Replacement of the global talent visa with a new national innovation visa

During the 2024 Federal Budget, the Australian Government indicated that the global talent visa (subclass 858) will be replaced towards the end of 2024 and that the Business Innovation and Investment visa (subclass 188) program will be phased out. 

The new visa to be established in replacement, named the ‘National Innovation visa’, will be designated as the new method for exceptionally talented migrants to come to Australia and drive national growth in sectors of importance for the Australian economy.

While information regarding this new visa is scarce, it is likely that the Australian Government’s aims under the replaced and closed visa programs will be refined to ensure that Australia’s migration program continues to provide strong results for the country.

This post will outline the two visa programs that have been changed, and provide information about what to expect from the National Innovation visa as well as the effects of any changes on current applicants.

For individuals who had previously applied for or were considering applying for a Global Talent visa or under the Business Innovation and Investment visa program, an Australian Migration Lawyer can provide information, specific advice or guidance to applicants on their visa options and respond to questions they may now have.

What is the global talent visa? 

The global talent visa (subclass 858) is a competitive skilled visa designed to streamline the migration process for individuals who are highly skilled in identified areas of benefit for Australian society. The visa is a central element of the Global Talent Independent Program, designed to attract individuals in future-focused sectors to Australia so that they encourage skill transfers, innovation and jobs for Australian workers that benefits Australia socially and economically. The visa encompasses skilled workers from various fields, including various professions, sports, arts, academia and research. The program operates on a limited quota system, and is subject to eligibility criteria such as demonstration of an applicant’s global recognition, nomination by an approved sponsor and the potential for the applicant to contribute to Australia. This pathway is attractive to individuals and organisations alike, as well as benefiting society at large. Successful applicants and their families are granted a visa that provides them permanent residency in Australia and its associated benefits.

What is the business innovation and investment visa program? 

The Business Innovation and Investment visa (subclass 188) program is a migration program designed to encourage innovation and investment in the Australian economy. Following the COVID-19 pandemic, this program was refocused on fostering economic growth in Australia’s business sector by allowing successful individuals to come to Australia and own and manage a business or engage in entrepreneurial activities. The program is split up into four main streams, primarily relating to either business operation or major investment in the Australian economy. This program was initially attractive to individuals and the Australian Government alike as it provided overseas individuals an opportunity to innovatively stimulate the Australian economy. The Business Innovation and Investment visa program provided options to extend visas as well as a pathway to permanent residence for applicants where eligible. 

Why are these visas being replaced?

Following the Australian Government’s Migration review in 2023, it was announced at the 2024 Federal Budget that both of these visa subclasses would be changed in the future. 

It is important to note that these changes are occurring in the broader context of the Australian Government’s decision to refine and restrict migration to the country to ensure its alignment with Australia’s perceived national interests.

In the Migration Review, it was identified that both the global talent visa and Business Innovation and Investment visa program were not delivering their expected economic outcomes for the Australian public. 

Regarding the global talent visa, it was suggested that this visa’s eligibility was reconsidered and reevaluated, given the level of demand for the visa, its need for nomination and its importance to Australia’s interests, and that it should be modelled on the United Kingdom’s approach. 

In relation to the Business Innovation and Investment visa program, it was highlighted by the review that the program provides a lower economic and fiscal contribution to the Australian economy than expected and that the program needs to be wholly reconsidered in order to be effective. These findings in the Migration Review were also supported by other studies conducted by federal bodies.

Therefore, following the Migration Review’s assessment of both these visas, the Australian Government has decided to create a new visa to target exceptionally talented individuals in a way that is more effective and beneficial for the Australian economy.

What happens with these visas now?

The government has provided clarification to those holding or who have applied for either of these visas.

In relation to the global talent visa, it is not expected that current visa holders or applicants will be adversely affected immediately. Individuals should be aware that the Government has reduced the visa quota for this subclass down to 4000 in the coming Migration Program year, reflective of its intent to transition to a new visa type. Individuals should be aware that while applications are assessed against the eligibility criteria applicable at the time of their visa application, grants of the new National Innovation visa in 2024 will be counted under the quota available under the global talent visa.

For the Business Innovation and Investment visa program, this visa program will close to new applications from July 2024, with any pre-lodged applications before this date continuing to be processed. The Government reduced the amount of visas available under this program by 900 visas to 1000 in the 2024-2025 permanent Migration Program year and have also tightened the policy guidance involved in considering any applications. The Government has confirmed that there will still be visas available for individuals who wish to pursue the permanent visa pathway available under visa subclass 888. For individuals who wish to now withdraw their application under this visa program, the Department has stated that further information will be provided from September 2024.

Regarding the establishment of the new National Innovation visa, the Government stated that this visa will be announced and available towards the end of 2024. To prepare for the transition to this visa, the Government allocated $1.4 million for this process. At the time of writing, further details are yet to be released.

For affected individuals, individuals planning to apply for one of these visas or individuals with questions, Australian Migration Lawyers can help provide guidance on potential next steps and assess other relevant visa pathways where needed. If this applies to you, please contact us.

What to expect from a National Innovation visa?

While at the time of writing no further information has been provided about what to expect with the new visa, given the context of the Australian Government's decision to make the change, there are several things at Australian Migration Lawyers that we think can be expected:

• The Government has made these changes due to the need for Australia’s migration program to be more effective and produce better results for Australia. Therefore, the Government will likely seek to maintain the overall objective of the two replaced visa subclasses with any new visa. This being, to encourage Australia’s continued social and economic development by attracting highly skilled individuals, business operators and investors to the Australian market.
• The Government is also likely to in some form combine the two visa programs, merging together the eligibility criteria, application process and benefits for individuals to provide a single targeted visa program. Similarly, it is likely that the application process will be refined and streamlined under the new visa subclass.
• The Government is likely going to maintain the lower quota numbers of any potential new visa subclass. This will be to ensure the effectiveness of the new visa program, maximise the benefits of granting this visa and maintain alignment with the broader plans to reduce Australia’s net migration numbers. 
• The Government is likely going to continue to offer permanent residency as an attractive benefit to encourage ‘exceptionally talented migrants who will drive growth in sectors of national importance’ to come to Australia.

While these are just predictions, at Australian Migration Lawyers, we are committed to assisting our clients navigate Australia’s migration frameworks with ease and confidence. Therefore, once the Australian Government formally announces the new National Innovation visa, we will communicate with our clients to explain the visa and how to take advantage of this new exciting program.

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Benefits of engaging an Australian Migration Lawyer

At Australian Migration Lawyers we are knowledgeable and experienced in assisting our clients with a range of immigration-related matters. An Australian Migration Lawyer can provide assistance to individuals at any stage of the process, including providing provisional information about their available options, guiding them through the application process and representing them where necessary. 

For individuals who are impacted by the recent Australian Government changes and want tailored advice and guidance, contact an Australian Migration Lawyer.