{"id":"F2025L00872","name":"Higher Education (Up-front Payments Tuition Protection Levy) (Risk Rated Premium and Special Tuition Protection Components) Determination 2025","slug":"f2025l00872","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":442902,"registerId":"F2025L00872-fast-fetch-1775957817803","compilationNumber":null,"startDate":"2026-04-12","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Higher Education (Up-front Payments Tuition Protection Levy) (Risk Rated Premium and Special Tuition Protection Components) Determination 2025","content":"---\nmeta-content-style-type: text/css\nmeta-content-type: application/xhtml+xml; charset=utf-8\n---\n\n\n\n \n\nHigher Education (Up-front Payments Tuition Protection Levy) (Risk Rated Premium and Special Tuition Protection Components) Determination 2025\n\nI, Tanya Benton-Hall, Acting Higher Education Tuition Protection Director, make this determination.\n\nDated 23/07/2025 \n\nTanya Benton-Hall\n\nActing Higher Education Tuition Protection Director\n\n \n\n \n\n \n\nContents\n\nPart 1—Introduction\n\n1 Name\n\n2 Commencement\n\n3 Authority\n\n4 Definitions\n\n5 Schedules\n\nPart 2—Risk rated premium component\n\n6 Risk rated premium component\n\n7 Risk factor – financial strength\n\n8 Risk factor – completion rate\n\n9 Risk factor – non-compliance history and registration renewal\n\nPart 3—Special tuition protection component\n\n10 Special tuition protection component\n\nSchedule 1—Repeals\n\nHigher Education (Up-front Payments Tuition Protection Levy) (Risk Rated Premium and Special Tuition Protection Components) Determination 2024\n\n \n\n \n\nPart 1—Introduction\n\n1 Name\n\n This instrument is the Higher Education (Up-front Payments Tuition Protection Levy) (Risk Rated Premium and Special Tuition Protection Components) Determination 2025.\n\n2 Commencement\n\n (1) Each provision of this instrument specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.\n\n \n\n- Commencement information\n- Column 1 Column 2 Column 3\n- Provisions Commencement Date/Details\n- 1. Parts 1 to 3 31 July 2025\n- 2. Schedule 1 1 August 2025\n\n\nNote: This table relates only to the provisions of this instrument as originally made. It will not be amended to deal with any later amendments of this instrument.\n\n (2) Any information in column 3 of the table is not part of this instrument. Information may be inserted in this column, or information in it may be edited, in any published version of this instrument.\n\n3 Authority\n\n This instrument is made under section 13 of the Higher Education (Up-front Payments Tuition Protection Levy) Act 2020.\n\n4 Definitions\n\nNote: A number of expressions used in this instrument are defined in section 5 of the Act, including the following:\n\n(a) leviable provider;\n\n(b) risk rated premium component;\n\n(c) special tuition protection component;\n\n(d) up-front payments tuition protection levy.\n\n In this instrument:\n\nAct means the Higher Education (Up-front Payments Tuition Protection Levy) Act 2020.\n\nannual financial reporting period has the same meaning given by subsection 27(2) of the Tertiary Education Quality and Standards Agency Act 2011.\n\ncensus date:\n\n (a) in relation to an Australian course of study and a registered higher education provider that is also a higher education provider within the meaning of the Higher Education Support Act 2003—has the same meaning as in that Act; or\n\n (b) in relation to an Australian course of study and a registered higher education provider that is not of the kind mentioned in paragraph (a), means the last day on which students can withdraw from a unit of study without incurring a financial liability or an academic penalty.\n\nfinancial statement means the statement provided by a leviable provider to TEQSA for the purposes of section 27 of the Tertiary Education Quality and Standards Agency Act 2011 for the annual financial reporting period ending in 2024.\n\nPIR information means the information provided by a leviable provider to TEQSA in accordance with a notice under section 28 of the Tertiary Education Quality and Standards Agency Act 2011.\n\nTEQSA means the body established by section 132 of the Tertiary Education Quality and Standards Agency Act 2011.