Universities Accord (Opening the Doors of Opportunity)

Current status

This bill is currently before Parliament.

Policy area

Education & skills

What does this bill do?

Domestic university students get places through a planned funding pool.

Why was it introduced?

The government said Australia needs at least 80 per cent of working-age people to hold a university or vocational qualification by 2050. It said the existing system lacked enough funding and planning for this growth. The explanatory memorandum forecasts $2.5 billion in extra net funding over 11 years from 2024–25 and 200,000 additional domestic students starting university over a decade. Education Minister Jason Clare (Labor) also said students from poorer and regional backgrounds were up to twice as likely to leave after first year.

Broader context

Australia’s existing higher education funding system did not provide enough places, lacked coordinated planning and left some universities facing long-term viability problems, while the Universities Accord set an 80 per cent tertiary-attainment target for 2050. In response, the government announced $2.5 billion in additional funding and introduced the bill through Hon Jason Clare MP on 25 June 2026 to manage growth and direct more support to students from under-represented backgrounds and regional campuses.

Key criticism

Julian Leeser (Liberal) argued the bill placed too much control over university funding and student places in the education minister’s hands. He said universities had not seen the bill before it was introduced and consultation had been too limited. He also questioned why the explanatory memorandum forecast $2.5 billion and 200,000 students while the minister promoted $3.6 billion and 230,000 students. Leeser argued that penalties for enrolling more than the allocated number could reduce competition and deny students their preferred university. Michael McCormack (Nationals) also warned about ministerial power, university independence and limited parliamentary oversight.

Who supported it?

Hon Jason Clare MP introduced this bill. Supportive speeches so far have come from Labor.

Introduced in House 25 June 2026

Debate underway in House 02 July 2026

Not yet reached Senate —

Not yet law —

Did it become law?

Not yet

Final passage

No final vote yet

The bill has not yet completed passage through Parliament.

Days since introduction

43 days

Updated 07 Aug 2026.

Official record

View on APH

Parliament of Australia bill page

Meaning

What does this bill do?

Domestic university students get places through a planned funding pool. The education minister sets its size, and the Australian Tertiary Education Commission allocates places.
Students from poorer families and regional or remote areas can receive extra places when demand exceeds the pool. The commission must seek the minister’s agreement.
First Nations students and students from poorer families bring extra funding to their university from 2027. The starting amount used in the funding formula is $1,535.
Students at regional campuses bring extra funding to help them study and finish. The starting amount used in the formula is $1,398.
Universities enrolling above their allocated places can lose funding in some circumstances. Universities below their allocation can access a temporary funding floor until the end of 2031.
International students may be divided among universities by the Australian Tertiary Education Commission. This happens only if the minister sets an overall planned number.
University regulators and complaints bodies can share information with the commission. This includes the Commonwealth Ombudsman, which investigates complaints about government administration.

Show source excerpts

1 January 2027. 1 January 2027 4. Schedule 1, Part 3 The day after this Act receives the Royal Assent. 5. Schedules 2 to 4 The day after this Act receives the Royal Assent. Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act. (2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act. Legislation that is specified in a Schedule to this Act is amended or repealed
Universities Accord (Opening the Doors of Opportunity) introduced text
The Bill amends Part 2-2 (Commonwealth Grant Scheme) of HESA to change how funding is provided for Commonwealth supported students to deliver the new Managed Growth Funding System. The ATEC will allocate Commonwealth supported places for higher education courses to each eligible higher education provider from a total allocation pool as determined by the Minister for Education (the Minister). The total allocation pool can be increased if the ATEC advises, and the Minister agrees, that there are insufficient Commonwealth supported places, primarily to meet demand from students from low socioecon
Universities Accord (Opening the Doors of Opportunity) explanatory memorandum
The base equity amount is $1,535.
Universities Accord (Opening the Doors of Opportunity) introduced text
(3) The base regional amount is $1,398.
Universities Accord (Opening the Doors of Opportunity) introduced text
The purpose of this Part in the Schedule is primarily to make amendments to Part 2-2 (Commonwealth Grant Scheme) of the Higher Education Support Act 2003 (HESA) to implement the Managed Growth Funding System (MGFS) which gives the Australian Tertiary Education Commission (the ATEC) the ability to play a more active role in managing how funding is provided in relation to Commonwealth supported students who undertake higher education courses, including the ability to allocate Commonwealth supported places to each higher education provider from a total allocation pool as determined by the Ministe
Universities Accord (Opening the Doors of Opportunity) explanatory memorandum
The Minister may make a determination (called an international allocation pool determination) specifying the number of overseas students that may commence a course of education with ESOS registered higher education providers during a period. The ATEC must then allocate places for those students to one or more ESOS registered higher education providers for the period. The number of places allocated to a provider is the number of overseas students that may commence a course of education with the provider during the period. The ATEC cannot allocate places for more students than the number specif
Universities Accord (Opening the Doors of Opportunity) introduced text
The Bill amends the Ombudsman Act and the TEQSA Act to enable the sharing of information collected under those Acts with the ATEC to inform their work as appropriate. The Bill also makes amendments to the ESOS Act to modernise information sharing and access provisions to reflect the role of new and existing entities – the ATEC and the Commonwealth Ombudsman.
Universities Accord (Opening the Doors of Opportunity) explanatory memorandum

