Budget overview
This Budget is the next stage in the Government's economic plan, building on commitments from the 2016-17 Budget and the 2016 election.
Fairer funding for students
Delivering needs-based funding for all Australian students
The Government is launching a fairer schools funding model that is needs-based, simple and transparent.
The Government is delivering record levels of funding for schools. Additional Commonwealth funding of $18.6 billion will be provided over the decade, delivering long-term certainty for students, parents and schools.
Funding will be distributed through a needs-based funding model, as recommended by the Review of Funding for Schooling led by Mr David Gonski AC in 2011. Schools funding will include a base amount for all students and allocations to address need.
Current arrangements are not addressing need. Students with the same needs within the same sector receive different levels of Commonwealth funding, simply because of the State in which they live.
All schools will transition over 10 years to a fairer, consistent share of Commonwealth funding — 20 per cent of the funding standard for government schools and 80 per cent for non-government schools.
Funding for States and Territories will be tied to reforms that evidence shows lift educational outcomes, to ensure that record funding being invested in our schools delivers real improvements.
Reform priorities will be informed by a new review by Mr David Gonski AC. The Review to Achieve Educational Excellence in Australian Schools will conclude by December 2017.
States and Territories will also be required to maintain their real per student funding levels.
Targeted transition assistance will be available for disadvantaged schools that need help to transition to the new model.
The Government’s package of funding and reforms provides a sustainable and fair model for schools now, and long-term certainty for students, parents and schools in the future.