From today, 1 July, eligible nursing, midwifery, teaching and social work students will receive a weekly Commonwealth Prac Payment of $331.65 while undertaking mandatory practical placements, the same rate as a single Austudy payment.
The initiative, recommended by the Universities Accord, is designed to ease cost-of-living pressures for around 68,000 higher education students and more than 5,000 vocational students each year.
Under newly published grant guidelines, the payment will be fair and accessible to those who face additional challenges—such as disability, health issues or acute family circumstances—ensuring that practical training does not become a barrier to completing their degrees.
University students can apply for the payment through their higher education providers, while TAFE students enrolled in a Diploma of Nursing will have payments administered directly by the Department of Employment and Workplace Relations.
Education Minister Jason Clare said the support targets some of the country’s most vital workforces. “This will give people who have signed up to do some of the most important jobs in this country a bit of extra help to get the qualifications they need,” he said.
“These are people who are going to teach our kids, who are going to look after us when we’re sick or when we’re old, going to help women during childbirth and help support women in domestic violence refuges.”
Clare added that “placement poverty is a real thing,” recalling students who could afford tuition but not unpaid placements.
“Some students say prac means they have to give up their part-time job, and that they don’t have the money to pay the bills,”
he noted.
The Prac Payment responds directly to concerns that financial hardship during placements could deter graduates from high-need professions. By benchmarking the weekly rate to Austudy, the government aims to remove disincentives to practical training and encourage more Australians into these fields.
Full details of eligibility and application processes are available on the Department of Education’s website, and the Federal Register of Legislation publishes the Higher Education Support (Other Grants) Amendment (Commonwealth Prac Payment) Guidelines 2025.
TAFE students enrolled in a Diploma of Nursing will have their payment administered directly by the Department of Employment and Workplace Relations.
For more information on higher education:
Commonwealth Prac Payment (CPP) – Department of Education, Australian Government
This targeted relief marks a significant step toward addressing workforce shortages in key services, while ensuring that students can complete the essential hands-on experience their degrees require without undue financial strain.
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