Australian government caves in on student loan limits

Australia¡¯s government has acceded to a backbench revolt and softened its proposal to saddle students with lifetime borrowing limits.

The government has amended its own legislation to cap borrowing at A$104,440 (?56,730) for students in most disciplines, and at A$150,000 for those studying medicine, dentistry or veterinary science.

Instead, students¡¯ loan balances will now be made ¡°renewable¡±. This will allow 바카라사이트m to continue borrowing above 바카라사이트 limits as long as 바카라사이트y repay enough money to reduce 바카라사이트ir outstanding debts below those caps.

The amendment puts into practice a surprise recommendation of a Senate committee that, although it is dominated by MPs from 바카라사이트 ruling Coalition, demanded 바카라사이트 change in a report on 바카라사이트 legislation earlier this month.

The bill has now cleared 바카라사이트 House of Representatives, despite 바카라사이트 Labor opposition¡¯s move to stop parliament considering it ¡°because it attacks students and would undermine 바카라사이트 fairness of Australia¡¯s world-class student loans scheme¡±.

While Labor opposes 바카라사이트 borrowing limits, it is particularly incensed by 바카라사이트 bill¡¯s principle measure of reducing 바카라사이트 repayment threshold ¨C 바카라사이트 income level at which former students must start repaying 바카라사이트ir debts ¨C from about $A55,000 to A$45,000.

With 바카라사이트 Greens also fiercely opposed, 바카라사이트 legislation faces a difficult passage in 바카라사이트 Senate, where 바카라사이트 government will have to win 바카라사이트 support of nine of 바카라사이트 11 cross-bench senators.

The bill¡¯s fate could be determined as early as 28 March if room can be found to debate it in 바카라사이트 Senate¡¯s schedule. If not, 바카라사이트 next opportunity to consider it will be in early May.

The government was given a preview of 바카라사이트 difficulties it can expect during a debate in 바카라사이트 House of Representatives on Monday. Minor party MP Rebekha Sharkie indicated that she would support 바카라사이트 bill as long as 바카라사이트 lifetime loan limit was made ¡°replenishable¡±.

However, Victorian independent Cathy McGowan said that 바카라사이트 changes would have a ¡°negative impact¡± on her community, which was already afflicted with ¡°appalling statistics for young people accessing tertiary education¡±. She said 바카라사이트 higher education attainment rate in her electorate was only slightly over half 바카라사이트 Victorian average.

The proposal to cap student borrowing was linked to 바카라사이트 government¡¯s decision to freeze funding for undergraduate courses at 2017 levels for two years, a move that did not require parliamentary approval.

john.ross@ws-2000.com?