Context

Broader context for this bill

2024–25

Government announces $2.5 billion for university expansion

The Mid-Year Economic and Fiscal Outlook committed additional funding for more university places and demand-driven support for under-represented students.
Universities Accord (Opening the Doors of Opportunity) explanatory memorandum ↗
25 Feb 2024

Universities Accord recommends sweeping higher education reform

The major sector review called for more university places and funding changes to improve access for disadvantaged, First Nations and regional students.
ABC News ↗
May 2024

Government establishes Universities Accord implementation committee

The committee was formed to advise on putting the Accord’s managed growth and needs-based funding recommendations into operation.
Universities Accord (Opening the Doors of Opportunity) explanatory memorandum ↗
11 May 2026

Government consults on the proposed funding model

The Department of Education briefed university leaders, peak bodies and funding experts on the managed growth, needs-based and international-place arrangements later reflected in the bill.
Universities Accord (Opening the Doors of Opportunity) explanatory memorandum ↗
25 June 2026

Hon Jason Clare MP introduces the bill

The Education Minister introduced the bill in the House of Representatives to establish managed growth and needs-based funding arrangements for higher education.
Parliamentary timeline ↗

Legislative route

How did it move through Parliament?

Introduced 25 June 2026

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 25 June 2026

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

Scrutiny of Bills review 01 July 2026

Considered by scrutiny committee (01/07/2026): Senate Standing Committee for the Scrutiny of Bills; Scrutiny Digest 8 of 2026

Scrutiny Digest 8 of 2026

APH bill page notes

Second reading debate 02 July 2026

The bill reached this recorded parliamentary step.

Education and Employment review 02 July 2026

Referred to Committee (02/07/2026): Senate Education and Employment Legislation Committee; Report due 03/09/2026

Report due 03 Sep 2026

APH bill page notes

Key criticism

The main case against this bill

The Coalition had not settled its final position during the recorded debate. Leeser said it would not oppose the bill in the House before a Senate committee reported. Government speakers said the planned system would fund growth more fairly and direct extra support to students and regional campuses that need it.

Ministerial control and university autonomy

The bill’s broad ministerial control over university funding and student places could weaken institutional autonomy and allow important decisions to change with government priorities.

Raised by Julian Leeser and Michael McCormack Source ↗

Insufficient consultation

The government was criticised for introducing the bill without properly consulting universities, prompting calls for a Senate committee inquiry before the Coalition would decide whether to support it.

Raised by Michael McCormack and Julian Leeser Source ↗

Further sources

parlinfo.aph.gov.au ↗

Votes

Recorded votes

No recorded votes have been found yet for this bill.

Parliamentary debate

Who spoke, and what they said

Start here — lead voices

Jason Clare

Australian Labor Party • MP 25 June 2026

Jason Clare supports the bill, saying it will widen access to university for students from poorer families and regional and remote areas by creating more Commonwealth supported places and managing growth.

Read in Hansard ↗

Julian Leeser

Liberal Party • MP 02 July 2026

Julian Leeser says the coalition has not decided whether to support the bill and will refer it to a Senate committee before making a final decision.

