Figures obtained by the Newcastle Herald through Freedom of Information show Hunter TAFE had 64,403 enrolments in 2012. Only 24,205 had enrolled as of April this year.

An estimated 120 permanent and support staff have lost their jobs over the same period.

The collapse has coincided with the introduction of the State Government’s Smart and Skilled program, which offers government subsidies to all registered training providers, including TAFE, for qualifications listed on its skills list.

But this has also resulted in a reduction in course variety and significant fee increases for courses not on the skills list.

NSW Teachers Federation Hunter organiser Rob Long said he believed an increase in the price of qualifications, including up to $16,000 for a one year diploma of fine arts, and a cut to the number of courses offered, were behind the drop-off in enrolments.

“It’s much bigger than I thought it would be,” he said.

Newcastle MP Tim Crakanthorp said the contraction of Hunter TAFE could have potentially disastrous consequences for the region’s economy.

“I don’t think a lot of people appreciate the importance of TAFE to the Hunter in terms of training people in trades that are vital to our region,” he said.

“We already lose so many great people in their 20s and this will make it worse.”

A TAFE spokesman said the enrolment figure for 2015 (38,780) that was provided to the Herald was yet to be finalised and the 2016 figure (24,204) only represented the number of students enrolled at Hunter TAFE as of April. That figure was expected to increase during the year.

“Early analysis of the 2015 preliminary data indicates that a large part of the reduced enrolments was in non-Australian Qualification Framework qualifications as students moved towards enrolling in higher level qualifications,” he said.

“TAFE Hunter is thriving in 2016, with a year-to-date data showing that new enrolments are up by 33 per cent compared to the same time last year.”

NSW Skills Minister John Barilaro said there had been a long term decline in short course enrolments across the state, primarily in statement of attainment courses.

“Enrolments in such courses have decreased by over 110,00 per cent in the past 10 years, with nearly half of that in the past three years alone.”

“Students are now taking up courses in aged care, construction and early childhood education with nearly 85 per cent of students today saying they are training so they can get a job.”

Mr Long refuted the government’s assertion that many students were now studying at other registered training providers.

“Anecdotally we’re hearing that private providers have not got huge numbers,” he said.

Wallsend MP Sonia Hornery agreed.

“Other private providers are definitely not filling the gap,” she said.

“We have had at least three private providers reprimanded for unbecoming and inappropriate behaviour like offering laptops for courses that don’t exist.”

“These providers are not providing the range of courses that TAFE providers do, such as manufacturing at Glendale.”