The Greens have demanded Kevin Rudd reverse $2.3 billion in higher education cuts and increase university funding by 10 per cent.

The staged funding increase would cost nearly $1.5 billion over four years, according to the Parliamentary Budget Office.

Christine Milne. Credit:Alex Ellinghausen

Greens leader Christine Milne said universities, academics and students faced pressure from larger classes, reduced course choice and fewer contact hours for research.

"The funding crisis in universities should never have been allowed to occur," she said. "The Bradley review identified a real risk that if funding levels were not increased then universities, students and staff would suffer a decline in education standards."