Read in Hansard ↗

Carol Berry

Australian Labor Party • MP 02 July 2026

Carol Berry supports the bill, saying its needs-based funding system will expand university access and provide stronger support for students from disadvantaged, First Nations, regional and remote backgrounds.

Read in Hansard ↗

Tom French

Australian Labor Party • MP 02 July 2026

Tom French supports the bill, saying it expands tertiary opportunities by directing managed growth funding and extra support to regional, First Nations and disadvantaged students.

Read in Hansard ↗

All speeches by bloc

Carol Berry ★ Carol Berry supports the bill, saying its needs-based funding system will expand university access and provide stronger support for students from disadvantaged, First Nations, regional and remote backgrounds.

“I am pleased these that reforms will mean that more local kids from my electorate of Whitlam will get a chance to go to university, people like Jodi, and they'll get the supports they'll need to stay there. They'll then give back enormously to our community through the professions of their choice. I am proud of the Albanese Labor government's commitment to education at all levels, and I commend this bill to the House.”
Australian Labor Party • MP • 02 July 2026
Read the full speech in Hansard ↗
Tom French ★ Tom French supports the bill, saying it expands tertiary opportunities by directing managed growth funding and extra support to regional, First Nations and disadvantaged students.

“This bill does not solve every problem in higher education—no single bill does, and anyone who claims otherwise either has not read enough legislation or has read far too much of their own press release—but it does make real structural change. It moves us towards a system where growth is planned, funding follows need and opportunity is not rationed by geography. I support this bill because it reflects a principle Labor should always defend—talent is everywhere, but opportunity is not. Government has a responsibility to narrow that gap. The child growing up in Dungog, Merriwa, Auburn, Woy Woy, Joondalup or anywhere else in Australia should be able to see a path forward. They should be able to pursue a trade, a diploma, a degree or a change in career without the system quietly telling them that ambition is reserved for someone else.”
Australian Labor Party • MP • 02 July 2026
Read the full speech in Hansard ↗
Jason Clare ★ Jason Clare supports the bill, saying it will widen access to university for students from poorer families and regional and remote areas by creating more Commonwealth supported places and managing growth.

“That's what this bill is about.”
Australian Labor Party • MP • 25 June 2026
Read the full speech in Hansard ↗

Julian Leeser ★ Julian Leeser says the coalition has not decided whether to support the bill and will refer it to a Senate committee before making a final decision.

“I'll also say this, and let me be very clear both for the benefit of those in this building and for those in the sector who are watching: I will talk to the government. There is a world in which the coalition ends up supporting this bill, but there's also a world where the coalition ends up opposing it.”
Liberal Party • MP • 02 July 2026
Read the full speech in Hansard ↗
Michael McCormack Michael McCormack says the coalition has not finalised its position on the bill and remains cautious because the government did not properly consult universities before introducing it.

“The coalition, as the shadow education minister, the member for Berowra, said, has not finalised its position on the bill. There are reasons for that. One of the reasons for that is, once again, Labor's lack of consultation. The coalition has concerns from the sector itself about the consultation process, including but not limited to the fact universities had not seen the bill before it was tabled. There are elements of the drafting surprising the actual sector. No exposure draft was released—probably no surprise there—and stakeholders were shown only limited material under confidentiality arrangements.”
National Party • MP • 02 July 2026
Read the full speech in Hansard ↗
Alison Penfold Alison Penfold focuses on the gap in university access between cities and regional communities, arguing that higher education is often a matter of opportunity for regional Australians.

“As the member for Lyne, I approach this debate from the perspective of regional Australia and, in particular, the Mid North Coast and Hunter region of New South Wales. For many Australians living in our major cities, attending university is often a matter of choice, but for many Australians living in regional communities, attending university is often a matter of opportunity, and that difference is important. In Sydney, Brisbane or Melbourne, students can choose between multiple universities within commuting distance of home. They can often live with their families while they study. For a young person growing up in Dungog, Taree, Wingham, Gloucester, Harrington, Tea Gardens, Bulahdelah, Forster, Tuncurry or the Manning Valley or the many other small towns and hamlets in my electorate—”
National Party • MP • 02 July 2026
Read the full speech in Hansard ↗

Record

Full record

Key dates and decisions

All parliamentary events

Committee activity