Background School counselling interventions have a substantial impact on students’ educational and personal development. Individual and small group counselling, classroom guidance and consultation activities seem to contribute directly to students’ success in the classroom and beyond. Aim This paper attempted to study impact of counselling services in universities in Melaka state, Malaysia. Method The research was carried out in four universities in Melaka, with a total sample of 564 students. Findings The results showed that all research variables tested (awareness, resources, counsellor, management policy and effectiveness of counselling) were rated more highly in public universities than in private universities, with each variable achieving a p‐value of < .05. Implications All research variables tested (awareness, resources, counsellor, management policy and effectiveness of counselling) were rated more highly in public universities than in private universities. It is possible that this is because public universities follow Act 580 of the Counselling Act, which makes it compulsory for public universities to have counsellors, while this is not the case for private universities. Employing a counsellor is an additional cost and it may be that there is more reluctance to invest in the welfare of students in the private sector.