Australia to Phase Out Accounting Professional Year Program – What It Means for Migrants
Recently, the three major accounting professional assessment bodies in Australia jointly released a statement announcing that they will gradually phase out the Accounting Professional Year (PY) program. This move has sparked widespread attention, especially among those who are currently or planning to apply for migration through the accounting profession. The decision will have far-reaching implications.
Suspension of the Accounting PY Program
According to the statement, the Accounting PY program will cease accepting new enrolments from March 5, 2025, and all courses are expected to conclude by May 1, 2026. This means that over the next two years, the PY program will be gradually phased out.
95% Drop in Participation, Financial Pressure as a Key Factor
Data reveals that participation in the Accounting PY program has plummeted by 95%, from 7,122 people in 2018 to just 340 in 2024. The three major accounting professional bodies have stated that due to the sharp decline in participation, the financial sustainability of the PY program has become increasingly difficult, leading to the decision to terminate the program.
Unsuccessful Reform Proposals: Suggestions Not Adopted
As early as December 2023, accounting bodies presented eight key proposals to the Australian Department of Home Affairs, aimed at enhancing the appeal and content of the PY program. However, despite multiple communications with the government, the suggestions were not adopted in the department’s response in November 2024. As a result, on February 17, 2025, the professional assessment bodies officially announced the discontinuation of the PY program.
Reasons Behind the Decline in Accounting PY Participation
- Increased Difficulty in Accounting Skills Migration
In the latest round of invitations for the 189 Independent Skilled Migration visa, the points score for accounting professionals reached 95 points.
For state sponsorship (subclass 190 and 491 visas), the points score for accounting professionals is generally between 90-95 points. Even with an additional 15 points for regional areas, applicants still need to achieve a base score of 75-80 points.
In comparison, other in-demand professions (such as “three-trade” occupations and building technicians) only require a points score between 65-75, with stable invitations issued in every round.
- Low Value for Money of the PY Program
The PY program lasts one year but only offers a modest 5 points towards the skilled migration score, which is relatively low compared to other available points-earning options. Previously, the PY program was often used to compensate for insufficient language test scores (e.g., IELTS results below 7 in each band), but now, applicants with low language scores have very little chance of receiving an invitation, further diminishing the attractiveness of the PY program.
- Changes in State Sponsorship Policies
Some states, such as New South Wales, have ceased issuing invitations to accounting professionals, further limiting opportunities for accounting skills migration. Although the PY program will be phased out, for applicants who are currently preparing for accounting skills migration, the 5-point bonus from the PY program remains crucial. Currently, five institutions in Australia offer the Accounting PY program, with campuses in Melbourne, Sydney, Brisbane, Adelaide, Hobart, and Darwin.
Alternative Migration Pathways for Accounting Graduates
- 407 Training Visa: Suitable for applicants who need to gain work experience.
- 482 Temporary Skill Shortage (TSS) Visa: Suitable for applicants with employer support.
- 186 Direct Entry Permanent Residency Visa (DE Category): Suitable for applicants who meet work experience and high salary requirements.
For applicants facing high points thresholds for accounting skills migration or those with low invitation rates, employer sponsorship has become a popular option.
The termination of the Accounting PY program reflects the challenging situation in accounting skills migration. The sharp decline in participation, low value for money of the course, and policy changes are the main reasons for this outcome. For accounting graduates preparing for migration, completing the PY program while it’s still available or exploring alternative pathways such as employer sponsorship or studying in regional areas may be the more strategic choice.
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