Travelers leaving Australia by air or sea will soon face higher departure costs after the government announced an increase to the country’s Passenger Movement Charge as part of the federal budget.

Beginning January 1, 2027, the fee charged to passengers departing Australia will rise from $70 to $80 per person. The increase will apply to all travelers leaving the country after that date, regardless of when their tickets were purchased.

The Australian government said the change is expected to generate an additional $755 million in revenue over the next five years. The Passenger Movement Charge applies to most international travelers departing the country and is collected through airfare and cruise fares.

The move has sparked criticism from tourism and cruise industry groups, who warn the higher tax could discourage visitors and make Australia a less competitive destination.

Cruise Lines International Association said the increase comes at a difficult time for the tourism sector, which is still working to recover from global economic pressures and rising operational costs.

“Increasing the Passenger Movement Charge places yet another burden on travellers at a time when the tourism community is working hard to overcome challenges at home and overseas,” the organization said in a statement.

CLIA also warned that higher travel costs could further impact the cruise industry, which has already seen some cruise ships reduce or cancel deployments in Australia due to operating expenses and market conditions.

Australia already has one of the world’s highest departure taxes, according to industry groups, and tourism leaders fear the latest increase could make travelers think twice before booking cruises and vacations in the region.