\n\n5 Schedules\n\n Each instrument that is specified in a Schedule to this instrument is repealed as set out in the applicable items in the Schedule concerned.\n\nPart 2—Risk rated premium component\n\n6 Risk rated premium component\n\n (1) The amount for the purposes of step 1 of the method statement in subsection 11(2) of the Act is $2.00.\n\n (2) The percentage for the purposes of step 2 of the method statement in subsection 11(2) of the Act is 0.04%.\n\n (3) For the purposes of step 4 of the method statement in subsection 11(2) of the Act, the following risk factors are specified:\n\n (a) financial strength risk factor;\n\n (b) completion rate risk factor;\n\n (c) non-compliance history and registration renewal risk factor.\n\n7 Risk factor – financial strength\n\n Risk factor value\n\n (1) For the purposes of step 4 of the method statement in subsection 11(2) of the Act, the risk factor value for the financial strength risk factor for a leviable provider is:\n\n (a) if the provider did not submit its financial statement (except in the circumstances outlined in paragraph (b))—2.5;\n\n (b) if the provider was not required to submit a financial statement—0.0;\n\n (c) if the provider submitted its financial statement—to be worked out in accordance with the following table:\n\n \n\n- Financial Strength\n- Column 1 Column 2 Column 3\n- Item If the financial strength score of the provider, as determined under subsections (2) and (3) is… then, the risk factor value is…\n- 1 9 0.0\n- 2 6 or 7.5 1.0\n- 3 3 or 4.5 2.0\n\n\n Determining the financial strength score\n\n (2) A leviable provider’s financial strength score is the sum of the following scores:\n\n (a) return on assets score;\n\n (b) debt to equity score.\n\n (3) For the purposes of subsection (2), the scores are worked out in accordance with the table below:\n\n| Ratio | Formula | Low | Medium | High |\n| --- | --- | --- | --- | --- |\n| Return on assets |
| less than or equal to 0.0 | greater than 0.0 but less than or equal to 0.1 | greater than 0.1 |\n| Debt to equity |
| greater than or equal to 2.5;
or
if the total equity is less than or equal to 0.0 | less than 2.5 but greater than or equal to 1.5 | less than 1.5 but greater than or equal to 0.0 |\n| Score | | 1.5 | 3.0 | 4.5 |\n\n\n where:\n\n NPBT means the net profit before tax as stated or derived from the financial statement. \n\n Total assets means the total assets as stated or derived from the financial statement.\n\n Total equity means the total equity as stated or derived from the financial statement.\n\n Total liabilities means the total liabilities as stated or derived from the financial statement.\n\n8 Risk factor – completion rate\n\n Risk factor value\n\n (1) For the purposes of step 4 of the method statement in subsection 11(2) of the Act, the risk factor value for the completion rate risk factor for a leviable provider is:\n\n (a) if the provider did not report any units of study for the calendar year beginning on 1 January 2024 (previous calendar year) in its PIR information—0.0;\n\n (b) otherwise—the risk factor value is set out in the following table:\n\n \n\n- Completion Rate\n- Column 1 Column 2 Column 3\n- Item If a leviable provider’s completion rate percentage, as determined under subsection (2) is… then, the risk factor value is…\n- 1 85% or more 0.0\n- 2 60% or more but less than 85% 1.0\n- 3 35% or more but less than 60% 2.5\n- 4 0% or more but less than 35% 3.5\n\n\n Determining the completion rate percentage\n\n (2) A leviable provider’s completion rate percentage is worked out using the formula:\n\n\n\n where:\n\n Data missing EFTSL means the total EFTSL value for units of study with a census date in the previous calendar year for which no unit of study completion status has been reported by the provider in the provider’s PIR information.\n\n EFTSL has the same meaning as in the Higher Education Support Act 2003.\n\n EFTSL value has the same meaning as in the Higher Education Support Act 2003.\n\n Failed EFTSL means the total EFTSL value for units of study with a census date in the previous calendar year reported by the provider as having a unit of study completion status of ‘failed’ in the provider’s PIR information.