JobKeeper helping elite Melbourne schools boost their profits

It was designed to make up for falling revenue due to Covid, but these Melbourne private schools increased their profits by millions thanks to JobKeeper.

Trinity Grammar School is among a number of elite schools that pocketed millions in JobKeeper payments. Picture: Mark Stewart

One of Victoria’s most ­expensive private girls’ schools received $10m in JobKeeper funds while posting a profit of $15m in 2020, the Herald Sun can reveal.

Methodist Ladies’ College in Kew, which charges $34,000 in year 12 and has $162m in net assets, claimed the taxpayer-funded benefit designed to ­rescue struggling businesses.

It’s one of 19 additional Victorian schools to profit handsomely from the government largesse. The Herald Sun list of private school JobKeeper ­recipients now includes 57 schools that together received $210m in public funds at an average payment of $3.6m each. Most are highly profitable and have vast asset reserves.

Trevor Cobbold, from the Save our Schools lobby group, said the new figures “reveal ­another shameless grab for taxpayer funding by some of the wealthiest schools in the state”.

“Every school except one made a profit from its JobKeeper payments,” he said.

“The greed is epitomised by MLC, which made a profit of $15m, yet got $10.4m from ­JobKeeper.”

Methodist Ladies' College received $10 million in JobKeeper funds while posting a profit of $15 million in 2020.

Many of the schools have repeatedly refused to divulge the funds when asked by the Herald Sun, and obscure the payments as “government subsidies” and “other payments” on their official documents.

The new recipients uncovered by the Herald Sun include Ilim College and Sirius College which each received $7 million and Lauriston Girls’ School which got $6 million.

Methodist Ladies’ College’s financial statement notes it received the funds for its Kindle Early Learning Centre which allowed for the continued engagement of staff and programs during a period of restricted activity.

Lauriston’s financial statement said the funds were received due to a “significant reduction in revenue”. The school nonetheless posted a surplus of $3.7 million in 2020 and has total assets of $66 million.

Trinity Grammar received $2.3 million in JobKeeper, and its financial records note that it paid $5 million in rebates and financial support to 70 families. The school made a $1.9 million surplus in 2020 and has $108 million in total assets.

A number of other schools believe to have been paid JobKeeper, but it’s not clear from their records. These include Toorak College which received a one-off payment of $5.3 million.

Other schools such as Minaret College had their income increase by $11 million and Overnewton College by $5 million.

The highest JobKeeper recipient in the state so far is Wesley Grammar, which received $18 million despite posting a $2 million surplus and having $189 million in total assets. Other major recipients include Geelong Grammar ($10 million) and Penleigh and Essendon Grammar ($9 million).

Together the three schools have more than half a billion in net assets and are highly profitable.

Despite 2020 Federal Education Minister Alan Tudge calling the scheme, a “highly successful program”, there have been many calls for profitable schools to pay the money back.

South Australian Senator Rex Patrick said private schools “that had an increase in turnover over the relevant previous periods should pay back the JobKeeper they received”.