What’s in the new university funding plan

KEY MEASURES IN THE UNVERSITY FUNDING PACKAGE

* 2.

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5 per cent efficiency dividend in 2018 and 2019 – on payments for teaching only.

* No cuts to research or other taxpayer contributions.

* Efficiency dividend will cut about $2.8 billion – less than four per cent of university revenues from taxpayers and student fees.

* Phased increases in course fees, starting with 1.8 per cent in 2018 up to 7.5 per cent in 2021.

* Student proportion of fees increases from 42 per cent to 46 per cent on average.

* Increase over four years will range between $2000 and $3600.

* Maximum a student will pay over four-year degree is $50,000.

* Most expensive course – six-year medical degree – will cost at most $75,000 (taxpayers will contribute $137,300).

* Increase to funding for dentistry and veterinary courses in recognition of high costs of clinical training (brought into line with medicine courses).

* Drop repayment threshold for HECS-HELP loans to $42,000 from July 2018 (now about $55,000).

* Index minimum repayment threshold for loans to inflation rather than average weekly earnings.

* 7.5 per cent of university funding will be linked to performance measures – initially transparency of enrolment process from 2018, then student retention and success from 2019.

* If funding is withheld from a university that doesn’t meet these measures, it will go to other institutions not back into the budget.

* $3 million extra funding to quality watchdog TEQSA

* $15 million for eight regional study hubs to offer students technology and support to study in their home town. Starting with Geraldton, Cooma and the Pilbara.

* Switch funding for disadvantaged students into a loading instead of a separate program.

* $37 million a year from January 2019 for postgraduate scholarships that students can use at institutions of their choice.