Universities Accord (Opening the Doors of Opportunity) Bill 2026
Mr BURNELL (Spence) (19:00): The Universities Accord (Opening the Doors of Opportunity) Bill 2026 delivers important reform for Australian students, universities and the future workforce of Australia. This legislation is about much more than changing funding arrangements. It's about opening the doors of opportunity to more Australians.
It's about recognising that talent exists in every suburb, every regional town and every remote community and ensuring that a person's circumstances do not determine the limits of their ambition. Education has always been one of Australia's greatest strengths. It has transformed lives and driven our national prosperity.
For generations, Australians have understood that investing in education is investing in the future of our country. Every doctor treating patients in our hospitals, every engineer designing critical infrastructure, every teacher standing in front of a classroom and every researcher developing tomorrow's breakthroughs began with access to education. The responsibility of this parliament is to ensure that opportunity remains available to every generation that follows.
In February 2024, the Albanese Labor government received the final report of the Australian Universities Accord. The accord was not simply another review to gather dust on a shelf. It was developed as a blueprint for higher education reform over the next decade and the decade beyond.
It asked an important question: what sort of tertiary education system will Australia need if we are to remain prosperous, competitive and resilient in an increasingly complex world? Its conclusion was clear: Australia must prepare today for the workforce demands of tomorrow. The accord found that, by 2050, around 80 per cent of Australia's working-age population will require a certificate, diploma or degree qualification.
That represents one of the most significant workforce transitions our nation has ever faced. New technologies are transforming industries. Artificial intelligence is reshaping workplaces.
The transition to clean energy is creating new occupations. Advanced manufacturing is becoming increasingly sophisticated. Healthcare demands continue to grow as our population ages.
Every one of those challenges points to the same conclusion—that Australia will need more skilled workers than ever before. Meeting that demand cannot happen overnight. It requires long-term planning and a continuous source of investment.
Most importantly, it requires a government prepared to act before the pressures become crises. That is exactly what the Albanese Labor government has done. Rather than treating the Universities Accord report as just another report, we have treated it as a road map for reform.
Already the government has implemented more than 30 of the accord's 47 recommendations in full or in part. That record demonstrates our commitment to not simply talking about education reform but delivering it. Australians have already seen meaningful improvements flowing from that work.
Millions of graduates carrying HECS debts have benefited from reforms that make the system fairer with the 20 per cent HECS cuts last year. We have capped indexation to the lower of the consumer price index or wage price index. We have introduced a fairer marginal repayment system.
We have lifted the minimum repayment threshold so Australians are not forced to begin repayments before they are financially ready to. These reforms recognise that education should create opportunity rather than unnecessary financial hardship. They ensure graduates can focus on building their careers, buying a home and starting a family without carrying an unfair burden created by an outdated repayment system.
This government has also recognised that financial barriers extend well beyond student loans. For too long, students studying essential qualifications like teaching, nursing, midwifery and social work were expected to complete extensive professional placements while often sacrificing the income they relied upon to support themselves. Many talented Australians simply could not afford to finish the exact degrees our country desperately needs.
That is why the introduction of paid prac represents such an important reform. It acknowledges that practical placements are essential to these professions. It also acknowledges that asking students to work without financial support places an unreasonable burden upon them.
Supporting students through these placements is an investment in Australia's future teachers, nurses, midwives and social workers. It is an investment that will strengthen communities across the nation. Access to higher education has also been expanded through the establishment of additional university study hubs.
There are 20 new Regional University Study Hubs and 14 new Suburban University Study Hubs which are helping Australians study closer to home. Free university bridging courses have been expanded, creating new pathways for students who may not have followed a traditional academic journey. Demand driven Commonwealth supported places have been extended to First Nations students who achieve the required entry standards.
The National Student Ombudsman has been established. The National Higher Education Code to Prevent and Respond to Gender-based Violence is strengthening safety across university campuses. Taken together, these reforms represent a comprehensive effort to improve both access and the student experience.
The government has also established the Australian Tertiary Education Commission. The creation of ATEC reflects one of the central recommendations of the Universities Accord—long-term challenges require long-term stewardship. Australia's tertiary education system cannot be managed effectively through short electoral cycles alone.
It requires strategic planning. It requires evidence based decision making. It requires an organisation capable of looking beyond immediate pressures and ensuring that investment aligns with Australia's future workforce needs.
The legislation before the House builds directly upon that foundation. In the 2024-25 Mid-Year Economic and Fiscal Outlook, the Albanese Labor government committed an additional $2.5 billion to Australia's higher education system over the next decade. That investment recognises the simple truth—ambitious reforms cannot be achieved without meaningful investment.
It introduces a new funding system designed to support growth, improve equity and provide universities with greater certainty as they prepare for the future. One of the most significant reforms contained within this legislation is the creation of the managed growth funding system. The existing funding model has struggled to keep pace with Australia's changing workforce requirements.
Universities have faced uncertainty when making long-term decisions about infrastructure, staffing and student support. The new managed growth funding system addresses those shortcomings, as it aligns Commonwealth funding more closely with actual enrolments. This will provide greater certainty for universities.
