Australia’s higher education sector took a hammering in 2024 but our universities – as they have throughout history – and in spite of political machinations continued to deliver a high-quality education to both domestic and international students and undertake research to find solutions to our biggest challenges.
We educate the skilled workforce, shape future leaders, develop lifesaving medical solutions and innovative technologies to improve agriculture, tackle climate change, protect national security and secure our nation’s future.
The role and responsibility of universities in society today has never been more important. We are living in changing and challenging times. Social cohesion in Australia is at all time low, rising cost of living is adding to societal pressures, and the geopolitical situation is unstable.
That universities are targeted, particularly during election periods is nothing new, but fortunately in late 2024, one of the more extreme politically motivated policies to impose a blunt cap on international student numbers was shelved, as the Coalition Opposition and Independent Senators announced their intention to reject the government’s Bill.
For much of 2024, the Group of Eight, supported by business, industry, state government’s and even the Reserve Bank of Australia, prosecuted the case against capping international student arrivals. The case for caps, as put by the government included addressing the post-COVID rise in migration, easing the housing crisis, and a myriad of other proposals – all debunked by the evidence.
Go8 universities educate one in three international students who choose to study in Australia – 84% of them return home and strengthen our strategic relationships, while those who do remain make a valuable contribution to our skills base and our community.
But as we head towards a federal election, due in the first half of 2025, it’s likely Australia’s higher education sector will face further policy challenges – potentially scapegoated in the political debates around migration and cost of living as we’ve seen around the globe and recently in the United States.
But as we head towards a federal election, due in the first half of 2025, it’s likely Australia’s higher education sector will face further policy challenges.
Vicki Thomson, Go8
Of course, there is an alternative and policy makers, campaigners and politicians can switch the dial. For the Go8’s part, representing Australia’s leading research-intensive universities, we will be advocating for an approach that recognises the vital contribution universities can and do make to a prosperous and cohesive society and for a policy mix in which common sense prevails.
The obvious place to start is to take a genuine look at how Australia’s university sector is funded. For too long we have operated under a distorted funding model whereby international fee revenue props up our national university research effort – 70% of which takes place in Go8 Universities – and our domestic teaching.
This is untenable and unsustainable. To address this, we need a bipartisan National Research Strategy to grow research and development and build a more resilient and dynamic economy – a strategy that sets a dedicated framework to support research in Australia for generations to come.
The Australian government must adopt a target to lift Australia’s R&D intensity to 3% of GDP by 2035. Our national R&D intensity has been in decline for over a decade and GDP is around 1% point lower than the OECD average. The Go8 in consultation with leading business and industry groups developed a report to the Australian government: Australia’s research and development (R&D) intensity: a decadal roadmap to 3% of GDP which sets out evidence-based and fiscally responsible recommendations to achieve this goal. It requires all of us – business, industry and government to lift our game – or be left behind.
The Australian government recently announced the scope of its Strategic Examination of Australia’s Research & Development system. We can only hope that this process will lead to positive change, irrespective of the election outcome.
If we work together – universities, industry and governments – to develop a funding model for higher education that isn’t overly reliant on international student fee revenue to fund vital research and educate our domestic students, we can circumvent unnecessary and potentially damaging election rhetoric and create a university sector that accelerates a prosperous 21st century modern Australian economy.
