Source: The Conversation (Au and NZ)
This month, multiple news outlets have reported families’ concerns about rising private school costs during the cost-of-living crisis.
It’s likely this trend will increase, as private school tuition fees rise faster than inflation.
Why are families putting themselves under this pressure? What does it suggest about the broader Australian school system?
Parents are struggling
In Australia, on average, private school fees (including additional costs) sit at around $8,973 for each year of schooling per student. Costs can total over $100,000 over the course of an K-12 private school education.
However, fee averages can differ across Australia.
In 2024, the average tuition fee for a Year 12 student in an independent school (also known as private schools) in NSW was A$15,674. In Victoria it was $20,923.
Private school peak body Independent Schools Australia surveyed 1,508 parents who have kids in independent schools.
Of those surveyed, 75% had adjusted their household budget in the last year to remain in their selected schools. More than half reported struggling to pay school fees, and 28% said they had also cut back on essentials, such as medicine, groceries and transport, to help pay fees.
The survey also reported “one in five receive financial support from other family members”.
An educational shift
Despite the fees, we know families are increasingly choosing independent schools over public schools.
The proportion of Australian students attending independent schools has jumped from 13% in 2006 to 17% in 2025.
At the same time, the number of students attending public schools has dropped. In 2025, 63% of students attended public school. In 2006 it was 67%. Enrolments at Catholic schools didn’t change much throughout this period and remained at around 20%.
Why is this happening?
Read more:
More NSW students are going to private schools – where are they coming from?
Our research
Our research, which looked at the impact of philanthropy in Australian public schools, might offer some perspectives as to why.
Over the last two years, as part of an ongoing research project we interviewed 58 public school principals across every Australian state and territory about their experiences with school funding.
We found that many principals perceived parents to be choosing schools based on infrastructure, extra-curricular offerings and facilities they could not match, including basics such as heating or cooling.
All principals interviewed said they had to apply for competitive funding for critical infrastructure in the school, even for necessities such as ramps for students with disability.
Other findings
An Australia Institute study published in June also mirrors these principals’ concerns.
The survey asked 2,230 Australian adults questions about primary and secondary school funding. Participants were recruited online and represented by a range of ages, genders, education levels, regions, household incomes and political preferences.
As part of the study, 801 Australian parents with children in private schools were asked about their schooling choices. It found 38% would have enrolled their child in the public system if their local public school was better funded.
About 41% of respondents said they would still enrol their child in a private school even if their local public school was better funded while the remaining 21% said they were unsure. Respondents were not asked the reasons for their answers.
The bigger picture
Parent choices about where they send their kids to school must be understood in the context of Australia’s broader funding environment.
For instance, public schools in Australia have experienced chronic underfunding. Other than the ACT, most public schools across other states and territories do not currently receive their minimum amount of funding as calculated by the Schooling Resource Standard (SRS). The SRS is the measure used to determine the minimum amount of government funding that should be allocated to schools for their students’ educational needs.
In Australia, there is no regulation around how much non-government schools can charge, such as price caps. Nor do tuition fees impact the amount of government funding independent schools receive.
Indeed, Australia’s private schools charge some of the highest fees in the OECD.
It’s important to note not all independent schools charge high fees. But research has consistently suggested school fees of any level are linked with higher levels of “school segregation”. This means advantaged and disadvantaged students are concentrated in separate parts of the school system.
This then leads to overall declines in educational equity and quality.
Australia is among some of the most segregated school systems in the OECD. Australian public schools educate the majority of disadvantaged students.
What should change to help families?
One way to limit high school fees would be to tie them to the amount of government funding a school receives.
That means if a school charges fees, it should receive decreased government funding linked to this. This would encourage schools to maintain low tuition fees and, in turn, keep independent education more affordable for financially-struggling families.
While this measure might be met with political resistance in the Australian context, research has shown the measure has worked in countries such as Canada, the United Kingdom, Sweden and Belgium. These countries have either prohibited or regulated school tuition fees where they also receive government funding.
With this in mind, a key question emerges: to what extent are private schools that are charging high fees, and receiving full government funding support, responsible for easing some of the burden on parents and families?
Emma Rowe receives funding from the Australian Research Council.
Elisa Di Gregorio does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.
Original source: https://analysis1.mil-osi.com/2026/08/02/families-say-they-are-struggling-to-pay-school-fees-why-are-so-many-still-choosing-private-schools/