Welcoming the announcement, ACCI chief executive Andrew McKellar said the policies represented a significant advocacy win for the chamber movement which had been campaigning for an increase to the migration cap since August last year.

“Changes announced by the government are a win, not just for businesses, but for all Australians,” Mr McKellar said.

“Businesses of every size in every sector are reporting significant barriers to getting the skilled workforce they need, forcing them to operate below capacity or close their doors entirely.

“With labour and skill shortages at their most severe levels in 48 years, raising the migration intake and addressing protracted visa processing times will be essential in addressing unmet labour demand.

“Australia has grown and thrived because we have attracted the most talented people to our shores. However, in recent years, the system has fallen short on delivering the demands for society, our businesses, and our workers.

“As the global race to attract skilled migrants heats up, we cannot risk getting left behind.

“Government must make it easier to access the best in global talent and expertise. For business, this means access to a simple, affordable, and responsive migration system.