Australian Higher Education’s Call for Diversity and Balance in International Enrollment: A Blueprint for Change

In a comprehensive review process spanning over a year, involving 820 written submissions, 180 meetings, and a highly contested interim report released in July 2023, Australia’s Department of Education unveiled the Australian Universities Accord Final Report on February 25, 2024.

The report, which runs over 400 pages, has been described as a blueprint poised to guide transformative changes in the nation’s higher education sector for the foreseeable future.

Minister for Education Jason Clare emphasized the long-term vision encapsulated in the report, stating, “This is a plan not for one budget but a blueprint for the next decade and beyond.”

This sweeping scope covers a vast array of aspects from student fees and funding to research, teaching, housing, student services, and international education.

The Expansion of Higher Education in Australia

The report envisions a substantial expansion of higher education in Australia, anticipating that 90% of new jobs will necessitate post-secondary qualifications by 2035.

In alignment with this projection, the report sets several top-level targets, including:

• Boosting post-secondary attainment among Australian high-school leavers to 80% by 2050, up from the current 60%.
• Increasing university qualification attainment to 55% by 2050, from today’s 40%.
• Doubling the capacity of government-supported spaces in post-secondary education to 1,800,000, addressing the anticipated demand surge.

Additionally, the report advocates for greater integration between Australia’s Vocational Education and Training (VET) and higher education sectors.

This integration will be achieved through streamlined alignments of VET and degree programs, forming a more modular, “stackable” system enabling students to transition among qualifications and institutions, thereby promoting lifelong learning.

Funding the Expansion

The projected expansion will be funded partially by government resources and partially by the institutions themselves.

This funding model will draw on universities’ “untied” revenue sources, including international student tuition, research funding, and philanthropic donations.

The Outlook for International Education

For those particularly interested in the realm of international education, page 182 of the report provides comprehensive insights into the findings and recommendations.

The Accord delves into the significant issue of diversity and scale, noting that:

“Significant dialogue has occurred regarding the size of international student cohorts in Australian universities and the potential impact of large concentrations on both international and domestic student experiences.

For example, in 2022, international students constituted over 40% of the total student population at some universities, including the University of Sydney (47.5%), Monash University (42.7%), and RMIT University (45.0%).

There is a clear need to address concerns surrounding the social license to operate international education, especially when large cohorts are concentrated in specific classes, courses, or providers without significant integration efforts across different student cohorts.”

Recommendations for International Education

The Accord outlines several recommendations for the future of international education in Australian higher education.

These include:

• Ensuring alignment between courses promoted to international students and the needs of the domestic labor market, as well as relevant migration initiatives.
• Expanding international enrollments beyond Australia’s major cities.
• Supporting the diversification of international student markets within a national strategic framework.
• Strengthening alumni networks in students’ countries of origin.
• Maintaining trust and integrity within the Australian visa system, following agreed recommendations from the Nixon Review and the Migration Strategy.
• Implementing appropriate risk management strategies for international education to manage volatility in demand, mitigate high concentrations in specific courses or institutions, and ensure access to affordable housing for students.

The Proposal for an AUS$10 Billion Higher Education Future Fund (HEFF)

Notably absent from the final report is the previously suggested levy on international student fees, which was included in the July 2023 interim report.

Instead, the Accord recommends the creation of an AUS$10 billion Higher Education Future Fund (HEFF).

This fund, jointly financed by the government and universities, would utilize university contributions from their “universities’ untied own-source revenue.

While the recommendation does not explicitly link to international tuition revenues, it is apparent that a significant portion of the funding will derive from non-governmental sources.

This proposition has sparked considerable debate among sector leaders.

University of Melbourne Vice-Chancellor Duncan Maskell argued: “Taxing universities as they recover from pandemic-induced deficits will deplete the funds invested in education and student experience, thereby weakening Australia’s productivity and innovative potential.”

Similarly, University of Sydney Vice-Chancellor Mark Scott highlighted, “The dependence on international student fee revenue to fund crucial research and innovation stems from the shrinking governmental support for universities.

Proposing a tax on these critical initiatives as a recovery measure seems counterproductive.”

Envisioning a Balanced and Diverse Higher Education Future

The July 2023 interim report had invited commentary on over 70 “spiky” policy proposals, some of which have stirred significant responses from various stakeholders.

The final Accord Report, however, wisely chose to omit contentious measures like the levy on international student fees, suggesting instead the establishment of sustainable, long-term funding structures like the HEFF.

Towards a Resilient and Equitable Higher Education System

The recommendations in the Accord report signal a renewed focus on fostering equity and diversity within Australia’s higher education landscape.

While the report emphasizes the need for significant growth in the domestic student population, achieving this will necessitate a targeted effort towards drawing more students from underrepresented backgrounds.

Elements that will further equity and inclusivity in the higher education system include:

• Promotion of lifelong learning, enabling students to earn academic and vocational credentials over their lifetimes.
• Better integration of post-secondary education systems to allow fluid transitions between vocational and academic routes.
• Flexibility in defining ‘universities’ to include diverse institutions, tailored to serve different student needs and societal roles.
• Strengthening networks and partnerships to provide a supportive and inclusive environment for all students.

Conclusion: A Transformative Blueprint for Australian Higher Education

In conclusion, the Australian Universities Accord Final Report delineates an ambitious yet thoughtful plan aimed at transforming Australia’s higher education sector.

By advocating for increased diversity in international and domestic enrollments, enhanced integration of educational pathways, and sustainable funding models, the report presents a holistic vision for the future.

Moving forward, the successful implementation of these recommendations will require concerted efforts from all stakeholders, ensuring that Australia’s higher education system evolves to meet the demands of a changing global landscape while fostering inclusivity and equity.

The Accord serves not just as a blueprint for growth but as a foundational document charting the course toward a resilient and prosperous educational future for Australia.