Australia’s Independent schools are delivering more than strong academic results – they’re also a major economic force, contributing $45.69 billion annually to the national economy, according to a new report released in August.
The analysis, commissioned by Independent Schools Australia (ISA) and conducted by the AEC Group, reveals the sector’s economic contribution is equivalent to 1.8 per cent of Australia’s GDP, on par with the estimated economic impact of the Gold Coast.
ISA Chief Executive Graham Catt said the findings challenge misconceptions about the sector’s role in education funding.
“This report completely dismantles the dangerous myth that Independent schools are a drain on taxpayers,” Mr Catt said.
“Independent schools ease pressure on public schools, save billions for governments, and are expanding fastest in Australia’s most disadvantaged communities.”
Key findings for 2023–24 financial year
- $45.69 billion total contribution to GDP
- $16.33 billion from school operations, capital investment and international students
- $29.36 billion from flow-on effects to other sectors
- 264,360 full-time-equivalent jobs supported nationally
- $29.51 billion in household income generated
- $12.51 billion in taxpayer savings
- $9.91 billion in reduced government education funding
- $2.60 billion in privately funded school infrastructure
Enrolment growth is strongest in outer-suburban, regional and low-fee Independent schools, the report notes.
Savings to governments and taxpayers by State and Territory
| State/Territory | Recurrent Costs ($M) | Capital Costs ($M) | Total Savings ($M) |
| New South Wales | 3,904.6 | 1,028.6 | 4,933.2 |
| Victoria | 2,152.7 | 672.6 | 2,825.3 |
| Queensland | 1,869.8 | 437.1 | 2,306.9 |
| South Australia | 527.6 | 134.8 | 662.4 |
| Western Australia | 980.6 | 241.2 | 1,221.9 |
| Tasmania | 128.7 | 15.8 | 144.5 |
| Northern Territory | 60.3 | 26.6 | 86.9 |
| Australian Capital Territory | 343.0 | 44.7 | 387.7 |
| Total | 9,906.8 | 2,601.5 | 12,508.3 |
Mr Catt said Independent schools are “builders, employers, partners in regional development, and contributors to Australia’s long-term prosperity.”
“Every dollar invested in an Independent school returns far more to the nation – in educational outcomes, but also in jobs, economic growth, and productivity.”
The full report is available at https://schoolchoicecounts.isa.edu.au/research/economic-contribution-of-the-independent-school-sector
