New Zealand Government Launches University Reforms

Wellington — On Tuesday 2 September, Minister for Universities, Hon Dr Shane Reti, announced a package of initiatives to modernise the sector and ensure taxpayer investment delivers real impact for New Zealanders.

The changes will develop the skilled workforce New Zealand needs and drive cutting-edge research that powers economic growth.

The reforms include 5 initiatives:

1. New Tertiary Education Strategy (TES): A new Tertiary Education Strategy will be developed in collaboration with the Minister for Vocational Education, Hon Penny Simmonds. This strategy will align university teaching and research more closely with New Zealand's future skills and innovation needs. The draft priorities for the new TES include:

• Lifting achievement to ensure that students and trainees achieve qualifications that lead to good careers
• Maximising economic impact and innovation, by delivering relevant, adaptable skills and research that drives innovation
• Increasing access and participation for people from all backgrounds and regions
• Deepening integration and collaboration between tertiary providers, communities and industries
• Boosting the international education sector and increasing New Zealand’s international connectivity.

2. Tertiary Research Excellence Fund (TREF) to Replace PBRF: The most significant funding change is the replacement of the existing Performance-Based Research Fund (PBRF) with a "streamlined, cost-effective" Tertiary Research Excellence Fund (TREF). This will replace the PBRF’s Quality Evaluation component with a metric-based assessment of tertiary providers’ research performance. 

Final decisions on the design of the Tertiary Research Excellence Fund will be taken in the first half of 2026, following further engagement with the sector and experts.

3. New University Strategy Group: The government will establish a University Strategy Group to enhance collaboration between universities, government, industry, and global experts. This group is intended to strengthen coordination across the sector and help implement the new Tertiary Education Strategy.

The reforms will also improve the regulatory framework for quality assurance, particularly in programme approvals, and make it easier for students to move between institutions. Alongside these changes, a new governance code will be introduced to set clear standards for university leadership, supported by monitoring and intervention tools to strengthen accountability and oversight.

Source: Ministry of Education NZ