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Student Loans debate

John Hartevelt

High School politicians are not convinced free tertiary education is affordable or even desirable.

Eleven Youth MPs convened in a select committee as part of the Youth Parliament in Wellington this week and asked the tough questions to representatives from government agencies and interest groups. The select committee has been directed to consider: “Has the student loan system created an unfair burden for a new generation of New Zealanders?”

The MPs’ line of questioning suggested they had little faith in the prospect of universally free tertiary education.

One of the MPs, Christchurch student Emma Gin, challenged New Zealand Union of Students’ Associations co-president Joey Randall on the affordability of a free tertiary education system.

“Are you saying the government can afford to pay for free education?” she asked.

“We believe they can’t afford not to,” said Randall.

Randall told the committee the government exaggerated the contribution it made to tertiary education funding. “The Government says it contributes around 40 percent into tertiary education funding, but 30% of that is paid back in student loan repayments.”

Randall said free education was “still central to the vision of the student movement despite the politicians and bureaucrats who tell us it is not possible or even desirable.”

However, Gin said she “thoroughly supported the student loan scheme”.

“Students going into tertiary education are merely teenagers and do not know the consequences of borrowing large sums of money that, although interest free, will have an effect on their future.

“I believe we need to be educated from a young age to save for tertiary education as I think that eradicating the student loan scheme would be an unrealistic solution.”

Green Party MP Metiria Turei advocated free tertiary education through a step-by-step programme. “Yes, it is quite expensive but the decision has to be that tertiary education is a public good.”

Napier Youth MP Olivia West asked Turei if making allowances and tuition fees free would be a waste. “What about all the students whose parents can afford to support them?” she said.

Turei said once students turned 18, they should be treated as independent adults and not face scrutiny from the Government over what they spent their money on. “Whether or not they fritter it away on a pair of shoes is irrelevant.”

West, who is sponsored by deputy-Prime Minister and Minister of Tertiary Education Michael Cullen, appeared to support the status quo.

“They were all talking about tertiary education being free like it was no big deal,” she said after the select committee.

The committee meets again tomorrow and issues its report on Wednesday - the final day of Youth Parliament.