Compromise deal on universities draws closer

By Leith van Onselen

A deal to pass the Abbott Government’s reforms to Australia’s university system is getting closer, with the Coalition set to compromise on some key facets of its reform program in order to ensure its passage through the hostile Senate.

In the May Federal Budget, the Government announced that it would cut-back funding to universities by 20%, deregulate (raise) university fees, and apply a real interest rate to student debts (pegged to the 10-year government bond rate) – moves that would significantly raise the costs of attending university.