How Free Tertiary Education Robs Today’s Poor
NEW BRIEFING PAPER
Robin Hood Reversed: How
Free Tertiary Education Robs Today’s Poor For Tomorrow’s
Rich
29 AUGUST
2017
FOR IMMEDIATE RELEASE
The
implementation of a zero fees policy for tertiary education
would reach into the pockets of the
disadvantaged, to line the wallets of the future’s
wealthy, according to a briefing paper just published by the
Taxpayers' Union.
'Robin Hood Reversed: How Free Tertiary Education Robs Today’s Poor for Tomorrow’s Rich' assesses the impacts of free tertiary education policies, like that announced today by the Labour Party.
Jordan Williams, Executive Director of the Taxpayers' Union said, "We found that similar policies overseas have led to job shortages in crucial areas, and poorer quality courses."
"Contrary to claims that zero tertiary education fees help the poor, in Scottland, which introduced zero fees in the early 2000's, students from low socio-economic groups were the first to be shut out. This contradicts the political ideology of those who advocate for it, because the policy hampers social mobility, and actually increases barriers to reducing inequality."
"The costs of such a policy are borne by low and middle-income earners, to help tomorrow's rich get a free ride."
The briefing paper, Robin Hood Reversed: How Free Tertiary Education Robs Today’s Poor for Tomorrow’s Rich, is available for download at: www.taxpayers.org.nz/robin_hood_reversed.
Hard copies are also available on request.
Key
findings:
• Taxpayers already cover 84
percent of the cost of obtaining a tertiary
degree.
• The average household currently pays $2,456
in tax per year to fund tertiary education.
• Fully
implemented, Labour's proposal would increase that cost by
$852.57 per year.
• Low and middle-income earners will
pay more to subsidise tomorrow's rich.
• Likely effects
of the policy, based on the experience in Scottland with its
zero fees policy, include:
o more job shortages in
crucial skills-based areas;
o lower quality tertiary
education;
o less access to education for students from
disadvantaged or low socioeconomic backgrounds;
and
o less social mobility and entrenched income
inequality.
ENDS