Uni debt relief set to benefit richer students more
Analysis into a federal government proposal to slash HECS debts by 20 per cent found more than half of the financial relief offered will go to the top third of earners.
Meanwhile, the study by the e61 Institute found less than 20 per cent of the measure will flow through to those in the bottom third.
The plan to cut tertiary education debt will be the first legislation introduced by the federal government in Anthony Albanese's second term when parliament resumes on July 22.
The cuts will be backdated to June, when debts increased by a further 3.2 per cent due to indexation.
The institute's research economist Matthew Maltman said modelling showed the cut would do little to speed up the repayment of student debt.
"If you simulate the effects of a 20 per cent cut on HELP debt holders, you find that for 80 per cent of recipients, the year in which they repay their debt is unchanged," he said.
"In terms of delivering cost-of-living relief or easing financial pressures on young people, the benefits of the policy are likely to be modest."
The average student debt is about $27,600, meaning $5520 would be cut off repayments.
The benefits of the debt reduction would also be dependent on when students completed their university degree, the institute's Jack Buckley said.
"Individuals who left university in 2024 will on average receive twice as much debt relief as those who left only four years earlier in 2020 and two and a half times as much as those who will leave four years later in 2028," he said.
"Two very similar people will receive very different amounts of debt relief simply because one finished their degree in 2024 and the other finished a few years earlier or later."
The institute has called for the 20 per cent reduction to be changed to a flat amount of about $5500 per student.
"Each former student with a HELP debt receives the same amount of support, or has their debt wiped, regardless of whether they studied law or teaching," Mr Buckley said.
Wealthier students are set to benefit more from future plans to cut university debt levels than those on lower incomes, research has shown.
Analysis into a federal government proposal to slash HECS debts by 20 per cent found more than half of the financial relief offered will go to the top third of earners.
Meanwhile, the study by the e61 Institute found less than 20 per cent of the measure will flow through to those in the bottom third.
The plan to cut tertiary education debt will be the first legislation introduced by the federal government in Anthony Albanese's second term when parliament resumes on July 22.
The cuts will be backdated to June, when debts increased by a further 3.2 per cent due to indexation.
The institute's research economist Matthew Maltman said modelling showed the cut would do little to speed up the repayment of student debt.
"If you simulate the effects of a 20 per cent cut on HELP debt holders, you find that for 80 per cent of recipients, the year in which they repay their debt is unchanged," he said.
"In terms of delivering cost-of-living relief or easing financial pressures on young people, the benefits of the policy are likely to be modest."
The average student debt is about $27,600, meaning $5520 would be cut off repayments.
The benefits of the debt reduction would also be dependent on when students completed their university degree, the institute's Jack Buckley said.
"Individuals who left university in 2024 will on average receive twice as much debt relief as those who left only four years earlier in 2020 and two and a half times as much as those who will leave four years later in 2028," he said.
"Two very similar people will receive very different amounts of debt relief simply because one finished their degree in 2024 and the other finished a few years earlier or later."
The institute has called for the 20 per cent reduction to be changed to a flat amount of about $5500 per student.
"Each former student with a HELP debt receives the same amount of support, or has their debt wiped, regardless of whether they studied law or teaching," Mr Buckley said.
Wealthier students are set to benefit more from future plans to cut university debt levels than those on lower incomes, research has shown.
Analysis into a federal government proposal to slash HECS debts by 20 per cent found more than half of the financial relief offered will go to the top third of earners.
Meanwhile, the study by the e61 Institute found less than 20 per cent of the measure will flow through to those in the bottom third.
The plan to cut tertiary education debt will be the first legislation introduced by the federal government in Anthony Albanese's second term when parliament resumes on July 22.
The cuts will be backdated to June, when debts increased by a further 3.2 per cent due to indexation.
The institute's research economist Matthew Maltman said modelling showed the cut would do little to speed up the repayment of student debt.
"If you simulate the effects of a 20 per cent cut on HELP debt holders, you find that for 80 per cent of recipients, the year in which they repay their debt is unchanged," he said.
"In terms of delivering cost-of-living relief or easing financial pressures on young people, the benefits of the policy are likely to be modest."
The average student debt is about $27,600, meaning $5520 would be cut off repayments.
The benefits of the debt reduction would also be dependent on when students completed their university degree, the institute's Jack Buckley said.
"Individuals who left university in 2024 will on average receive twice as much debt relief as those who left only four years earlier in 2020 and two and a half times as much as those who will leave four years later in 2028," he said.