It creates a more sustainable framework for long-term planning. Perhaps most importantly, it effectively uncaps the number of places available to students from low socioeconomic backgrounds and regional Australia. This is something that will help students in the north of Adelaide to be offered the opportunity everyone else in the nation has access to.
For too long, many capable Australians have faced barriers that had nothing to do with their talent or their determination. Students from regional communities often confront additional accommodation costs. Many relocate hundreds of kilometres from home to study, while others balance work, caring responsibilities and education simultaneously.
Young Australians from disadvantaged backgrounds frequently encounter financial pressures. That means that a university education cannot be a priority. These barriers deserve practical solutions rather than sympathetic words and token gestures.
The Universities Accord recognises that increasing student participation alone would never be enough. Students must also be supported to succeed once they arrive on campus. That recommendation sits at the heart of this bill.
The legislation establishes a new demand driven, needs based funding system designed to ensure universities receive additional resources for students who require greater support. Students from economically disadvantaged backgrounds, First Nations students and students studying at regional campuses are groups that have historically faced structural barriers to higher education.
This funding recognises that equity cannot simply be measured by who enrols but must also be measured by who graduates. Felix Hughes, the national president of the National Union of Students, welcomed these reforms, saying: These reforms recognise that equity must be built into the higher education funding system and that supporting students from underrepresented backgrounds is essential to creating a more accessible higher education system.
Those words capture exactly why this legislation matters. Equity cannot be an afterthought. It must be embedded within the funding model itself.
The approach adopted through this bill reflects a principle that Australians already understand from school funding. Just as the Gonski reforms recognised that some schools require greater support to achieve equitable outcomes, this legislation recognises that universities that are supporting greater numbers of disadvantaged students should receive additional funding to help those students succeed.
The funding supports need and aspirations in all communities across this nation. Under these arrangements, the base equity amount will be set at $1,535, and the base regional amount will be set at $1,398. Those figures are significant, because they represent more than double the average support available under comparable programs only last year, where funding could be as little as $600 per student.
That additional investment will make a tangible difference. It will allow universities to expand tutoring programs and strengthen mentoring services. Additional scholarships and direct financial assistance can be provided for students who require it.
Regional campuses can receive assistance to offset the higher costs of operating outside metropolitan centres. These are practical investments that improve retention, completion and student success. Professor Mary O'Kane AC, who chaired the Universities Accord, observed that Australia needs 'a tertiary education system that is fit for the future'.
The challenges facing Australia in 2050 cannot be addressed by using funding models designed decades ago. We need an education system that evolves in tandem with our economy. It must remain responsive to the changing technologies, emerging industries and workforce shortages.
The Universities Accord also recognised that Australia's future prosperity depends on having a highly educated population capable of adapting to continual change. A stronger higher education system means businesses can access the skilled workers they need. It means that regional communities are better placed to recruit healthcare professionals.
It means that schools benefit from more graduates entering the teaching profession. It means that emerging industries gain the expertise required to drive innovation and economic growth. That is how investment in education becomes an investment in Australia's future prosperity.
Ultimately, this matters to every Australian who wants our nation to remain competitive in the increasingly knowledge based global economy. The government expects that these reforms will support an additional 200,000 commencing domestic university students over the next decade. That represents 200,000 individual stories.
No two backgrounds and aspirations will be the same: young Australians becoming the first in their family to attend university; regional students returning home with qualifications that strengthen local communities; First Nations graduates bringing new expertise and leadership into every profession; and adults returning to education to retrain for entirely new careers.
Every one of those students represents potential unlocked. Every graduate strengthens Australia's future. The legislation also formalises the role of the Australian Tertiary Education Commission in allocating Commonwealth supported places.
This reflects another important recommendation of the accord. The modern education system requires coordinated planning across the entire sector, and the ATEC will provide that stewardship. The bill will also establish a framework supporting the commission's role in allocating international student places where a determination is made by the Minister for Education.
The legislation also modernises information-sharing between the Commonwealth Ombudsman, the Tertiary Education Quality and Standards Agency and the ATEC. Although technical in nature, these amendments improve cooperation between agencies and strengthen oversight across the higher education sector. Good public administration is built upon good information.
An effective regulation depends upon agencies working together. These reforms support both those ideas. Legislation of this nature asks us to think well beyond the present.
It asks us to consider the Australia we hope to build over the coming decades. Will it be an Australia where opportunity remains centred among the few fortunate, or will it be an Australia where talent is recognised wherever it is found? The Albanese Labor government has made its choice.
We believe every Australian deserves the opportunity to fulfil their potential. We believe higher education should be accessible, affordable and focused on student success. We believe our universities should be properly funded to meet the challenges of a changing world.
Most importantly, we believe investing in people is the smartest investment any nation can make. Education has long been one of the foundations of Australia's success. It has strengthened our democracy, driven economic growth and created opportunities that have transformed countless lives.
For all those reasons, I commend this bill to the House.