1 Finance and the performance of schools Gerald Burke CEET ‘Our Schools... Our Future’ Melbourne Institute Thursday 15 November 2007 Woodward Conference Centre, The University of Melbourne

2 Overview The size and distribution of funds Where resources are most needed

3 Growth of funds in real terms, Australia Average school income per student in 2005 prices Increase 95 to 05 $$$% Gov schools 7,722 8,892 9,76927 Non-gov schools 7,181 8,780 10,32644

4 Government school income, Australia School income per student in 2005 prices Increase 95 to 05 $$$% Government funds 7,354 8,469 9,30427 Private funds Total income 7,722 8,892 9,76927 Note: Cash basis, private funds assumed to be 5 per cent of government funds; Commonwealth grants equal 12 to 13 per cent of total government funds

5 Non-government school income, Australia School income per student in 2005 prices Increase 1995 to 2005 $$$% Fees and charges Private donations and income State government grants Commonwealth government grants Total income

6 Non-government schools income per student, by type and level Change 1995 to 2005 (2005 prices) Catholic Primary Catholic secondary Independent primary Independent secondary %% Fees and charges Private donations/income State Commonwealth Total income

7 School income per student, Australia 2005 Catholic Primary Catholic secondary Independent primary Independent secondary $$$$ Fees and charges Private donations/income State Commonwealth Total income

8 School students, Australia GovernmentCatholicIndependent Primary Secondary Primary Secondary Growth 95 to 05 %% Primary 1654 Secondary 31740

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13 Unemployment rate 4.3% Children living without an employed parent 13.7%

14 Where are needs high? –Disability –Indigenous –Language –Low socio-economic background –Concentration of disadvantaged groups - Vinson, Lamb

15 Greatest impact Disadvantaged groups need early intervention Ratios of spending in primary and secondary –Government schools -- about 1 to 1.25 –Non-government -- more than 1 to 1.50