Education Minister Chris Hipkins rules out universal student allowance

8 August, 2022

Minister Chris Hipkins said in parliament that while he is concerned if students are “finding the cost of living as biting,” the government would not commit to a universal student allowance. Photo: Canva.

By Jessica Hopkins

The government has confirmed it will not take action on key recommendations of the People's Inquiry into Student Wellbeing: making student allowances open to all and lifting payments in line with the cost of living.

The inquiry, led by the Green Party, Te Mana Ākonga, NZUSA, Tauira Pasifika, and the National Disabled Students’ Association, was released on Monday, 18 July. 

It found that 66% of tertiary students do not have enough to cover the cost of food, clothing, or other basic needs. 

Green Party MP Chlöe Swarbrick questioned Education Minister Chris Hipkins on 4 August in parliament, asking whether the government would make student allowance universal in response to the findings of the inquiry. 

While Hipkins said that while he is concerned if students and other New Zealanders are “finding the cost of living as biting,” the government has not made a commitment to a universal student allowance.

"There are significant financial pressures on the New Zealand taxpayer at the moment, and we are not in a position to do that."

As president of the Victoria University of Wellington Student Association (VUWSA) in 2001, Hipkins advocated for boosting financial support for all students. 

"I have continued to be dedicated to ensuring we get a better deal for students," Hipkins said in response to Swarbrick asking if he still stood by this view. 

Swarbrick says the Green Party won't stop fighting for more investment in tertiary education. 

"Student poverty, like all poverty, isn't inevitable. It is a political decision."

Labour's election promise to students in 2017 was to reinstate the postgraduate student allowance and extend the fees-free scheme. They have not done either of these. 

National and ACT have said they would reverse both policies if implemented. ACT would entirely scrap the student allowance. 

The Greens and Te Pati Māori want to make the student allowance universal regardless of age, parental income, relationship status, or partner’s income and extend its eligibility to postgraduate students.

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