Viewpoint - 16 May 2003
  
      Private School Funding Passes Universities' 
      in '03/'04 Budget: 
      
      Jan Hext 
 
 
 The 
recent federal budget puts on a great display about increased funding for the 
universities. Leaving aside that the devil is in the detail, it is worth 
pointing out that the same budget has given a much larger increase to the 
private schools. In fact, for the first time the federal budget is allocating 
more funds to private schools than to public universities.   
According to the report by Linda Doherty in the 
Sydney Morning Herald Budget Supplement (15 
May, p2), the non-government schools will get federal grants of $4.37 
billion in 2003-04 compared with $4.31 billion for the 38 public universities. 
The figure for the private schools is up by one-billion dollars from three years 
ago and is estimated to go up by another one-billion within the next three 
years.   
The government keeps very quiet about these figures. For 
example, when Dr Brendan Nelson was interviewed by Fran Kelly on the ABC’s 7:30 
report last year, he argued that more funds for universities would mean less for 
hospitals and social services. And yet it seems he has no trouble finding huge 
increases for private schools. In terms of overall policy, perhaps we should not 
be too surprised After all, the government has been pursuing a similar strategy 
in the area of health. It has spent billions to prop up the private system while 
systematically squeezing the public system. In particular, by allowing the 
Medicare rebates to fall in value, it forced doctors to find further sources of 
income. Then, when protests became loud enough, it announced a series of 
“reforms” to address the problem. This was its technique for implementing the 
philosophy that it had held all along.   
It has used the same strategy with the universities. 
Unfortunately, academics have less political clout than doctors and so the noose 
around the universities has been tightening for much longer. If the same decline 
in funding per student were to occur in the schools, there would be a major 
public outcry.    
We need to appreciate that the federal government is 
squeezing the universities, not for lack of funds, but because of its underlying 
philosophy. When it gives more to private schools than to public universities, 
our society is surely in trouble.   
 
 
    
  
       
  
       
      
  Jan 
Hext
Jan 
Hext