The VET system, unlike the university system, is co-managed by Commonwealth and State/Territory governments and major changes will need cooperation.

This report looks at options for improving affordability by expanding access to student loans for a broader range of training, with safeguards to prevent the rorting that occurred under the VET FEE-HELP program.

Key points:

• Governments should consider reforms to make the VET system a more efficient, competitive market, driven by the informed choices of students and employers, with the flexibility to deliver a broad suite of training options.
• This goal should be pursued through a new principles-based agreement. This study proposes a set of principles for such an agreement.
• There are various options for reforms to VET funding, which will require further consultation and assessment.