“We congratulate senators on voting for a simpler, fairer and more transparent schools funding model that will deliver the most taxpayer support to those students who really need it,” Business Council chief executive Jennifer Westacott said.

“The destructive school funding wars have dominated the debate for too long, distracting from other important challenges facing our education system.

“I hope all governments can now focus on what matters most – working collaboratively to improve the quality of teaching, make content more relevant to the modern world and increase principal autonomy.

“We can’t know what the future economy will look like, but the greatest protection we can offer young people is a high-quality education that fosters a love of learning.

“This breakthrough proves that parliament can get things done if the various players put aside partisanship and support common-sense efforts that put the electorate’s interests first.”