Fees free policy

Fees free is a policy which makes the first year of tertiary education free in New Zealand. It was introduced by the Labour Government in 2018. It was implemented to reduce debt of students.[1]

History

Fees free was introduced in 2018 by the sixth Labour Government. It was planned to increase the free period from one year to two years in 2020, and then three years in 2023,[2] but it was cancelled in 2020 due to the COVID-19 pandemic.[1] In the first year, 47 thousand students and trainees had their fees paid off.[2]

Between the years 2017 and 2018, student debt decreased by $194.2 million.[1]

In 2019, the policy cost $254 million.[3]

In 2020 research found that students that enrolled in tertiary education only because it was free achieved lower grades than those who had other reasons in studying. They were also more likely to consider dropping out.[4]

The 2022 budget had $387 million allocated to fees free.[1]

Criticism

In 2017, National Party education spokesman Paul Goldsmith criticised the policy by saying that the policy moves resources "to the sons and daughters of the richest New Zealanders, who will go on to earn high incomes and can easily contribute to the cost of their education".[5] It has also been criticised by Penny Simmonds for similar reasons.[3]

People have claimed that people who use the policy are more likely to be able to afford the education without fees free.[2]

References
  1. "'$360m wasteful spending': Wealthy students benefit most from flagship Labour policy". NZ Herald. 10 August 2023. Retrieved 10 August 2023.
  2. "What are fees-free students actually studying?". RNZ. 2 August 2019. Retrieved 10 August 2023.
  3. Hudson, Daisy (9 January 2021). "Government's fees-free policy waste, MP says". Otago Daily Times Online News. Retrieved 10 August 2023.
  4. "Students motivated to enrol by fees-free policy struggle with university, research finds". RNZ. 16 June 2020. Retrieved 10 August 2023.
  5. "Fees-free study for 80,000 next year". NZ Herald. 11 August 2023. Retrieved 10 August 2023.
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