TAFE’s Funding Crisis

Since 1997, Commonwealth funding has decreased by 26%, and state/territory government funding has decreased by 16%.

• 1996 – 1997 Howard government cuts funding, reduced base for 1998-2000 ANTA Agreement.
• 1998 Commonwealth funding freeze, “Growth through Efficiency”, de-regulation of the training market.
• 1997 – 2001 16.3% decrease in per unit funding, 16.3% enrolment growth.
• 2001 – 2003 limited growth funding restored, total growth funding $460m over three years, about a half of what was required.
• 2004 rollover of 2003 funding with no indexation of 2003 “growth” funds and Commonwealth direct purchase of Australians Working Together programs ($20.5m).
• 2005 ANTA is abolished, WorkChoices and Skilling Australia’s Workforce Act – forces states to comply with Howard government’s industrial agenda to maintain funds.
• 2007 Rudd government elected on Education Revolution platform.
• 2008 Release of Boston Consulting Group Report. Rudd announces 450,000 Productivity Places to be delivered contestably.