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We examine the association between Australia’s implementation of school choice policies through secondary school differentiation and deregulated fees, and the segregation of First Nations and low socioeconomic status (SES) students. We view segregation through a Weberian perspective as the exclusion of disadvantaged groups from limited social resources. The dissimilarity score of First Nations and low SES students was calculated for each census tract. Differential school types and fee variation were regressed onto dissimilarity scores across Australia. It was found that the number of independent, Catholic and selective public schools in each geographical area predicted segregation. These relationships were partially accounted for by fees. This study shows Australia’s school choice policies are associated with segregating Indigenous and low SES students.