\n\n Ongoing EFTSL means the total EFTSL value for units of study with a census date in the previous calendar year reported by the provider as having a unit of study completion status of ‘unit of study to be commenced later in the year or still in process of completing or completion status not yet determined’ in the provider’s PIR information.\n\n Passed EFTSL means the total EFTSL value for units of study with a census date in the previous calendar year reported by the provider as having a unit of study completion status of ‘successfully completed all the requirements’ in the provider’s PIR information.\n\nNote: For the definition of PIR information, see section 4.\n\n9 Risk factor – non-compliance history and registration renewal\n\n Risk factor value\n\n (1) For the purposes of step 4 of the method statement in subsection 11(2) of the Act, subject to subsection (2), the risk factor value for the non-compliance history and registration renewal risk factor for a leviable provider is set out in the following table:\n\n \n\n- Non-compliance history and registration renewal\n- Column 1 Column 2 Column 3\n- Item If a leviable provider… then, the risk factor value is…\n- 1 has a weighted late payment measure of 30 days or more, as worked out under subsection (3) 2.0\n- 2 has a weighted late payment measure of 15 days or more but less than 30 days, as worked out under subsection (3) 0.9\n- 3 has a weighted late payment measure of 1 day or more but less than 15 days, as worked out under subsection (3) 0.7\n- 4 has a weighted late payment measure of less than 1 day, as worked out in accordance with subsection (3) 0.0\n- 5 applied under section 35 of the Tertiary Education Quality and Standards Agency Act 2011 to renew the provider’s registration and, due to risk management reasons, the most recent period of registration granted under section 37 of that Act is less than the maximum period specified in subsection 36(4) of that Act. 1.0\n- 6 applied under section 35 of the Tertiary Education Quality and Standards Agency Act 2011 to renew the provider’s registration and the period for which the registration was renewed as set out in the notice given in 2024 under section 37 of that Act is the maximum period specified in subsection 36(4) of that Act 0.0\n\n\n (2) Where more than one item in the table at subsection (1) applies, the risk factor value for the non-compliance history and registration renewal risk factor for a leviable provider is the sum of the applicable risk factor values in column 3 of the table in subsection (1).\n\nWorking out the weighted late payment measure\n\n (3) A leviable provider’s weighted late payment measure is worked out by adding the results of the calculations in the following paragraphs: \n\n (a) for 2024, work out \n\n (b) for 2023, work out \n\n (c) for 2022, work out\n\n where:\n\n Up-front Payments TPL, for a year, means:\n\n (a) the number of days after the due date on which the up-front payments tuition protection levy for that year was received; or\n\n (b) if payment of the up-front payments tuition protection levy was received on or before the due date—zero; or\n\n (c) if the up-front payments tuition protection levy was not payable—zero.\n\n \n\nPart 3—Special tuition protection component\n\n10 Special tuition protection component\n\n The percentage for the purposes of paragraph 12(b) of the Act is 0.10%.\n\n\n\n\nSchedule 1—Repeals\n\n Higher Education (Up-front Payments Tuition Protection Levy) (Risk Rated Premium and Special Tuition Protection Components) Determination 2024\n\n1 The whole of the instrument\n\nRepeal the instrument.\n\n \n","sortOrder":0}],"analysis":{"flash_summary_failed":{"failed":true,"reason":"Unauthenticated. Configure AI_GATEWAY_API_KEY or use a provider module. Learn more: https://ai-sdk.dev/unauthenticated-ai-gateway","source":"analysis-cron"},"kimi_summary":{"content_quality":"ok","complexity_score":6,"scope_assessment":{"changed":false,"description":"This is an annual update determination that replaces the 2024 version with identical structural scope. It maintains the same two-component framework (risk-rated premium + special component) and the same three risk factors. The instrument remains tightly focused on setting the specific numerical values and calculation methodologies for the tuition protection levy, which is its intended purpose under the parent Act."