The proposal would increase the Commonwealth share of funding to all government schools under the following components:

• component 1: the Commonwealth share for the Schooling Resource Standard (SRS) to increase to 25% in all government schools except those in the Northern Territory, where the Commonwealth share would increase to 40%
• component 2: SRS funding to be indexed to the higher of Wage Price Index (WPI), Consumer Price Index (CPI) or the SRS indexation factor.

The proposal would start from 1 July 2026 and would be ongoing.