Victoria University of Wellington Students’ Association

Joyce out of touch with students needs

Tertiary Education Minister Steven Joyce’s pre-Budget announcement concerning changes to student loans and allowances demonstrates how out of touch the Minister is with the current challenges faced by New Zealand’s students.

Victoria University of Wellington Students’ Association (VUWSA) President Bridie Hood said the changes announced will considerably disadvantage students, and see many of them to continue struggle to make ends meet.

“Even with the support that is currently available to them, sixty per cent of students have to work while they study, and as figures released last month show that fifteen per cent of students are living in absolute poverty, unable to afford basic necessities such as food, clothing, and accommodation.

“The existing support structures, although not universal, are important in ensuring students have the opportunity to succeed in tertiary study. By limiting this support, the Government is also limiting students’ ability to achieve,” said Ms Hood.

Ms Hood said that it was important to recognise these changes not only signal serious concerns for current students, but also for graduates.

“New Zealand has one of the harshest loan repayment systems in the OECD, with compulsory payments starting as soon as someone earns over $19,084 a year. By increasing the compulsory repayment rate by twenty per cent, the Government puts further financial pressure on graduates who are trying to get started in their careers, purchase a home, start a business, or raise a family. A balance needs to be sought between repayments and ensuring graduates have enough money to live on.”

“Students understand the current need for tight economic management, but to ensure that New Zealand has a prosperous, high skilled economy in the future, we need to support students in all levels of tertiary study. Why should students disproportionally bear the brunt of the current economic climate when they are essential to helping us emerge from it stronger?” said Ms Hood.
ENDS

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