Australia seeks to revise UK trade deal over backpacker visa rules
Prime Minister Anthony Albanese is discussing changes to visa exemptions for British travellers to address regional labour shortages.
The Australian government wants to revisit a free trade deal with the UK because British backpackers are increasingly choosing cities over regional areas, according to a BBC News report. Under the current agreement, British citizens on working holiday visas are exempt from the requirement to perform regional work to extend their stay.
The Australian government data shows that backpacker visas issued to Brits rose from 47,200 in 2023-24 to over 77,000 in 2025-26. Unlike travellers from other nations, British visa holders do not have to complete specified regional work in sectors like agriculture or tourism to qualify for second or third-year extensions.
Prime Minister Anthony Albanese recently met UK counterpart Andy Burnham in the Caribbean to discuss the issue. Albanese told reporters he has advocated for rule changes and noted that Burnham was constructive during the talks. The Prime Minister stated that the trade agreement could be adjusted if there are valid policy reasons.
Regional businesses are reporting a decline in British workers. Mark Olsen, chief executive of Tourism Tropical North Queensland, said the number of young Brits in his region fell from approximately 20,000 to around 11,000 since the trade deal began in 2023. Cairns restaurateur Fintan Rafferty said his British staff count dropped from nearly 25 to five.
The National Farmers Federation welcomed the discussions but noted that agricultural worker shortages involve broader issues. The federation stated that backpackers account for one in seven farm jobs across Australia, with 52,000 people on working holiday visas working in horticulture annually.