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Funding stand-off puts 720 non-government schools at risk of closures next month

More than 350,000 Victorian students face being locked out of their classrooms next year as a funding stand-off between the state and federal governments reaches crisis point.

Vic students held hostage in federal funding disagreement: Plibersek

More than 350,000 Victorian students face being locked out of their classrooms early next year as a funding stand-off between the state and federal governments reaches crisis point.

Victoria’s non-government schools are facing an urgent $1.5 billion shortfall if the governments are unable to reach a deal on new funding arrangements, which have been accepted by every other state and territory.

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Independent Schools Victoria chief Michelle Green said there was “real anxiety” among the parents of the 145,000 students who attend the state’s 220 independent schools.

She said many schools had expressed “serious concern about their operations in 2019, given the funding uncertainty”.

Catholic Education Melbourne acting executive director Jim Miles said almost 500 Catholic schools were also “exposed”, and that “bridging finance” would be needed to pay 28,000 teachers and keep classrooms open.

Federal Education Dan Tehan. Picture: Gary Ramage
Federal Education Dan Tehan. Picture: Gary Ramage

Victorian Education Minister James Merlino told independent school principals on Thursday that Victoria would meet its funding commitments, and that the Commonwealth would be able to deliver its biannual payments to non-government schools even without a formal deal.

But the federal government believes it is legally impossible for it to deliver its funding if an agreement is not signed.

Federal Education Minister Dan Tehan said he had a “very good discussion” with Mr Merlino after today’s meeting of education ministers.

He said the Commonwealth was offering record funding for Victorian students, increasing by 6.7 per cent for government schools and 4.9 per cent for non-government schools over the proposed five-year deal.

“We want that money to flow to Victoria but we need Victoria’s co-operation,” Mr Tehan said.

But Mr Merlino said he would not “be bullied into signing a dud multi-year deal for school kids”, as he urged Mr Tehan to consider an interim one-year deal as a solution.

Victorian Education Minister James Merlino with Premier Daniel Andrews. Picture: Ellen Smith (AAP)
Victorian Education Minister James Merlino with Premier Daniel Andrews. Picture: Ellen Smith (AAP)

“We’ll keep talking with the federal government but the significant ramifications that will come from what they are doing rests solely with them,” Mr Merlino said.

It is understood Mr Tehan believes an interim deal cannot be struck with Victoria without ruining funding agreements already signed with other states.

As the stalemate continued today, Labor launched attacks ads on social media blaming Prime Minister Scott Morrison for “refusing to fund Victorian schools which could force local schools across the state to close”.

The Herald Sun understands the ads will be targeted at voters in the Liberal-held eastern suburbs seats of Deakin, Higgins and La Trobe, which Labor believes will be up for grabs at next year’s federal election.

rob.harris@news.com.au

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Original URL: https://www.heraldsun.com.au/news/special-features/news-in-education/vce/funding-standoff-puts-720-nongovernment-schools-at-risk-of-closures-next-month/news-story/cc447b28c4521221be336890baf9acb2