Australians aged 18-35 will be able to apply for a three-year working holiday in the United Kingdom from the end of January next year. They can currently only apply for up to two years.
It comes as a free trade agreement between Australia and the UK comes into effect on Wednesday.
The details about the new British working visa
Currently, British working holiday visas allow travellers aged 18-30 to live in the UK for up to two years.
The cut-off age will be lifted to 35 under the new rules. The visas will also last for three years, instead of two.
These new visa rules will come into effect from the end of January next year. Those on current visas will be able to extend their stay for a third year.
What about Brits in Australia?
The same new rules will also exist for British travellers in Australia – with the visas extended from two to three years and the age cut-off lifted to 35. The age cut-off will be raised in the middle of this year.
The new deal also removes the requirement for young people to work on a farm to use this visa to live and work in Australia. This will come into effect in July 2024.
The bigger picture
The free trade agreement was agreed to by then-Prime Minister Scott Morrison and his British counterpart, Boris Johnson, in 2021.
It was the first trade agreement the UK signed from scratch after their exit from the European Union (EU). Their exit removed many previous trade requirements and restrictions.
All trade taxes paid on UK exports to Australia will be lifted, while over 99% of Australian goods will enter the UK without tariffs.
The Australian Government is also pursuing a free trade agreement with the EU. This would remove all the trade taxes in place on Australian exports.
This would be especially significant for agricultural exports, such as beef and sugar, which have been constrained by trade penalties imposed by the EU.