It was reported in 2023 that many tertiary education institutions were reassessing the role of their campuses and realigning them with ambitious capital plans, often in partnership with private investors and/or government. While many of these institutions are poised to make significant capital investments, caution prevails.
As world events have unfolded, we have witnessed the enduring conflicts in the Ukraine and the Middle East, and we live with the uncertainty that has come with the Trump presidency. The global economy is shaped by slowing growth and falling inflation. The cost of construction remains high, although it appears to be stabilising now.
It is a complex environment at home too. In 2025, Australian institutions, alongside other large organisations, will begin mandatory climate-related financial reporting under the Corporations Act. In parallel, the Australian Federal Government has introduced caps on international students, with some institutions hit harder than others. Most institutions are grappling with the new patterns of working that have settled in following the Covid-19 pandemic and speculating about the future of teaching and learning. On a bright note, the New Zealand Government has just recently announced a new growth strategy that aims to double the economic impact of the higher education sector by 2034.
