Regional polytechnics battered by government cuts

Media release
Tertiary Education Union
20 June 2012

Regional polytechnics battered by government cuts

Annual reports from twelve of the country’s eighteen polytechnics show that the government is drastically cutting funding to polytechnics, and especially regional community polytechnics. Across the twelve polytechnics that have released their 2011 annual reports government grants fell 4.4 percent or $17 million.

The polytechnics that have been the worst hit by 2011 funding cuts were regional polytechnics such as Aoraki in Timaru, where the government grant fell by 19 percent or $4 million, Te Tai Poutini in Westport where the grant fell by 14 percent or $3 million, and NorthTec in Whangarei where the government grant fell by 13 percent or $4 million.

Three city-based polytechnics recorded an increase in their government grant: MIT, Wintec and CPIT.

Last week Aoraki Polytechnic's chief executive Kay Nelson blamed the institute's first deficit in five years on government funding cuts, saying, "This had serious consequences for our financial position."

TEU national president Sandra Grey said the government is denying people in regional communities the chance to train for jobs.

"People want the chance to learn, and they want that opportunity in their own local communities. Students in our regions should not see their polytechnics cut back and their learning opportunities diminished," said Sandra Grey.

Sandra Grey says this problem is likely to get worse this year because the government budget now allows private for-profit companies to compete for funding that previously went to regional polytechnics.

Actual 2011 Govt grant ($000) Actual 2010 Govt grant ($000) Percentage difference
Aoraki 17,264 21,396 -19.31%
Bay of Plenty 25,877 28,084 -7.86%
Christchurch PIT 50,684 48,825 3.81%
Manukau IT 57,777 54,679 5.67%
Nelson Marlborough IT 22,329 25,340 -11.88%
Northland 27,373 31,355 -12.70%
Otago 31,204 33,440 -6.69%
Te Tai Poutini 18,228 21,141 -13.78%
Weltec 28,988 30,451 -4.80%
Whitireia 25,862 26,390 -2.00%
Wintec 46,714 46,139 1.25%
WITT 15,103 17,127 -11.82%
TOTAL 367,403 384,367 -4.41%
Difference between 2010-2011 (16,964)

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EIT
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