Our recommendations

We consulted with the audited agencies and considered their views when reaching our conclusions. We made 2 recommendations to address our findings, noting several recommendations from prior reports remain relevant and unresolved.

The agencies' full responses are in Appendix A.

Results of 2025 Audits: TAFEs and Universities

Body
This report presents the results of our financial and related audits of TAFEs and universities, and their controlled entities. We also share our independent insights on each sectors' financial outcomes, highlight common issues in internal control and financial reporting and offer recommendations for improvement.

4. Managing and improving Free TAFE

The department and skills authority use effective systems to understand Victoria's priority skill demands. This contributes to the department's annual assessment of course performance, which determines which courses should be funded through Free TAFE. While the agencies work together effectively, there is an opportunity to create an overarching procedure to coordinate this work.

3. Free TAFE funding and outcomes

Free TAFE has cost the government between 33.4 and 94.2 per cent more for each eligible enrolment than it would have if not for the initiative. The department has paid TAFEs more than $700 million to cover tuition fees, which represent savings for Free TAFE students accessing training.

Changes in reported outcomes for students in Free TAFE courses were similar to those in other courses at TAFEs and to those in comparable courses at private providers, before and after Free TAFE started.