Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Students will borrow a billion, make more


Students will borrow a billion, make more


National Party Education spokesman Bill English says Labour’s interest free student loans will see students borrow billions they don’t need and put it into interest-earning bank accounts.

“This policy will see student debt skyrocket. Students can borrow up to about $10,000 per year, on average they currently only borrow about $6,300 of that. But now that they won’t be charged interest, they’d be mad not to borrow the extra $3,700 to either spend or put into an interest-earning account.

“Labour will allow more students to borrow more and most of them will.

“Currently just 55% of students eligible for a loan take one out. But now the more than 100,000 students who are eligible for a loan but haven't yet taken one out have a strong incentive to take out a full student loan and put it in the bank to earn a nice little nest egg on the taxpayer.

“Even if only half of those students take up the opportunity, the total student debt burden will grow by several billion in the next four or five years.

“I want to see students get ahead but not at the expense of others. Why should a taxi driver or a carpenter pay all of the interest on a loan taken out by someone who will potentially have much greater earning power than they do?

“Labour’s arguments about tougher rules for borrowers don’t wash. There is nothing to stop anyone switching from parental support or paying their own way, to charging it all back to the taxpayer.

“Labour has not thought this policy through. Their desperation in the face of bad polls has seen them grossly underestimate the cost of this interest free policy,” says Mr English.


Ends


© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On Why New Zealand Needs To Change Its Defence Habits


In a flashback to the military displays of days gone by, one of our frigates recently joined a Carrier Strike show of force in the South China Sea, en route to a joint military exercise in Singapore with our traditional allies, called BersamaGold21. Reportedly, Anna Powles, from the Centre of Defence and Security Studies at Massey University felt this to be a case of us doing our bit to uphold international law, and the right of free transit through the region in question... More>>

Government: New COVID-19 Protection Framework Delivers Greater Freedoms For Vaccinated New Zealanders


Vaccinated New Zealanders will regain everyday freedoms when the country moves to a new simplified COVID-19 Protection Framework that doesn’t rely on nationwide lockdowns as the main measure to stop the virus spreading. In a suite of announcements that establish a pathway out of restrictions the Government is also providing up to $940 million per fortnight to support businesses through the challenging period... More>>

ALSO:





 
 


Government: Responds To Independent Review Into WorkSafe

The Government has clear expectations that WorkSafe must action the recommendations of the independent review into the regulator to improve its management of adventure activities following the tragedy at Whakaari White Island, Workplace Relations and Safety Minister Michael Wood says... More>>

Government: New Zealand Secures Historic Free Trade Deal With The United Kingdom
New Zealand and the United Kingdom have agreed in principle the details of a historic Free Trade Agreement (FTA), which will further accelerate our COVID-19 economic recovery say Prime Minister Jacinda Ardern and Minister for Trade and Export Growth Damien O’Connor... More>>

ALSO:

Ombudsman: Launches Investigation Into MIQ Booking System
The Chief Ombudsman Peter Boshier is launching a broad investigation into the Managed Isolation and Quarantine (MIQ) booking system after receiving hundreds of complaints... More>>

ALSO:


Pay Cheque To Pay Cheque: Half A Million New Zealanders Have No Savings
New findings from the Consumer NZ sentiment tracker found that 15% of New Zealanders had no savings, and a further 27% were anxious about their level of savings and would like to have more tucked away... More>>


Government: Mandatory Vaccination For Two Workforces

Large parts of two workforces critical to preventing the spread of COVID-19 will be required to be vaccinated, COVID-19 Response Minister Chris Hipkins said today. “Our education and health and disability workforces have done an incredible job throughout this pandemic to keep themselves and people safe,” Chris Hipkins said.... More>>


Green Party: Deeply Concerned Space Launches May Be Breaching Nuclear-free Laws

The Green Party is deeply concerned that space launches by Rocket Lab may be breaching nuclear-free laws, given our long-standing position as a signatory of the Nuclear Non-Proliferation Treaty... More>>


 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels