Justin Clancy
Shadow Minister for Skills, TAFE and Tertiary Education
The Minns Labor Government's Budget has failed the skills test, slashing TAFE capital investment at a time when apprenticeship and traineeship numbers continue to fall.
Shadow Minister for Skills, TAFE and Tertiary Education Justin Clancy said the Budget demonstrates a government focused on announcements rather than delivery.
"After three years in office, the Minns Labor Government are presiding over a collapse in apprenticeship and traineeship commencements, fewer apprentices and trainees in training, and declining completion numbers," Mr Clancy said.
"The real measure of success is whether investment leads to more people gaining skills and qualifications. On that measure, this Government is failing."
New NCVER data shows apprenticeship and traineeship commencements in New South Wales have fallen from 65,265 in 2022 to just 39,630 in 2025, a decline of almost 40 per cent.
Over the same period, the number of apprentices and trainees in training has fallen from 111,645 to 84,340, a decline of almost 25 per cent.
Completions have also fallen by more than 11 per cent.
"These numbers represent thousands of lost opportunities for young people, fewer skilled workers entering our workforce, and growing pressure on industries already struggling with labour shortages," Mr Clancy said.
The Budget also reveals a reduction in TAFE operating expenditure from $2.482 billion in the revised 2025-26 estimates to $2.459 billion in 2026-27.
At the same time, TAFE capital expenditure has been cut from $346 million in 2025-26 to $233 million in 2026-27, a reduction of almost one-third in a single year.
Compared with the final Coalition Budget in 2022-23, TAFE capital expenditure remains more than $85 million lower.
"This Government talks a big game about skills, but today's Budget contains less investment in TAFE infrastructure than the last Coalition Budget handed down four years ago," Mr Clancy said.
"At a time when New South Wales needs more training capacity, more apprentices and stronger pathways into work, Labor is cutting capital investment and delivering poorer outcomes."
Mr Clancy said the Budget follows the Government's own Vocational Education and Training Review, which identified many of the challenges facing the sector.
"The Government's own review correctly diagnosed the problem. The issue is that implementation has been slow and outcomes continue to deteriorate."
"New South Wales doesn't have a shortage of reviews, strategies or announcements. It has a shortage of results."
Mr Clancy said a Liberal and Nationals Government would focus on increasing apprenticeship commencements, improving completion rates, strengthening school-to-work pathways, backing employers to take on apprentices and ensuring more people finish qualified.
"Success should not be measured by how many reports are written or how many press releases are issued. Success should be measured by how many people finish qualified and enter the workforce with the skills our economy needs."