By 1 June next year, the Government will cut 20 per cent off all student loans to reduce the debt burden for Australians with a student loan.
The initiative would cut around $16 billion in debt, including all HELP, VET Student Loan, Australian Apprenticeship Support Loan and other income-contingent student support loan accounts that exist on 1 June next year.
Member for Blair Shayne Neumann said the initiative was the start of the Government’s positive plan for a second term, helping with the cost of living and building Australia’s future.
“This is a huge help for 3 million Australians with a student debt - about 23,000 students in Blair,” Mr Neumann said.
“The average debt at the moment is about $27,000, so this initiative will cut their debt by more than $5,000.
“We’ve been working hard to take pressure off Australians. We will also reduce the amount graduates have to repay each year, and we will make free TAFE courses permanent.
“Labor has rolled out tax cuts for every taxpayer, we’ve boosted bulk-billing, and we’ve made both child care and medicine cheaper.
“Our second term will build on these strong foundations. We’ll cut around $5,500 from an average uni student’s debt. And making the repayment system fairer will boost take-home pay for people repaying student debts.
“This is about putting money back into your pocket – and putting intergenerational equity back into the system.”
The Albanese Labor Government will introduce legislation to establish Fee-Free TAFE as an enduring feature of the national vocational education and training system, funding 100,000 Fee-Free TAFE places a year from 2027.
This builds on the 180,000 Fee-Free TAFE places in 2023; 300,000 places over three years from 2024; and agreements being finalised for a further 20,000 construction and housing Fee-Free places.
“After a decade of neglect under the Liberals the Albanese Government is committed to rebuilding the vocational education and training sector,” Mr Neumann said.
“Fee-Free TAFE supports key industries experiencing skills shortages and areas of emerging growth.”
