Just in case you’ve not caught up with the announcements yesterday, here are the ‘highlights’:
- 1.8% increase in student fees each year from 2018 to 2021, totalling 7.5% by 2021. Examples of how this would look in different UG degrees are summarised below.
Source: The Age 02.05.2017
- Student contribution to increase from 42% to 46%.
- HECS repayment threshold lowered from $55,000 to $42,000.
- 2.5% ‘efficiency dividend’ to be applied to universities in 2018 and 2019.
- 7.5% of Commonwealth Grant Scheme funding to be contingent on performance – initially focused on admissions requirements, then extended in 2019 to “performance metrics such as student outcomes and satisfaction, transparency and financial management with a formula to be developed in consultation with universities. Legislation will require that any funds withheld be reinvested into well performing universities, new equity measures or additional research funding.” Source
- $592 million allocated to the Higher Education Partnership and Participation Program (HEPPP).
- Commonwealth Supported Places in approved diploma, advanced diploma and associate degrees.
- Some changes to funding for enabling programs.
- Extra funding for work experience courses in a push to improve student work-readiness.
The total package is designed to save the Government $2.8 billion over the next four years. The reforms rely in part on a Deloitte Access Economics report on the cost of delivery of Higher Education – available here.
Full details of the proposed reforms are available here.