In a big win for the Coalition, its new school funding package, 'Gonski 2.0', has been approved after a dramatic late night at Parliament.
In the end, crossbench support gave the Coalition the numbers they needed, with votes from the One Nation Party, the Nick Xenophon Team, and crossbenchers Derryn Hinch, Jacqui Lambie, and Lucy Gichuhi.
A triumphant Education Minister Simon Birmingham says it's a "big win" for Australian schools.
"It will provide on average around $2,300 additional support per student across the country, but of course that is targeted to the schools who got the worst deals historically under Labor arrangements, and to the schools who need it most."
Labor, the unions, the Catholic sector and the Australian Education Union vociferously opposed the bill, and spent much of last night trying to sway Senator Jacqui Lambie's vote.
Ms Lambie made it clear her vote wasn't going to move, with the house passing the bill 71 votes to 64.
Labor's education spokeswoman and deputy leader Tanya Plibersek was furious, promising to turn education funding into an election issue.
"It reminds every Australian that they can never trust the Liberals on education. Those opposite, you remember the signs don't you? 'You can vote Labor, you can vote Liberal, not a dollar difference for your school.' You remember those signs don't you? You remember the bunting, don't you, at that election? Well I tell you what, there will be signs and there will be bunting at the next election. And you will rue this day."
Some affluent private schools will be better off under the new funding system.
That fact was a major objection from Labor and the package's other opponents.
But Mr Birmingham says the government has made some "difficult decisions" over private school funding, accusing Labor of turning the debate into "class warfare".
"I could rattle off a list of so-called elite private schools that Labor's model would provide even faster growth to than the Turnbull government's proposals. We've taken the difficult decision to take some overfunded schools backwards to slow the rate of indexation for those who had been receiving more than their fair share of the formula. And to go and pluck one or two schools out to try and make these types of class warfare type arguments does the Labor party no credit."
The bill's passage was particularly difficult for the government, given it doesn't have a majority in the Senate.
Prime Minister Malcolm Turnbull thanked the cross-benchers for helping pass the package, describing the day as 'historic'.
"The next step is to ensure that we get the maximum educational bang for the taxpayer's buck, that we get the great outcomes for our kids so that they get to the top of the class, so that we get the outcomes that we deserve, that they deserve and that they need. It's a historic moment, for the first time people will be able to say that every school in Australia will receive Commonwealth funding based on its need."
The changes put in place a nationally consistent funding model, and replace 27 separate school funding deals with different states and sectors.
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