Productivity Commission recommends abolition of visa for migrants’ parents or jack up visa fee

Australia’s Productivity Commission recommended the abolition of the permanent visa for parents of migrants or to boost the fee greatly. In pushing for these measures, the commission points out annual intake of the parents cost Australian taxpayers $3.2 billion yearly.

In a report, the commission says permanent residence visa for parents must be provided only in extreme, compassionate circumstances. One way to address the issue is to have a new temporary parent visa in which the migrant children in Australia or parents are responsible for the health and welfare costs, reports The Australian.

The $50,000 contribution charge covers only a small portion of the yearly intake of about 7,200 contributory parents. Another 1,500 make a minimal contribution, while the cumulative costs of a parent visa holder in 2015-16 was between $335,000 and $410,000, noted News.com.au.

The commission estimates net liability to the Australian community as a result of the assistance needed by 8,700 parents over their lifetime would be between $2.6 billion and $3.2 billion. This makes “the case for retaining parent visa in their current form” weak, says the report.

Although the commission acknowledges migration could be good for the economy and the budget, it points to the too many loopholes which allow migrants with insufficient skills and English language to gain permanent residency. The solution would be to overhaul Australia’s skilled migration intake.

The study identified that age 25 when they arrive as when the migrant makes the greatest overall contribution to Australia. However, skilled visa holders could still deliver a boost to the budget if they arrive before 40.

VIDEO: Parent Visas to Australia – How to start the process

Source: National Visas