The Government's new $35 million tertiary fund is a poorly disguised bribe aimed at getting weak Minister Steve Maharey out of his latest fix, ACT Tertiary Education Spokesman Dr Muriel Newman said.

"A Government which couldn't afford $14 million to give 48,000 of the working poor access to the Community Services Card has been panicked into fronting up with this cash in the face of strong opposition from the universities.

"Maharey tried blackmail with the 'no fee increases' stance but showed yet again just how totally ineffective he is under attack and has ducked for cover.

"The big losers in all this are the private education providers and 30,000 private students who get nothing from today's announcement and have been hit by a moratorium on new funding ' Maharey's previous sop to the public institutions.

"Today's announcement is a further indication of the Government's new arbitrary direction on tertiary education. ACT will continue to fight this and seek restoration of a balanced system which encourages diversity and choice," Dr Newman said.

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