The Australian Greens have announced a plan to make public schools entirely free, offering families an annual $800 (US$501) payment per child at the start of the school year to cover out-of-pocket expenses.
The party claims the policy is part of its broader strategy to ease financial burdens on working families, vowing to inject an additional $2.4 billion into public schools to abolish fees.
Greens Leader Adam Bandt MP said parents are forking out thousands on “voluntary” fees, uniforms, and out of pocket costs while one in three big corporations pays no tax.
The Greens plan to fund their ambitious education reform through their previously announced Big Corporations Tax, which they claim will generate $514 billion over the next decade.
This revenue, they argue, would not only cover free public schooling but also fund other major initiatives such as adding dental and mental health services to Medicare, capping rent increases, and introducing low-rate mortgages.
The party cites a 20.58 percent rise in school fees and contributions from 2021 to 2022 as justification for intervention.
They estimate that primary school families spend around $694 annually on supplies, while secondary school costs reach $1,149 per student.
Budget Challenges Amid Growing Spending
The Greens’ announcement comes amid weakening economic forecasts.The latest Mid-Year Economic and Fiscal Outlook (MYEFO) projects Australia’s deficit to reach $143.9 billion over the next four years—$21.8 billion higher than earlier estimates—raising concerns about rising government debt, which is set to surpass $1 trillion by the 2025–26 financial year.
According to data from the Australian Bureau of Statistics (ABS), government spending has averaged $55.1 billion annually since 1959.
Calls for Economic Reform
John Humphreys, chief economist at the Australian Taxpayers’ Alliance, attributed the widening deficit to “discretionary spending,” including initiatives such as cutting $3 billion in student debt.“The projected 2025–26 deficit of $47 billion is unjustifiable and unsustainable, especially given the government’s massive tax revenue increases in recent years,” Humphreys said.
Economists have warned that without significant economic reforms, Australia could face prolonged stagnation.
Humphreys has called for major tax cuts to stimulate productivity, citing the per-capita recession that has persisted for seven consecutive quarters.
Graham Young, Executive Director of the Australian Institute for Progress, said Australia needed to reverse policies that expand government intervention at the expense of private-sector growth.
“Without bold steps to rein in spending and stabilise the economy, we risk passing on a legacy of perpetual debt and low productivity to our children and grandchildren,” Young said.
The Greens’ proposal to fund free public education by increasing taxes on big businesses is expected to face scrutiny, as economic analysts continue to debate the balance between public spending and economic stability.