational institutions, with special consideration for regional areas where international students play integral roles in local economies.
The political context for this policy stance includes the Coalition’s previous opposition to the Albanese government’s legislation that sought to cap international enrollments at the provider level. This bill remains stalled in the Senate after being blocked by the Coalition, who argued it did not go far enough to reduce international student numbers. Henderson characterized the current situation as the result of the government “lurching from crisis to crisis,” claiming they had “opened the floodgates to record levels of international students” while subsequently implementing what she termed a “botched student cap” that damaged regional universities.
Current International Student Landscape
Australia currently hosts approximately 849,000 international students, representing an 8.3% increase since December 2023. Henderson highlighted this growth as problematic, warning of increased pressure on housing, infrastructure, and services throughout the country. She explicitly attributed this growth to Labor’s “Big Australia” policy, characterizing the situation as an “immigration mess” that requires correction. This framing positions international education primarily as a migration issue rather than an educational or economic matter.
The financial dimension of international education featured prominently in Henderson’s critique of the current system. She pointed to one Group of Eight university where international students reportedly comprise 50% of the total student population and generated $1.45 billion in revenue in 2023. Henderson claimed the proportion of international students is frequently much higher in postgraduate courses, suggesting universities have become overly dependent on what she termed “eye watering revenues” from foreign students. She argued this business model is neither sustainable nor aligned with community expectations about Australia’s higher education system.
Economic Implications and Sector Response
The university sector has mounted a vigorous defense of international education’s value to Australia. On the same day as Henderson’s address, Universities Australia CEO Luke Sheehy spoke at the National Press Club of Australia, reminding parliamentarians that international education represents Australia’s largest export outside of mining. Sheehy characterized it as an “additive industry, not an extractive one” that supports approximately 250,000 jobs, funds vital university research, and crucially, subsidizes the education of domestic Australian students.
Sheehy emphasized the broader contributions international students make to Australian society and economy, including their participation in the workforce across hospitality, retail, tourism, and healthcare sectors. He also highlighted the cultural and diplomatic benefits of international education, suggesting it strengthens Australia’s connections to the global community. Sheehy referenced a recent warning from the Reserve Bank of Australia that federal policies limiting international students are already weakening education exports, underscoring the economic stakes of the political debate.
As Australia moves toward its federal election, international education policy has emerged as a significant point of political differentiation between major parties. The Coalition’s emphasis on stricter caps and reduced numbers reflects broader concerns about immigration and housing, while the university sector continues to highlight the economic and cultural benefits of international education. Sheehy’s claim that “international education should be above politics” appears increasingly aspirational as the debate intensifies, with substantial implications for Australia’s higher education system, economy, and international relationships hanging in the balance.
