Recent free trade revisions raised the working holiday age limit to 35 and removed regional work requirements, driving British backpacker numbers up to an expected 77,000 by 2025-26. Because most travelers choose to remain in metropolitan hubs, farming and hospitality groups across Far North Queensland and other remote regions are facing critical workforce deficits. Prime Minister Anthony Albanese recently discussed potential adjustments to the pact with UK counterpart Andy Burnham during a Caribbean summit. The issue is further compounded by broader domestic plans to limit net migration by capping extended holiday visas via a ballot system.
Key points
Regional businesses and farming bodies are suffering severe operational shortages because…: Regional businesses and farming bodies are suffering severe operational shortages because foreign workers are congregating in major cities.
The Australian government is actively negotiating with the United Kingdom to amend free t…: The Australian government is actively negotiating with the United Kingdom to amend free trade terms to protect rural industries.
Domestic political pressure to reduce net migration has prompted visa processing slowdown…: Domestic political pressure to reduce net migration has prompted visa processing slowdowns alongside the proposed holidaymaker extension caps.
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In a Mexican restaurant in north-east Australia, the nacho bowls are served by staff from France, Italy, Ireland and Argentina.
Cairns has long attracted a young and transient international crowd, who enjoy the tropical lifestyle while earning money for travel.
But one nationality is in shorter supply than it used to be.
"You get far fewer British backpackers looking for jobs here these days," says Mexicairns owner Peter McLeay.
It's a trend McLeay has noticed since mid-2023, when a free trade deal between the UK and Australia kicked in.
That agreement - as well as tariff-free trade in Tim Tams and Penguins - included special treatment for Brits on working holiday visas: exemption from having to find jobs in regional or remote places if they wanted to remain beyond a year.
That, along with an increase in the age limit from 30 to 35 saw backpacker visas issued to Brits surging from 47,200 in 2023-24 to just over 77,000 in 2025-26, according to the latest Australian government data.
Without the incentive to go regional, many are choosing to…
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