Why International Student Caps Might Have Negative Consequences for Some Professional Services

CPA Australia has raised concerns over proposals from both major political parties to cap the number of international students who can study in Australia, warning that such measures could have serious consequences for key industries, particularly the accounting profession. Gavan Ord, CPA Australia’s Business Investment and International Lead, emphasised that these proposals could worsen Australia’s existing shortage of skilled professionals, including accountants, auditors, and other critical occupations.

Impact of Caps on the Financial Industry 

CPA Australia says proposals from both major parties to cap the number of international students who can study in Australia would have negative consequences for the accounting profession. 

Gavan Ord, CPA Australia’s Business Investment and International Lead, said:

“Any proposals to cap the number of international students coming to Australia must be carefully considered and debated. Wrong steps can have significant short and long-term implications for Australia.

“Australia is already experiencing a shortage of qualified accountants and many other occupations amid soaring demand, and tertiary education is a critical pipeline to train new accountants. 

“Any measures that cut the number of genuine international students who wish to study accounting in Australian universities would exacerbate this shortage. It would have a negative knock-on effect to Australian business and the economy.

“Australia is at risk of being left behind if we do not attract the next generation of accountants, auditors and other critical occupations.”

Broader Impact on Other Professional Services

The potential consequences of limiting international student numbers extend beyond the accounting profession. Many sectors in Australia rely on qualified professionals trained through local universities, which include international students as a significant portion of their intake. This is especially true for industries such as engineering, information technology, healthcare, and law, where skilled workers are already in short supply.

In particular, industries like healthcare, which depend on a steady stream of international medical graduates, could face long-term workforce shortages. With Australia’s growing population and increasing demand for health services, a reduction in the number of international students entering medical schools could worsen existing capacity issues and strain public healthcare systems.

Similarly, Australia’s legal sector also relies on international students to help meet the demand for lawyers, particularly in specialised areas like corporate law and intellectual property. Any reduction in the number of qualified graduates could impact the efficiency of legal processes and the growth of Australian businesses seeking legal expertise.

Limiting international students could also hinder innovation in technology and engineering, fields where a diverse and highly skilled workforce is essential. By restricting access to these educational opportunities, Australia risks losing its edge in technological development and innovation, which are critical for remaining globally competitive in the rapidly changing digital economy.

Overall, limiting international student numbers could undermine the sustainability and growth of multiple sectors, slowing Australia’s economic progress and creating gaps in essential services. With global mobility and access to education becoming increasingly important in a competitive world, Australia must carefully consider the long-term implications of any measures that would reduce its appeal to international talent.

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