The Turnbull government is considering new measures to encourage more migrants to settle in regional or remote areas to relieve pressure on house prices and infrastructure in Sydney and Melbourne.

With one month until budget day, Immigration Minister Peter Dutton says his department is working closely with the treasury and finance departments to assess the likely impact of a possible shift in the migration program.

Minister for Immigration and Border Protection Peter Dutton has been accused of conducting "an attack on free speech" by cancelling the visa of Palestinian political activist Bassem Tamimi. Credit:Alex Ellinghausen

House prices rose 19 per cent in Sydney and 16 per cent in Melbourne in the year to March, locking more people out of the market.

The government is believed to be looking at the NSW central coast and Goulburn as key areas that could host migrants who might otherwise settle in Sydney.