This report examines a sharp rise in international student attrition (dropout rates) at Australian universities and what it reveals about the growing misuse of the student visa system.

The report shows that first-year dropout rates among international undergraduate students have risen to historically high levels. While attrition alone does not prove intent, the scale, concentration and timing of these dropouts strongly suggest that a growing number of students are enrolling at Australian universities without any intention of completing their degrees.

The analysis finds that this behaviour is closely linked to lower-cost degrees and capital-city branch campuses operated by regional universities. Many students appear to be using university enrolment as a pathway to access Australia’s labour market through student and bridging visas, before transferring to cheaper vocational courses or lodging appeals that allow them to remain and work in Australia for extended periods.

The report proposes targeted reforms to restore integrity to the student visa program while protecting Australia’s legitimate international education industry.