Providers, not students, will pick up the bill from 1 January 2027
The National Student Ombudsman levy is now law. Parliament passed the National Student Ombudsman Levy Bill 2026 on 15 October 2026, and from 1 January 2027 a levy on higher education providers will fully cover the Ombudsman’s ongoing costs. The Australian Government has funded the service during its establishment phase.
What is still to be decided on the National Student Ombudsman levy
The method for calculating the levy will be set out in regulations, after further consultation with the sector, and the bill makes clear it is on a cost-recovery basis. The Department of Education’s 2026-27 Budget factsheet proposed sharing the cost according to each provider’s student population, but the final method is yet to be confirmed.
A companion bill to amend the Tertiary Education Quality and Standards Agency Act was introduced alongside it to cover collection and administration of the levy, including any penalty for late payment.
What the Ombudsman has done so far
The National Student Ombudsman began operating on 1 February 2025. According to the Minister’s release, it has received 7,690 student contacts and resolved 6,016 matters, which is 78% of all matters raised. Students from 174 of the country’s 219 higher education providers have used the service. In a survey, 80% of providers reported putting in place systems or service improvements after receiving advice from the Ombudsman.
Free for students
Education Minister Jason Clare said the legislation will make sure students can continue to access the Ombudsman free of charge. The National Student Ombudsman levy falls on providers, so the cost of running the National Student Ombudsman is borne by the institutions students attend, not by the students themselves.
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General information only, not legal advice. Check the official source before acting.
Source: Minister for Education Jason Clare, media release, 15 October 2026. Also: second reading speech and Department of Education Budget factsheet.