},"complexity_factors":["Multiple calculation steps with interdependent variables (base amount × percentage × risk multiplier + special component)","Three distinct risk factors with nested lookup tables and conditional logic","Financial strength calculation requires interpreting accounting ratios (return on assets, debt to equity) with three-tier scoring matrices","Completion rate formula involves five defined variables (Passed/Failed/Ongoing/Data missing EFTSL) and complex fraction calculation","Weighted late payment measure uses time-decay weighting (70% current year, 20% previous year, 10% two years prior)","Cross-references to three separate Acts: Higher Education (Up-front Payments Tuition Protection Levy) Act 2020, Tertiary Education Quality and Standards Agency Act 2011, and Higher Education Support Act 2003","Conditional exceptions within risk factors (e.g., 'if provider was not required to submit financial statement' = 0.0, vs 'did not submit' = 2.5)","Cumulative risk scoring where multiple items can apply and sum together (subsection 9(2))","Technical terminology requiring external definitions (EFTSL, PIR information, census date variations between provider types)"],"plain_english_summary":"This law sets how much Australian higher‑education providers must pay into a Tuition Protection Fund that safeguards students who pay tuition up‑front. Payments combine a risk‑rated premium (based on financial health, completion rates and compliance history) and a small flat special component, so providers assessed as higher risk pay more.\n\nIt applies to any registered provider taking up‑front fees and aims to protect students and incentivise sound provider performance."},"flash_summary":{"complexity_score":7,"scope_assessment":{"changed":false,"description":"This instrument updates rates, scoring rules and tables used to calculate components of the up‑front payments tuition protection levy and repeals the 2024 determination (Schedule 1). It does not alter who is a leviable provider or the statutory basis for the levy under the Act; it operates within the existing statutory scope (s3; Schedule 1)."},"complexity_factors":["Multiple numeric inputs and thresholds to combine (step 1 fixed amount; step 2 percentage; special component percentage) (s6, s10).","Multi‑stage scoring for financial strength combining two ratios (return on assets, debt to equity) with categorical scores (s7(2)–(3)).","Completion rate formula depends on specific PIR categories (Passed/Failed/Ongoing/Data missing EFTSL) and yields banded risk values (s8(2)–(1)).","Non‑compliance element uses a weighted late payment measure spanning three years with year‑specific weights (0.7/0.2/0.1) and past payment days (s9(3)).","Aggregation rules where multiple non‑compliance items apply (s9(2)) and special handling if financial statements are not submitted or not required (s7(1)).","Dependence on externally supplied data: 2024 financial statement, PIR information, TEQSA registration notices and historical levy payment dates (definitions in s4; various Parts).","Discrete cutoffs and banding create sensitivity to small data differences (e.g. ratio boundaries, completion‑rate bands), increasing administrative and compliance precision requirements (s7–s9)."],"plain_english_summary":"This instrument sets the numeric inputs and scoring rules used to calculate the up‑front payments tuition protection levy under the Act. It fixes the step‑1 amount ($2.00), the step‑2 percentage (0.04%), three risk factors (financial strength, completion rate, non‑compliance/registration) and a special component percentage (0.10%). (See ss 6–10.)\n\nLeviable providers pay the levy; amounts depend on providers’ 2024 financial statements, PIR reporting and TEQSA registration outcomes, and on their timeliness of past levy payments. Administration is by the Higher Education Tuition Protection Director under s13 of the Act."}},"importantCases":[],"_links":{"self":"/api/acts/f2025l00872","history":"/api/acts/f2025l00872/history","analysis":"/api/acts/f2025l00872/analysis","conflicts":"/api/acts/f2025l00872/conflicts","importantCases":"/api/acts/f2025l00872/important-cases","documents":"/api/acts/f2025l00872/documents"}}