“We welcome this positive breakthrough by the Turnbull government to cement political consensus around the principle of a sustainable, needs-based funding model in school education,” Business Council chief executive Jennifer Westacott said following today’s announcement by the Prime Minister and Education Minister.

“Abolishing the commitment to maintain all schools’ funding levels – regardless of their level of privilege – establishes a fairer, simpler and more transparent approach to funding disadvantaged students and schools into the future.

“We strongly support the concept of a needs-based funding model, initially proposed by David Gonski, as it increases both the equity and transparency of the system.

“The proposed changes represent the kind of careful redesign of government programs that we champion. They should ultimately help deliver better services and target taxpayer support at those who most need it.

“The announcement should give states and territories certainty of funding and end the unproductive debate about funding levels.

“We now urge all governments to work collaboratively on what really matters – improving the quality of teaching, making content more relevant to the modern world and increasing principal autonomy.

“We welcome the new inquiry by David Gonski into improving Australian students’ outcomes.

“Parliament should pass the enabling legislation as a priority for the good of the nation,” Ms Westacott said.