UNIVERSITIES BENEFIT FROM ELECTION BUDGET BONANZA
May 9, 2007
The National Tertiary Education believes tonight's federal budget contains a substantial investment in our nation's education sector of the order of $1.7 billion over four years, although the complete lifting of the cap on full fee paying places will have significant equity and debt implications.
NTEU is particularly pleased with the following budget commitments:
- An increase in Commonwealth Grant Scheme funding of $560 million over four years and changes to the funding system, which mean that all students receive equal or increased Government support except those studying business and accounting
- An increase of $373 million for research agencies and an increase of $435 million for medical research.
- An extra $5.2 million for ABSTUDY and the announcement of a thousand $4,000 Indigenous scholarships for enabling and undergraduate students.
- Additional Commonwealth Scholarships.
- The establishment of a Higher Education Endowment fund, the proceeds, expected to total $912 million over four years, can be used for future capital works and research facilities.
"This is clearly an election year budget but all of these initiatives appear to be solid, are well financed, and target at many of the areas requested by the university sector," said Dr Carolyn Allport, NTEU President.
"NTEU is particularly pleased that the Government has heeded the call to increase its investment in Indigenous higher education."
"The big losers are future accounting and business students who not only see Government support for their courses fall but who will also be paying higher HECS."
"The Union is also very concerned by the decision to completely lift the current cap on full fee paying places at universities."
"This sends a strong signal that future growth in the sector is going to come from full fee places, potentially spelling the end of Government subsidised education."
"This will have significant equity and debt implications for future students."
Information and Comment:
Dr Carolyn Allport, NTEU President: (03) 9254 1910
Andrew Nette, NTEU Policy and Research Coordinator: (03) 9254 1910