House debates

Monday, 9 February 2026

Bills

Universities Accord (Australian Tertiary Education Commission) Bill 2025, Universities Accord (Australian Tertiary Education Commission) (Consequential and Transitional Provisions) Bill 2025; Second Reading

4:19 pm

Photo of Libby CokerLibby Coker (Corangamite, Australian Labor Party) Share this | Hansard source

Australia's future prosperity will be built on education, skills and opportunity. The Albanese government know this, and it's why we are working to rebuild confidence in the tertiary system after a decade of Liberal neglect, strengthening pathways into learning. The bill before the House today, the Universities Accord (Australian Tertiary Education Commission) Bill 2025, is the latest step in this work.

This is a bill to establish the Australian Tertiary Education Commission, the ATEC. The ATEC will focus on making sure universities do their part to deliver on the government's commitment to lift tertiary education attainment to 80 per cent of working-age people by 2050 and raise equity and participation. It will make sure there are enough places at universities to enable more people to access the opportunities that higher education can deliver, particularly in regional areas like mine in Corangamite. This is a central recommendation of the Australian Universities Accord.

Three years ago, the Minister for Education appointed six eminent Australians to develop a long-term blueprint for reforming higher education. Professor Mary O'Kane chaired that work, a former chief scientist and engineer of New South Wales and a former vice-chancellor of the University of Adelaide. Professor Barney Glover, now Commissioner of Jobs and Skills Australia, brought his experience as Vice-Chancellor and President of Western Sydney University. Distinguished Professor Larissa Behrendt contributed her deep expertise in Indigenous education and research through the Jumbunna institute at the University of Technology Sydney. The Hon. Fiona Nash provided insight as the Australian regional education commissioner and a former minister for regional development and regional communications. The Hon. Jenny Macklin brought decades of experience in social policy and disability reform as a former federal cabinet minister. Ms Shemara Wikramanayake contributed a strong understanding of industry, investment and research commercialisation as Chief Executive Officer of Macquarie Group and a former member of the university research commercialisation expert panel.

They were asked to examine seven priority areas: Australia's current and future knowledge and skills needs; access and opportunity; investment and affordability; governance, accountability and community connection; links between vocational education and higher education; the quality and sustainability of providers; and the role of new knowledge, innovation and research in building national capacity. The final report was released last year, and its message was clear: more jobs will require high levels of skills. Right now, data shows 60 per cent of Australians working today hold a certificate, diploma or degree, but by 2050 the figure will need to rise to around 80 per cent. That's a substantial shift. It means more people at TAFE, more people at university and more Australians moving between the two over their working lives.

The accord also identified two major barriers standing in the way of that ambition. The first is the divide between vocational education and higher education, which too often makes pathways complicated and inflexible. The second is the invisible barrier that prevents too many young people from disadvantaged backgrounds, outer suburbs and regional communities from getting to university at all. Today, 69 per cent of young Australians from high-socioeconomic families hold a university degree, but only 19 per cent from very poor families do. That gap exists across vocational education as well: 87 per cent of young people from wealthy families hold a TAFE qualification or university degree while only 59 per cent from poorer families do. That means more than 40 per cent of Australians from disadvantaged backgrounds are missing out on the qualifications that will increasingly be required in the decades ahead. We must change this. In my electorate of Corangamite, I will work with Deakin University and the Gordon TAFE to help implement these reforms and ensure better outcomes for locals and for students at these two great educational institutions. The accord's recommendations will make a difference to people in my region.

It should be noted that our government has already acted on the accord's interim recommendations while implementing the final report. In last year's budget, we adopted 31 of the 47 recommendations in full or in part. We increased funding for bridging courses that help students prepare for university study. These courses act as a bridge between school and higher education, and they do make a difference for many students. Over the next decade, the government will invest an additional $1 billion so that tens of thousands of Australians can undertake them free of charge.

We introduced paid prac to support teachers, nurses and midwifery and social-work students while they complete compulsory placements. It is means tested and targeted at those who need help most. More than 67,000 students have applied. More than 80 per cent of those applications have been processed, and more than 80 per cent have been approved. We've expanded medical Commonwealth supported places to address doctor shortages. Over the past three years, more than 350 new commencing places have been announced. Eight new medical schools are being established. When fully rolled out, this will support around 1,790 additional medical students each year.

We abolished the unfair 50 per cent pass rule that disproportionately affected Indigenous students, students from low-income families and those from regional communities. We reformed student services and amenities fees so at least 40 per cent is directed to student led organisations. We introduced a demand driven system for Indigenous students nationwide so that wherever they live, if they achieve the marks, they get the place. That change is already delivering results. Indigenous commencements rose by five per cent last year and by a further three per cent this year. Over the next decade, that number is expected to double.

We're also working with state governments to deliver full funding for public schools—something I'm so passionate about, as a teacher who has worked in public schools—because a successful tertiary education is built on successful primary and secondary education. We established a National Student Ombudsman and legislated a national code to prevent and respond to gender based violence. We created an expert council on university governance and are strengthening transparency around remuneration, council decisions, consultants and conflicts of interest.

We've taken decisive action on student debt. Indexation was capped at the lower of the CPI and the WPI, wiping $3 billion from balances. A further $16 billion is being removed through a 20 per cent reduction for borrowers. That is the largest student debt cut in Australia's history. We promised it, Australians voted for it, and it is being delivered. We reformed repayments so graduates only repay on income above the threshold rather than on their full wage. For someone earning $70,000 a year, that means around $1,300 less in repayments annually. This is real cost-of-living relief. It is also another recommendation of the accord.

If Australia is to reach the 80 per cent participation target, more university places are required. That expansion begins next year: 9,500 additional commencing places will be allocated this year—in 2026—16,000 more will follow in 2027, another 16,000 in 2028, another 16,000 in 2029, and 19,000 more in 2030. Over the next decade, that equates to around 200,000 additional commencing places. It will lift the number of domestic students in Australian universities by around 27 per cent.

Those places must be properly funded, and that is where the Australian Tertiary Education Commission comes in. Over the next 12 months, two major funding reforms will be legislated. The first is demand driven equity. Universities will no longer face caps for students from disadvantaged backgrounds. If a student meets entry requirements, they will be able to enrol. The second is needs based funding. Extra resources will flow to support students from low-income families, from regional areas and from underrepresented groups. The money will follow the student. The most disadvantaged students a university educates, the more support it will receive.

These reforms commence in January. It will be the ATEC's role to steer and embed them. This bill establishes that body. It recognises that reform on this scale requires stewardship beyond a single minister or electoral cycle. The ATEC will be independent. It will report to ministers through a statement of expectations. It will publish work plans and research, and it will advise government. It will be reviewed after two years and, again, at five years, with those reviews tabled in parliament. Those reviews will be essential to refine the ATEC with input from universities and other stakeholders.

The ATEC will be led by three commissioners, including a full-time chief commissioner and a full-time First Nations commissioner. The commission will negotiate mission based compacts with universities. It will assume responsibility for standards advice. It will publish an annual state of the tertiary education system report, and it will help ensure vocational and higher education systems work together as one coherent system.

This bill continues a long and proud tradition of reform, which began with the Curtin government and was strengthened under the Menzies government. Both sides of politics recognised then, as we do now, that education is nation-building. This legislation builds new foundations for the decades ahead. It expands opportunity, it strengthens skills, and it ensures the system—importantly—remains fair, accessible and sustainable. For these reasons, I commend the bill to the House.

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