Department officials said citizenship applications had fallen to a low “plateau” since immigration minister Peter Dutton announced the crackdown in April.
But last week the government missed a deadline to pass the bill through the Senate, sparking a new rush on applications.
“Since the announcement last week there’s been another surge,” Immigration Department official Christine Dacey told Senate Estimates on Monday evening.
The bill would have increased waiting times for permanent residents from one to four years, as well as introducing a new English language exam and a test on “Australian values”.
Ms Dacey said there was another spike when the changes were first announced in April.
“There was a very large spike on or about the 20th of April, and then there was kind of a plateau, which was lower than compared to 12 months ago,” she said.
Last week, Mr Dutton confirmed the government would redraft its citizenship reforms and try again to pass them through the Senate.
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