Key Highlights
Australia has ensured that its permanent migration program of 2025-26 will continue to comprise 185,000 places, the same as in the previous year. The Australian government announced this decision on September 2, 2025, after significant consultations had been carried out with state and territory governments, who also agreed to keep the size and structure of the program the same.
Skilled Migration Takes Center Stage
Australia still relies on the skilled migration stream that controls most immigration policy and occupies 132,200 spots, just under 71% of the total program quota. This is a strategic emphasis on handling urgent workforce shortages in the strategic areas of the construction industry, health, aged care, and information technology.
Australia has one of the most significant skills gaps, as almost one in every three occupations is officially in short supply. The construction industry alone needs another 130,000 workers to achieve the government target of constructing 1.2 million new houses by 2029. The healthcare and aged care sectors require more than 54,000 and above 50,000 aged care workers and registered nurses to cater to increasing demand.
Talent and Innovation Visa Category
The most significant change in the skilled stream is the launch of a new category called the Talent and Innovation visa category, which will have 4,300 spots in the 2025-26 program year. This category replaces the former Global Talent and the Distinguished Talent programs and includes the new National Innovation visa.
The National Innovation visa (subclass 858) focuses on highly accomplished people with global recognition in professions, sports, arts, academia, and research. The new visa is also more affordable to new talent than the previous programs because it does not require one to earn the existing income requirement of AUD 183,100.
Also Read: Top 10 Reasons for Migration: Causes, Impact & More
Family Stream Allocation
The family reunion aspect sustains 5,500 locations, comprising 28 per cent of the program. This stream is demand-driven, especially in Partner and Child visas, and the levels of planning are to be aligned with the anticipated levels of demand.
The family stream is broken down as follows:
-
Partner visas: 40,500 places
-
Parent visas: 8,500 places
-
Child visas: 3,000 places
-
Other family types: 500 places.
Special Eligibility Stream
The Special Eligibility stream will be the most stingy at 300 places, equal to the last program year. This category deals with certain situations and humanitarian factors in Australia's migration system.
Migration Program Distribution by Stream
Here is a table showing the migration program distribution by stream:
|
Stream Category |
Places Allocated |
Percentage |
Key Focus Areas |
|
Skilled Migration |
132,200 |
71% |
Addressing workforce shortages, innovation |
|
Family Reunion |
52,500 |
28% |
Partner, child, parent visas |
|
Special Eligibility |
300 |
1% |
Humanitarian, specific circumstances |
|
Total Program |
185,000 |
100% |
Balanced economic and social objectives |
Skilled Migration Subcategories
Here is a table listing the skilled migration subcategories:
|
Visa Category |
2023-24 Places |
2024-25 Places |
2025-26 Places |
|
Employer Sponsored |
36,825 |
44,000 |
44,000 |
|
Skilled Independent |
30,375 |
16,900 |
16,900 |
|
Regional |
32,300 |
33,000 |
33,000 |
|
State/Territory Nominated |
30,400 |
33,000 |
33,000 |
|
Business Innovation & Investment |
1,900 |
1,000 |
1,000 |
|
Talent and Innovation |
- |
- |
4,300 |
|
Global Talent (Independent) |
5,000 |
4,000 |
- |
|
Distinguished Talent |
300 |
300 |
- |
Also Read: Australia Revises Net Migration Forecast Upward, Sparking Debates
Economic Impact and Strategic Planning
The migration program in Australia is an economic policy pillar aimed at meeting the workforce requirement, without allowing social disintegration. The program is aimed at the priority sectors with an acute shortage of skills, especially those that are future-oriented, such as technology, energy, infrastructure, education, and health.
The predictable 185,000-place quota offers stability to employers, state governments, and potential migrants as the government makes larger reforms of its migration strategies. This is a method of harmonising short-term workforce requirements with long-term population planning goals.
State and Territory Considerations
Individual state and territory distributions are still scrutinised, with specific figures emerging. States such as Queensland and Western Australia are still working on their nomination programs to match the local workforce priorities and economic development strategies.
The program format enables the states to nominate candidates that suit the local skills requirement, which forms opportunities to develop the regions and deal with the geographic dispersion of skilled labour within Australia.
Also Read: Australia’s Migration Overhaul: Stricter Rules for Students & Skilled Workers
Conclusion
The 2025-26 migration program in Australia is strategically consistent but incorporates specific innovations to draw global talent and overcome the challenges posed by the workforce. The place allocation of 185,000 represents a moderate combination of economic needs and social factors, so Australia can be competitive in the global talent market and simultaneously provide sustainable population growth.
Establishing the Talent and Innovation visa category has been a significant development in the Australian process of skilled migration, which has streamlined the old programs and introduced new avenues to exceptional skills. With this restructuring, Australia would be better positioned to compete with international talent in the key areas that will attract future economic growth and innovations. Contact TerraTern for more information.
