More Government Spending Does Not Produce Better Educational Outcomes

Share this edition:

Key Findings

On 31 January 2024, the federal government announced a new education funding agreement with the State of Western Australia to ‘build a better and fairer education system’. The agreement would mean an additional billion dollars in state and federal government funding to WA schools over a five-year period, and if replicated in all states, could mean an additional $3 billion each year in federal spending on schools.

More government spending on schools will not build a better education system. This research note reveals government funding to Australian schools almost doubled between 2012 and 2022, while student learning outcomes continued to decline.

  • Between 2012 and 2022, the federal and state governments have spent a cumulative total of over $716 billion on the schools sector.
  • Between 2012 and 2022, federal government funding to the education sector increased from $14.4 billion to $25.1 billion (+75 per cent) while state government funding increased from $40.6 billion to $55 billion (+32 per cent).
  • Government funding to education has increased by 43 per cent since, while education results have declined by 3 per cent, according to the OECD’s Programme for International Student Assessment of 15-year-olds in mathematics, reading, and science.
  • This 3 per cent decline indicates an average 15-year-old in 2022 is more than half a year behind in learning compared to an average 15-year-old in 2012.

Bella d'Abrera

Dr Bella d'Abrera was the Director, Foundations of Western Civilisation Program at the Institute of Public Affairs
Stay up to date

Sign up to our newsletter to stay up to date with the IPA’s work

Support the IPA

If you liked what you read, consider supporting the IPA. We are entirely funded by individual supporters like you.

Related Posts

Daniel Wild on Credlin – News24 – 6 October 2026

Jaimee Rogers: Well, welcome back. Well, let’s dive straight into those migration...

Saxon Davidson on The Close Ausbiz – 5 October 2026

Andrew Geoghegan: Australia still has around 325,000 job vacancies with worker shortages...

Adam Creighton on the Jaimee Rogers Show News24 – 4 October 2026

Jaimee Rogers: Joining us now is the IPA’s Adam Creighton, who’s in...

Clare Rowe on Opinionated News24 – 2 October 2026

Jaimee Rogers: So what are we teaching our children in schools? Do...