The Federal Government has a new school funding blueprint which will route another $4.5 Billion in extra funding to the Catholic and independent schools sector.

The package announced by Prime Minister Scott Morrison is based on the new funding model that based on postcodes, to a new model that uses parental tax data to calculate a school's wealth.

"For students, this will mean the opportunity to get the best results from school. For parents, it will mean that choice remains affordable," said Prime Minister Scott Morrison.  "For teachers, it will mean certainty of funding so they can get on with the job."

The Socio-Economic Status (SES) system has come under criticism, especially from Catholic schools which had argued its students tended to be from families of lesser means, even in wealthy suburbs.  The National School Resourcing Board reviewed the issue and recommended a shift to a parental means test.

The Independent Schools Council of Australia welcomed the announcement, saying in a statement the new model created "the foundation for a fair and reasonable resolution of the current funding issues".