Media Release; Student leader challenges the government

Student leader challenges the government

Otago Polytechnic students are pleased at the government’s drop in student debt interest rates from 6.9% to 6.8% for 2007-2008. The drop will mean some small relief for graduates than still do pay interest on their student debt.

“While ‘interest free’ has improved things for many graduates the Government have failed to attack the real problem – debt itself.” said Otago Polytechnic Students’ Association (OPSA) President, Richard Mitchell.

Less than 20 years ago tertiary education was free - and less than a decade ago Labour policy was still for universal allowances and lower fees. The ineligibility of the vast majority of students to allowances has not been largely addressed. Fees themselves have not lowered, but grown.

“Three terms into a Labour lead government and students are still borrowing simply to eat, this is just not acceptable” said Mr Mitchell.

All that has changed is the removal of interest on a growing debt of fees and living debt. So while students welcome a slight shift down in interest rates there is still much work to be done to make tertiary education fairly open to all New Zeanders.

“I challenge the government to do something to actually lower fees” said Mr Mitchell.