THE HON JASON CLARE MP
MINISTER FOR EDUCATION
SHARON CLAYDON MP
MEMBER FOR NEWCASTLE
THE HON PAT CONROY MP
MEMBER FOR SHORTLAND
DAN REPACHOLI MP
MEMBER FOR HUNTER
MERYL SWANSON MP
MEMBER FOR PATERSON
JOINT MEDIA RELEASE
HELPING HAND FOR HECS IN THE HUNTER
More than 70,000 people in the Hunter region will benefit from the Albanese Labor Government's decision to cut student debt.
The Government is wiping around 300 energy rebate to every household.
Our Budget is designed to help people who are under pressure right now, while setting Australians up for the future.
Our changes to HECS will deliver relief for students living in the Hunter region while continuing to protect the integrity and value of the HELP system, which have massively expanded tertiary access for more Australians.
In response to the Australian Universities Accord, the Government will cap the HELP indexation rate to be the lower of either the Consumer Price Index (CPI) or the Wage Price Index (WPI) with effect from 1 June 2023.
The Government will backdate this relief to all HELP, VET Student Loan, Australian Apprenticeship Support Loan and other student support loan accounts that existed on 1 June last year.
This will benefit every person in the Hunter region with a HELP debt, fixing the issue of last year's spike in the CPI indexation rate and preventing growth in debt from outpacing wages in the future.
An individual with an average HELP debt of 1,200 wiped from their outstanding HELP loans this year, pending the passage of legislation.
Estimated indexation credit for HELP debtors
|
HELP DEBT at 30 June 2023 |
TOTAL ESTIMATED CREDIT FOR 2023 AND 2024* |
|
670 |
|
|
1,120 |
|
|
1,345 |
|
|
1,570 |
|
|
1,795 |
|
|
2,020 |
|
|
2,245 |
|
|
2,690 |
|
|
4,485 |
|
|
5,835 |
*Actual credit amount will vary depending on individual circumstances including repayments made during the year. All HELP debts that were indexed in 2023 and are subject to indexation on 1 June 2024 will receive an indexation credit.
Australians with a HELP debt can find out how much this is estimated to benefit them using the HELP Indexation Credit Estimator: www.education.gov.au/HELPestimator
This is part of the first stage of reforms the Albanese Government will implement in response to the Universities Accord.
Quotes attributable to Minister for Education Jason Clare:
"This will wipe out around 319.50 per week to those in teaching, nursing, and social work. This support will benefit so many students, and help ease the financial burden during their mandatory practical placements."
Quotes attributable to Member for Hunter, Dan Repacholi:
"I want to see every person in the Hunter who wants to go to university, be able to go to university without being held back by the thought of a lifetime drowning in debt.
"Uni students have enough on their plate without having to worry about debt caused by their degree.
"Their focus should be on getting their degree and starting the career of their dreams, not balancing whether or not it's all worth it because of the growing debt. Their time at uni should be about education and setting themselves up for the future, not about putting stress on their finances for years to come.
"Wiping $3 billion in student debt means that students in the Hunter will actually reap the benefits of their degrees, rather than being left with a pile of debt."
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