26 November 2017
Fact check: Student Allowance
increase is not a rort
The
National Party’s claims that the Student Allowance
increase will be easy money for the unemployed are
incorrect, says the New Zealand Union of Students’
Associations (NZUSA).
Responding to news first
published in the NZ Herald today, National President
Jonathan Gee says: ‘Simply comparing the Student Allowance
figure with Jobseeker Support does not show the whole
picture.’
The claims do not take into account the
Accommodation Supplement of up to $130 per week. The
Supplement is accessible to most beneficiaries, except
students, who need accommodation support on top of their
current benefit.
Instead, students can access the
Accommodation Benefit of up to $40 to top up their
Allowance, a stark contrast to the $130 for
non-students.
‘In fact, students who have been on
other benefits have told us that going into tertiary study
has been a big financial sacrifice for them and their
families.’
Gee also dismissed claims that suggested
the previous Government aimed to give the same money to
students as well as other beneficiaries.
‘While the
previous Government claimed they pegged the Student
Allowance to the Jobseeker benefit, they pledged greater
increases to the Accommodation Supplement compared with the
Accommodation Benefit for students.’
In the previous
Government’s Budget 2017 they announced an increase in the
students’ Accommodation Benefit of up to $20 (making it a
maximum of $60 from April 2018). The Accommodation
Supplement increased by an average of $36 (making it a
maximum of $165 from April 2018).
‘From 2018
students will still be up to $100 worse off than
beneficiaries with respect to accommodation
support.’
‘Let’s see the $50 increase in student
support for what it is - an increase to meet basic needs.
Any suggestion that it will create a rort is totally
refutable.’
ENDS