Australian universities are becoming increasingly concerned over the impacts of Federal Government’s freeze on its grant programs, with many institutions saying the freeze undermines their ability to plan and invest in critical research and teaching programs.

 

The concerns stem from the billions of dollars in grant the Federal Government has put on hold as it seeks to find savings for its Mid Year Economic and Fiscal Outlook (MYEFO).

 

"This short-term, stop-go approach to funding and public investment decisions is becoming an increasingly alarming feature of the modern budget process and is seriously eroding confidence in the policy-making process," Universities Australia Chief Executive Belinda Robinson said.

 

"Clearly universities are worried about this particular MYEFO process, but there is a deeper issue around the recent and concerning trend towards ever diminishing budget certainty. Unfortunately, forward estimates are becoming progressively meaningless and funding predictability a thing of the past.



"We are now at the point where not only is everything up for grabs once a year through the budget process, but every six months through MYEFO.



"Universities, like the rest of the economy, understand that public budgets are tight. Surely though, it is the responsibility of governments to plan for the longer term and ensure a greater level of budget equilibrium can be achieved.