fbpx

Farrago talks higher ed: Education in the 2014 Budget

Tuesday, 13 May, 2014

 

Words by Martin Ditmann

 

HECS increase

Students will pay a 20 per cent contribution to fees for their university education. This will apply to new students from 2016 and all students from 2020. This is because students will pay 60 per cent, instead of 40 per cent, of the cost of their university degree. Interest rates on HECS are also likely to rise somewhat due to a change in the way they will be calculated.

Read more on HECS increases here.

Fee deregulation

Universities will be able to set their own fees from 2016, which means the fees for some degrees might skyrocket. To offset the impact this could have on disadvantaged students, the government will introduce a new commonwealth scholarship system to people from “disadvantaged background”. Universities will have to give 20 per cent of their additional fee revenue.

Read more on fee deregulation here.

Full demand driven system

The government will fund students across all higher education locations and remove loan fees on their HELP loans. This means people in private colleges will receive exactly the same government support and loans as people in universities.

Read more on the demand driven system here.

HECS repayment threshold

The HECS repayment threshold will not be reduced to the minimum wage. It will only be reduced by 10 per cent and will sit at just above $50,000.

Read more on the HECS repayment threshold here.

Research degree fees

Research students, including doctoral and Masters by research students, may also pay student fees for the first time. They will be capped at $3900.

Read more on research degree fees here.

Enrolment targets

Universities will no longer receive reward funding for enrolment targets.

Read more on enrolment targets here.

My universities website

Will be scrapped and replaced with a new website.

Welfare changes

People under the age of 30 will now have to alternate between periods of working for welfare payments and not receiving them at all. The age for Newstart payments has also been raised to 25. This means that people who are currently 22 and were on Newstart will be receiving Youth Allowance instead, which pays less.

Read more on welfare changes for young people here.