Newly-released figures reveal that, for the first time, more than half of Victorian parents are now avoiding their neighbourhood school.

As well as bypassing their local state school in favour of independent and Catholic schools, students are also looking further afield to state schools with strong academic results and better resources.

The figures come from an Auditor-General's report into school infrastructure, which also revealed that 52.3 per cent of state primary school enrolments and 53.3 per cent of state secondary school enrolments come from outside the local school catchment.

But experts such as the University of Melbourne's Professor John Hattie have warned that school choice is fuelling inequity and unhealthy competition between schools.

Professor Hattie said a campaign was needed to inform parents that teachers made the real difference to a child's education, not schools.

"Parents take flight with the image of the school, there is a major problem with perception," he said.

"If they went to the local school we could unclog roads."

He said there was a massive incentive for schools to pinch enrolments from neighbouring schools, because it led to extra funding.

This meant that schools were reluctant to work with neighbouring schools, because they were competing for the same students.

An Education Department spokesman said the government was investing heavily in education to ensure every student had access to a "great" local school.

"All students are entitled to attend their local Government school and choose to attend another where there is capacity," the spokesman said.

"The Department works actively with principals to manage local enrolment pressures to ensure students can attend their local neighbourhood school."

Matt Coulter bypassed his local school to attend Frankston High School, and is happy with his decision.

The 17-year-old musician, who plays the piano and trumpet, moved to the high-performing state school in Year 10 because his local school did not offer VCE music.

"VCE music wasn't even a subject at my old school and I was pushing to get it running," he said.

"I wasn't going to finish school without doing VCE music otherwise I would be disadvantaged."

Many principals, including Fairhills High School's Harvey Wood, are calling on the Education Department to halt the growth of large schools.

"This will mean the schools around them will eventually fill," he said.

Mr Wood said that in the Knox area, where his school is located, many students chose to look elsewhere because there was a perception that government schools in neighbouring areas were better.

"There is accumulating evidence that this tends to polarise schools," he said.

"Everyone believes in parent choice, but you need some parameters around it."

He said the situation had also led to an inefficient use of school resources.

Some schools with empty classrooms are screaming out for enrolments, while others are struggling to accommodate a surge in students.

"I think every parent ought to have a good look at the local school and not automatically bypass it, which is what is creating this imbalance in resources," he said.

Australian Education Union Victorian branch president Meredith Peace said schools must provide clear and transparent policies about their processes for accepting students from outside their catchment area.

"Public schooling is founded on the idea that local schools serve their local communities," she said.