The Australian Government has introduced legislation to increase funding to public schools across Australia.
This legislation, introduced on 10 October, enables governments to fully fund public schools and tie that funding to reforms to help students catch up, keep up and finish school.
Over the last eight years the percentage of students finishing high school has declined, from 83 per cent to 73 per cent in public schools.
At the moment, non-government schools are funded at the level David Gonski set, or they are on track to get there, or they are above it and coming back down to it – but most public schools aren’t.
The Commonwealth Government provides 80 per cent of the Schooling Resource Standard (SRS) funding for non-government schools and the State and Territory Governments provide the other 20 per cent.
For public schools it’s the reverse. The Commonwealth provides 20 per cent of the SRS funding, and the States and Territories are supposed to provide another 75 per cent. That means there is at least a five per cent gap.
The Better and Fairer Schools (Funding and Reform) Bill 2024 amends the Australian Education Act 2013 (the Act) and enables the Commonwealth to lift its share of funding to public schools above 20 per cent.
The legislation removes the funding ceiling that stops the Commonwealth providing more than 20 per cent of funding to public schools and turns that into a funding floor.
This means the 20 per cent will become the minimum, not the maximum, the Commonwealth contributes to public schools.
This legislation will enable the Government to fully fund public schools in Western Australia, Tasmania and the Northern Territory, and any other jurisdictions that sign on to the Government’s public school funding offer in the Better and Fairer Schools Agreement (BFSA).
The BFSA is a 10-year agreement that ties new funding to practical reforms to help lift student outcomes, sets targets and improves school funding transparency.
Greater funding certainty will be provided to jurisdictions and public schools by:
- setting a minimum ‘funding floor’ for Commonwealth funding contributions to public schools at 20 per cent from 2025, and 40 per cent for the Northern Territory from 2029
- locking in Commonwealth funding for public schools so it cannot go backwards
- increase transparency and accountability of how school funding is being spent
- requiring the Minister to report each year to Parliament on the progress of national school education reform.
The Albanese Government has put $16 billion of additional investment for public schools on the table.
If delivered, this would represent the biggest extra investment in public education by the Australian Government in this country’s history.
This legislation will enable additional funding to flow to the states and territories who have signed up to the BFSA.
The Government will continue to work with the remaining states and territories to fully fund government schools across Australia.
If a state or territory does not sign on to the Government’s public school funding offer, the current funding arrangements will continue for another 12 months.
“At the moment, the maximum the Commonwealth Government can provide to public schools is 20 per cent of the Schooling Resource Standard,” Minister for Education Jason Clare said.
“This Bill turns that maximum into a minimum. It turns that ceiling into a floor. It enables the Commonwealth government to ratchet up funding for public schools.
“This important legislation allows the Government to deliver more funding to public schools and tie that funding to practical reforms to help students catch up, keep up and finish school,” he said.
More reading: Better and fairer schools agreement ties funding to reforms
