How affordable are independent school fees in Australia?

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Abstract

The independent private school sector in Australia is growing dramatically. While the sector on average enrols a larger share of socially advantaged students compared to the Catholic or public school sector, the extent to which independent school fees are financially accessible is not well known. Examining this question is important as the sector receives substantial taxpayer subsidies. We examined the fees charged by independent secondary schools in Australia’s five largest cities, collectively home to almost 65% of Australians. On average across all five cities, independent secondary schools charge approximately $15k per year, with 25% of schools charging less than $5k per year and another quarter charging more than $20k per year. Fees are highest in Melbourne and Sydney, where one-third of schools charge over $20k per year, and 10% charge more than $40k per year. Average fees varied across the five cities and are not easily explained by public policy or economic contexts. While a substantial number of independent secondary schools can be considered affordable, most are not. We query the value to Australian society of having so many high-fee independent schools and argue that Australia’s aim of increased productivity would be better met by diverting government funds spent on high-fee schools to students and schools with greater need.

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