“Students can now proceed with their plans for investing in postgraduate and professional development education with certainty and without the prospect of an effective 30 – 54 per cent price hike,” said Belinda Robinson, Chief Executive of Universities Australia.

“This is a victory for common sense and is one of the smartest decisions the government could make for Australia’s economic future.”

“It is also great news for more than 90 industry and professional groups representing the lion’s share of the Australian economy and more than two million professionals who have united under the #ScrapTheCap Alliance to oppose the measure.

“We agree with the Government that people should be encouraged, not deterred, from investing in professional development.”

Universities Australia’s analysis and submission to Government showed that the effective increase in the cost of postgraduate education of up to 54 per cent would in turn lead to a decline in student numbers of up to 30 per cent, at least $2.8 billion per annum in lost production and $800 million per annum of lost tax revenue caused by the de-skilling of Australia’s workforce.

Ms Robinson especially acknowledged the efforts of Education Minister Christopher Pyne.

“He was a vocal opponent of the cap in opposition, including meeting with the #ScrapTheCap Alliance, and calling for the cap’s abolition,” Ms Robinson said.

“The Government is to be commended for its swift response in addressing a policy that would have had profound negative consequences across the economy.”