School Funding

The Australian Government is committed to working with state and territory governments to put all schools on a pathway to full and fair funding, at 100% of the Schooling Resource Standard (SRS). We have put $16 billion in additional funding for public schools on the table to help deliver this. This funding will be tied to reforms that will help students catch up, keep up and finish school.

Responsibility for school funding is shared. All schools, whether government or non-government, receive funding from the Australian Government and their state or territory government. Schools may also receive funding from other private sources such as school fees, other charges and donations. State and territory governments provide most of the public funding for government schools, while the Australian Government is the majority public funder of non-government schools.

Full funding for public schools will be achieved through the Better and Fairer Schools Agreement. The Government will also introduce legislation into the Parliament to provide certainty to public school funding into the future. This legislation will remove the current funding cap that stops the Australian Government from providing additional funding to public schools and replace it with a floor for public school funding.

To date, three jurisdictions have signed up to the Better and Fairer Schools Agreement:

  • The Northern Territory was the first jurisdiction to sign up, with NT public schools to reach their full and fair funding level by 2029. This is two decades earlier than they would have under the previous settings. Under the agreement, the Australian Government will invest an additional estimated $736.7 million from 2025 to 2029 in Northern Territory public schools. The Northern Territory Government has committed to investing an additional estimated $350 million over the same period.
  • Western Australia signed the agreement on 3 September 2024 - meaning the most disadvantaged public schools in the state will be fully funded first. This represents an additional $785.4 million investment by the Australian Government in Western Australian public schools from 2025 to 2029. The Western Australian Government has committed to investing an equivalent amount over the same period.
  • Tasmania signed the agreement on 25 September 2024 meaning that schools in that state will be fully funded by no later than 2029. Details of this agreement are being finalised, with both governments committing to increase their funding level.

We want to reach similar agreements across the country.

If any remaining jurisdiction doesn’t want to sign on to a similar agreement, the current funding contribution from the Commonwealth will continue for next year.

The Government is committed to ensuring every child has access to education and is supported to achieve regardless of their location, background or socio-economic status.

The Government is also committed to supporting diversity in the schooling system so parents have a choice of schooling options for their child.