School chaplain program funding 'can continue'

The national body for school chaplains says it believes the program will survive despite the court ruling, saying the payments could continue as state and territory grants.

"While the High Court has ruled against the current [funding] model, the court has acknowledged federal funding can continue for chaplaincy through state/territory grants," the National School Chaplaincy Association said in a statement after the ruling.

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Prime Minister Tony Abbott says the Government will examine ways to ensure the program continues.

"We particularly want the chaplaincy program to continue. It's one we invented. It's one we supported. It's one we took to the election.

"The Attorney-General is having a look at it as we speak, and there will be a response as soon as we can appropriately respond," he said.

"Obviously we want our existing programs to continue. We particularly want the chaplaincy program to continue.

"It's one we invented. It's one we supported. It's one we took to the election."