And the difference in the number of residents with a bachelor degree or higher between Newcastle and Lake Macquarie and the remainder of the Hunter Region shows the city-country divide on a local scale, Universities Australia acting CEO Catriona Jackson says.

According to the latest Census data, the Hunter Region outside Newcastle has the lowest rate of residents with a bachelor degree or higher in NSW. At 14.7 per cent, it’s also the equal fifth lowest of the 86 areas recorded in nationally.

While Newcastle and Lake Macquarie fared much better, with 31.2 per cent, the result was almost four per cent below the national average.

Ms Jackson blamed the nation’s city-country economic divide and argued that a so-called $2.2 billion federal government cut to universities – a funding freeze – would result in fewer university places and make it harder for regional areas to bridge the gap. Though the federal government has publicly rejected criticism of the freeze.

“Around a third of young people in Newcastle have the benefit of a university education, but travel just 100km inland and you find that drops by half to around 14 per cent in the Hunter Valley,” Ms Jackson said. “That is typical of the opportunity divide that we see between regional Australia and the city centres.”

University of Newcastle deputy vice chancellor (academic) Professor Darrell Evans agreed that the Census figures reflected a divide between metropolitan and non-metropolitan areas.

He said it was “unclear” how the government’s funding cap would affect UoN’s students.

“However there is a significant risk that UoN and the students who enrol with us will be disproportionately affected by the change and existing inequities will become further entrenched,” he said.

Professor Evans argued that, even though Newcastle and Lake Macquarie had a lower proportion of residents with tertiary qualifications than bigger cities, the area’s results were stronger than many other regions in Australia.

“UoN has a long and strong history of working with communities in the Hunter to increase access to and participation in education,” he said.

“Newcastle is well on its journey to being a university town with more than 30 per cent of young adults holding a degree and that this augurs well for its future.”