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Contradictions in tertiary education budget a sign of ignorance

Labour Party

Wednesday 30 May 2012, 12:26PM

By Labour Party

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John Key’s display of ignorance in Parliament today on the difference between rates of student allowances and student loan living costs is another example of National’s shambolic and contradictory education budget, Labour’s Tertiary Education spokesperson Grant Robertson says.

“The Prime Minister said in Parliament that allowance and loan living cost rates were ‘very similar’, and therefore there was no problem with cutting allowances for postgraduate study.

“The reality is that there are big differences for many students. A single mother getting an allowance can get up to $353 per week in living costs. The maximum she can draw down for living costs under the loan scheme is $172.50 per week,” Grant Robertson said.

“There are also contradictions in the policy. Just last week Education Minister Hekia Parata announced that in the future it will be a minimum requirement for all teachers to do a postgraduate course. Whatever the merits of that proposal, abolishing allowances for all postgraduate study will cause some people to decide not to become teachers.”

“This is totally incoherent and unfair policy from the government.  We want teaching, and other postgraduate study to be open to all New Zealanders not just those who can afford it.’

“I have been inundated with messages from students who are distressed by the abolition of postgraduate study allowances. Some are in the middle of courses and will not be able to finish their programmes.

“Others have deliberately not applied for all of their 200 week allocation of allowances so that they could be used in postgraduate study, only to find that the government has taken that away from them.”

“This government appears not to understand that allowances are only available to those from low and middle income backgrounds, who need this support to get through their studies. Nor does it realise that the living cost component of student loans, which will be the only option for some if they want to keep studying,  is much less than that for allowances, and will not be enough for some people to survive on.

“We need more New Zealanders doing postgraduate qualifications if we are to grow a smart, sustainable economy.  Labour believes that tertiary education is an investment in our future, National sees it simply as another cost that can be cut,” Grant Robertson said.