Students say Government's coronavirus grant only puts them further in debt

April 15, 2020

Students' associations says they're the only group forced to borrow during the lockdown. (Source: Other)

The Government announced yesterday that financial assistance is on the way for tertiary students, but some say it's not enough.

The students' associations body says the extra $1000 of course-related costs only forces them to take on extra debt.

"The announcement yesterday fails to meet the hardship of tertiary students," says The New Zealand Union of Students' Associations president Isabella Lenihan-Ikin.

"Not only does the increase in course-related costs force students to take on additional debt, students are unable to put course-related costs towards rent and food."

Ms Lenihan-Ikin says the temporary rise from $1000 to $2000 forces students to borrow more during the Covid-19 crisis and the Government should step in to help them more.

She says the Government should be encouraging students to continue with their tertiary studies by helping to ease their financial hardship. 

"The Government needs to get real about the financial insecurity students face." 

The Government changes announced yesterday also included some students being given partial fee refunds due to discontinued courses and ensuring the Fees Free tertiary entitlement for students unable to complete their course this year is not impacted.  

Prime Minister Jacinda Ardern said she did "not want to see students unfairly disadvantaged from discontinued courses" during the pandemic. 

The cost of the package is $35 million in operating funding and $98 million in capital expenditure.

Finance Minister Grant Robertson said it counted "as capital within our accounts because we will get it back eventually".

SHARE ME

More Stories