A travel charge most Australians don't know they pay is rising again
The budget included a further increase on a long-standing hidden tax affecting Australian travellers.
www.sbs.com.auHere’s the latest I can share based on recent reporting and official updates.
Core answer
- The Passenger Movement Charge (PMC) in Australia has been raised to 80 AUD for departures starting January 2027, up from 70 AUD. This is part of the budget measures announced by the government and is expected to raise additional revenue over the next five years.[2][3][5]
Context and key details
- Timeline:
- Existing rate: 70 AUD per passenger.
- Increase: 10 AUD, effective January 1, 2027 for everyone departing Australia on international flights or sea transport.[5][2]
- Rationale and impact:
- Government budget documents frame the increase as broadly in line with inflation and aimed at raising additional revenue from departures. Industry groups have criticized the move as a potential drag on travel demand and Australia’s tourism recovery.[3][4][2]
- Revenue expectations:
- The government projects substantial additional revenue over five years (various estimates cite around several hundred million AUD in incremental revenue; one source notes up to around 755 million AUD over five years). Exact figures vary by source and projection window.[2][5]
- Industry response:
- Travel industry bodies and cruise lines have expressed disappointment, arguing the higher exit fee could dampen travel and cruise tourism to Australia.[9][2]
Notes on sources
- Official measure and budget context: government communications and budget material discussing PMC adjustments and inflation alignment.[3]
- Media reporting summarizing the 2027 increase to 80 AUD and stakeholder reactions.[5][9][2]
- Additional background on the PMC history and purpose (information on the nature of the charge).[8]
Illustration (example)
- A simple depiction: Departure PMC evolution
- 1995: PMC introduced (low initial rate)
- 2017: prior increase
- 2024: PMC raised from 60 to 70
- 2027: PMC raised from 70 to 80 This progression helps show inflation-aligned adjustments over time.[4][3]
Would you like a brief one-page summary for travelers, or a quick comparison table showing PMC against similar charges in other countries? I can tailor the output for travel planning, economics, or policy audiences. Citations correspond to the sources above.