Treasurer cautions that deeper migration cuts would be devastating for Australia’s economy

Australian Treasurer Jim Chalmers warns that deeper migration cuts urged by opposition groups would be “absolutely diabolical” for the economy and compound intergenerational pressures. He argues the Intergenerational Report shows Australia needs a tight but robust migration system to address skills shortages in construction and care, even as net overseas migration remains well below Covid-era highs and the government pursues caps, backpacker visa lotteries, and added visitor visa restrictions. The report projects population reaching about 39.3 million by 2065-66, with productivity potentially boosted by AI if risks are managed, a theme Chalmers echoed as he dismissed slogans masquerading as policy as harmful in both the near and long term.