Australia’s federal government has moved to calm growing uncertainty over its humanitarian migration program after reports of a possible reduction in refugee admissions sparked concern within the Labor Party.

Prime Minister Anthony Albanese has confirmed that the government intends to retain an annual humanitarian intake of 20,000 people, despite reports that the number could have been reduced to 13,750 from next financial year.

The difference would amount to 6,250 fewer places, a reduction of roughly one-third. The prospect of such a change surprised several Labor MPs, particularly because the party recently reaffirmed support for maintaining the 20,000 figure.

Australia’s humanitarian intake has undergone several changes in recent years. The previous baseline stood at 13,750 places before the number was increased to 17,875 in 2022, partly in response to the humanitarian situation involving Afghanistan. The intake was subsequently lifted to 20,000 in 2023.

The latest dispute comes as the government works to reshape Australia’s broader migration system. Canberra has set a goal of reducing net overseas migration from around 300,000 to 225,000 by 2028, putting pressure on ministers to reconsider several areas of migration policy.

Refugee organisations have welcomed the decision to retain the higher humanitarian intake, arguing that refugees make up only a limited share of Australia’s overall migration numbers.

Labor’s longer-term position remains more ambitious, with party policy supporting an eventual humanitarian intake of 27,000 places a year.

The government’s latest decision means there will be no immediate reduction in the refugee target. However, the disagreement has highlighted the political challenge facing Labor as it attempts to balance border controls, migration pressures and its longstanding humanitarian commitments.

The broader migration overhaul is expected to remain an important political issue as the government prepares its next budget and considers future visa and population policies.