Education Policy | Post Primary | Preschool | Primary | Tertiary | Search


$12.7 Billion Dollar Student Debt Tragedy in 2015

19 October 2006

$12.7 Billion Dollar Student Debt Tragedy in 2015

The Student Loan Scheme Annual Report tabled in Parliament today highlights the ongoing impact of high and continually increasing tertiary education fees in New Zealand.

“The report shows an increase in per student borrowing over the last year which can be attributed to high and increasing student fees,” said Conor Roberts, Co-president of the New Zealand Union of Students’ Associations.

“Total amount borrowed has increased from $7.5 billion in the 2004/05 financial year up to $8.37 billion last year. At the same time fees increased on average by 4% across New Zealand’s public tertiary institutions.”

“In 2005 students collectively borrowed $971 million from the student loan scheme, this policy has simply indebted a generation.”

“Labour’s no interest on loans policy is a positive move which has now kicked in and is helping students pay off their loans faster, however it is not good enough if fees are going to simply keep rising.”

“92% of borrowers used the scheme to pay for fees which just keep going up and up. Auckland University recently increased undergraduate fees by 3.7% and 9.8% increase for postgraduate fees.”

“We have also seen Canterbury University hike fees by 5%, Lincoln University hike fees by 4.98% and Massey University going for a 10% increase. These increases simply cannot continue as they force students further into debt.”

“Institutions are passing the cost of Government underfunding onto students, the per-student contribution from Government has dropped from where it was 15 years ago.”

“In Australian Universities, their Government contributes 46% of an institution’s funding, while in New Zealand the Government contributes only 38%. In addition, fees in Australia contribute only 19% of an institutions income, while in New Zealand fees contribute 31% of an institutions income.”

“The annual report also shows the median student loan balance climbing from $10,404 in 2004/05 to $10,652 in 2005/06. Low public funding of tertiary institutions and high fees are only going to see this amount increase.”

“The Government is projecting that in 2014/15 students will owe an astonishing $12.7 billion, we need urgent action on fees and funding if we are going to avert this debt tragedy,” Mr Roberts concluded.


© Scoop Media

Culture Headlines | Health Headlines | Education Headlines


NZ On Air TV Funding: More Comedy Comes Out Of The Shadows

Paranormal Event Response Unit is a series conceived by Jemaine Clement and Taika Waititi as a TV spin-off from their highly acclaimed feature film What We Do In The Shadows. More>>


Mars News: Winners Announced For The 2016 Apra Silver Scroll Awards

Wellington singer-songwriter and internationally acclaimed musician Thomas Oliver has won the 2016 APRA Silver Scroll Award with his captivating love song ‘If I Move To Mars’. More>>


Scoop Review Of Books: Salt River Songs by Sam Hunt

Colin Hogg, a longtime comrade of Sam, writes in his Introduction that, ‘There is a lot of death in this collection of new poems by my friend Sam Hunt. It’s easier to count the poems here that don’t deal with the great destroyer than it is to point to the ones that do.’ More>>

Electronica: Restoring The World’s First Recorded Computer Music

University of Canterbury Distinguished Professor Jack Copeland and UC alumni and composer Jason Long have restored the earliest known recording of computer-generated music, created more than 65 years ago using programming techniques devised by Alan Turing. More>>


Scoop Review Of Books: Almost Getting Away With Murder

The Black Widow by Lee-Anne Cartier: Lee-Anne Cartier is the sister of the Christchurch man found to have been murdered by his wife, Helen Milner, after an initial assumption by police that his death, in 2009, was suicide. More>>

Howard Davis: Triple Echo - The Malevich/Reinhardt/Hotere Nexus

Howard Davis: The current juxtaposition of works by Ralph Hotere and Ad Reinhardt at Te Papa perfectly exemplifies Jean Michel Massing's preoccupation with the transmigration of imagery in a remarkable triple echo effect... More>>

Get More From Scoop



Search Scoop  
Powered by Vodafone
NZ independent news