In February, Federal Education Minister Simon Birmingham directed the standards panel to examine university admissions after a Fairfax Media investigation revealed that the practice of admitting students with below minimum marks was endemic. Professor Peter Shergold. Credit:Wayne Taylor Since 2012, universities have sought to enrol as many students as possible under the uncapped student system introduced by the Gillard government, driving down standards and pushing up record levels of student debt. It is understood the Department of Education now expects a quarter of $42 billion in taxpayer student loans never to be repaid. Professor Shergold said that universities could be held accountable for not reporting their admissions accurately by the Federal Department of Education or the Tertiary Education Quality Standards Agency and that stakeholders should come forward with ways to enforce standards. "Students and parents need to be able to make what are very significant decisions in their life on the basis of transparency, just like they can when they buy their first house," said the former secretary of Prime Minister and Cabinet.

In January, Fairfax Media revealed universities including Western Sydney University and Macquarie were admitting up to 60 per cent of students below the public entry cut-off, while prestigious courses such as law at the University of NSW were admitting up to 90 per cent of students below minimum entry standards. "I will defend the defensible but if I need to act, I will": Minister Simon Birmingham. Credit:Daniel Munoz Professor Shergold, who was also re-appointed as the Chancellor of Western Sydney University on Wednesday, said that higher education had become increasingly competitive for student numbers. "Like any market, for people to make well-informed decisions you need to have clear information available," he said. "The problem is that it does not necessarily exist at the moment."

According to Professor Shergold's proposal, the nationalised scheme would replace the individual entrance systems across the states and territories and expand beyond the university sector. "It is very important that this apply to all higher education providers and non-university institutions in the nation," he said. Federal Education Minister Simon Birmingham has repeatedly warned the university sector that he would crack down on admission standards in a bid to address academic standards and spiralling debt in his portfolio. "I will defend the defensible but if I need to act, I will," he told a Universities Australia conference in March.

"Students need to have every confidence that they know what the real requirements for admission are, not some artificial measure that bears no resemblance to reality." On Monday, Senator Birmingham suggested that a one-stop online portal for all the nation's universities with transparent ATARs could be a new beginning for university admissions. "The Higher Education Standards Panel will collate submissions from across the country and provide recommendations on how we can help students choose the most appropriate course and provider for their further education," he said. Submissions to the Higher Education Standards Panel are due by May 27.