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April 2, 2012 | by  | in News |
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Government Still Tight As Fuck

Joyce withholds students’ pocket money

The Government has raised student allowance and student loan rates by 1.77 per cent, while deciding to freeze the student allowance parental income threshold.

The changes come as part of the 2012 general adjustment announced on Thursday by Tertiary Education ‘Super’ Minister Steven Joyce. The threshold uses parental income to determine the eligibility of a student for an allowance or partial allowance.

Joyce explained not raising the threshold as ”the first step in curbing the major expenditure increase in student allowances over the last few years”.

He added that the current threshold was already ahead of wage growth and inflation.

The Green Party has criticised the actions of the Government, saying that the freeze will create a further barrier to higher education. Green Party student spokesperson Holly Walker said that the affected students will instead have to take out student loans, increasing student debt overall.

The freeze is expected to affect the eligibility of around 1500 students for student allowance over the next four years.

Students can expect to see that extra $3 sometime this week as the changes to student loan and allowance rates came into effect on Sunday.

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