THE HON STEPHEN JONES MP

ASSISTANT TREASURER

MINISTER FOR FINANCIAL SERVICES

MEMBER FOR WHITLAM

ALISON BYRNES MP

MEMBER FOR CUNNINGHAM

MEDIA RELEASE

The Albanese Labor Government will cut a further 20 per cent off all student loan debts, wiping around $16 billion in student debt across the country by 1 June next year, including for over 37,000 students in the Illawarra and Southern Highlands.

For a student at the University of Wollongong with the average HELP debt of $27,600 they will see around $5,520 wiped from their outstanding HELP loans next year. That’s an extra $680 back in the pocket of the average graduate with a HECS debt in the Illawarra each year.

This will provide significant relief to Australian students and workers with a student loan debt and builds on our reforms to fix the indexation formula, which is already cutting around $3 billion in student debt.

Not only will these new changes cut around $16 billion in debt from HELP, VET Student Loan, and Australian Apprenticeship Support Loans, we're reducing the amount you need to repay from student debt each year, and you won’t start repayments until you earn more than $67,000.

The Albanese Labor Government will also introduce legislation to establish Fee-Free TAFE as an enduring feature of the national vocational education and training system, funding 100,000 Fee-Free TAFE places a year from 2027.

Fee-Free TAFE started in January 2023 to 30 June 2024 and has exceeded all expectations – with more than 508,000 enrolments in courses in priority areas.

This will boost Australia’s workforce by training more tradies and construction workers to build more homes, more nurses and healthcare workers to look after our loved ones and provide more opportunities for people in the Illawarra and Shoalhaven to gain skills and get ahead.

Quotes attributable to Federal Member for Whitlam, Stephen Jones MP:

“We’re reducing student debt by up to 20 per cent, as well as the amount required to be repaid each year to ensure people obtaining qualifications have more money in their pocket.

“Our Government is also locking in Fee-Free TAFE and making it permanent nationwide to support Australians to get the skills and training they need to get a job.

“This is part of the Albanese Government’s plan to provide cost-of-living relief and take some off the financial pressure off students.”

Quotes attributable to Federal Member for Cunningham, Alison Byrnes MP:

"This is great news for young people in the Illawarra. Whether you're a student at the University of Wollongong or completing a trade at Wollongong TAFE, the Albanese Labor Government is cutting up to 20 per cent of your student debt.

"I know so many students, both current and recently graduated, who instead of celebrating, felt an overwhelming burden on their shoulders from completing their studies and staring down a student loan.

"Completing tertiary or vocational education shouldn't create a financial barrier, it should open a realm of opportunities and growth.

“A re-elected Albanese Labor Government will also lock-in free TAFE and make it permanent across Australia. That means more tradies to build homes, more carers to look after our loved ones, and more opportunities for people in the Illawarra to get ahead.

"We know there's more to do, and we will continue to support students and young workers. This announcement builds on our commitments of fee-free TAFE, paid prac placements and HECS reform - helping young Australians get ahead.

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