"Two very similar people will receive very different amounts of debt relief simply because one finished their degree in 2024 and the other finished a few years earlier or later."
The institute has called for the 20 per cent reduction to be changed to a flat amount of about $5500 per student.
"Each former student with a HELP debt receives the same amount of support, or has their debt wiped, regardless of whether they studied law or teaching," Mr Buckley said.
Wealthier students are set to benefit more from future plans to cut university debt levels than those on lower incomes, research has shown.
Analysis into a federal government proposal to slash HECS debts by 20 per cent found more than half of the financial relief offered will go to the top third of earners.
Meanwhile, the study by the e61 Institute found less than 20 per cent of the measure will flow through to those in the bottom third.
The plan to cut tertiary education debt will be the first legislation introduced by the federal government in Anthony Albanese's second term when parliament resumes on July 22.
The cuts will be backdated to June, when debts increased by a further 3.2 per cent due to indexation.
The institute's research economist Matthew Maltman said modelling showed the cut would do little to speed up the repayment of student debt.
"If you simulate the effects of a 20 per cent cut on HELP debt holders, you find that for 80 per cent of recipients, the year in which they repay their debt is unchanged," he said.
"In terms of delivering cost-of-living relief or easing financial pressures on young people, the benefits of the policy are likely to be modest."
The average student debt is about $27,600, meaning $5520 would be cut off repayments.
The benefits of the debt reduction would also be dependent on when students completed their university degree, the institute's Jack Buckley said.
"Individuals who left university in 2024 will on average receive twice as much debt relief as those who left only four years earlier in 2020 and two and a half times as much as those who will leave four years later in 2028," he said.
"Two very similar people will receive very different amounts of debt relief simply because one finished their degree in 2024 and the other finished a few years earlier or later."
The institute has called for the 20 per cent reduction to be changed to a flat amount of about $5500 per student.
"Each former student with a HELP debt receives the same amount of support, or has their debt wiped, regardless of whether they studied law or teaching," Mr Buckley said.
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ABC News
3 hours ago
- ABC News
Australia stands firm in face of Israeli leader's furious attacks on Anthony Albanese
The Australian government has stood firm in the face of the Israeli leader's blistering attack on Anthony Albanese and defended the grounds on which it cancelled the visa of a far-right member of Benjamin Netanyahu's coalition. In a social media post on Tuesday night, Mr Netanyahu launched an extraordinary missive at his Australian counterpart, describing him as a "weak politician who betrayed Israel and abandoned Australia's Jews". Overnight, it also emerged that the Israeli prime minister had sent a letter to Mr Albanese, alleging that Australia's decision to recognise a Palestinian state would "pour fuel on the antisemitic fire". "It is not diplomacy, it is appeasement," the letter obtained by Sky News and dated August 17 read. Home Affairs Minister Tony Burke told the ABC on Wednesday morning that Mr Netanyahu had "lashed out" at a number of countries who have issued their support for Palestinian statehood. "Strength is not measured by how many people you can blow up or how many children you can leave hungry," he said. "Strength is much better measured by exactly what Prime Minister Anthony Albanese has done, which is when there's a decision that we know Israel won't like, he goes straight to Benjamin Netanyahu. "He has the conversation, he says exactly what we're intending to do, and has the chance for the objections to be made person to person." Australian and Israel relations have progressively soured over the past year, reaching a crescendo earlier this month when Mr Albanese announced he would recognise Palestinian statehood in September. After a call with Mr Albanese during which Australia's plan was conveyed, Mr Netanyahu told a rare media conference for foreign journalists that the development was "shameful". Tensions flared again this week when the government confirmed it had cancelled the visa of Israeli politician Simcha Rothman — a member of Mr Netanyahu's governing coalition — days before he was due to embark on a speaking tour in Australia. Hours after the decision was made public, Israel declared that it would revoke the visas of Australia's representatives to the Palestinian Authority. After Mr Netanyahu's attack on Mr Albanese, Israeli Opposition Leader Yair Lapid described it as a "gift" for Australia. "The thing that strengthens a leader in the democratic world today most is a confrontation with Netanyahu, the most politically toxic leader in the Western world," he said in a social media post. The "backdrop" for the decision to cancel the Australian visas, according to Israeli Foreign Minister Gideon Sa'ar, was both Australia's decision to recognise a Palestinian state and what he described as the "unjustified refusal" to grant Mr Rothman a visa. Mr Burke — who, as home affairs minister, is ultimately responsible for the issuing of visas — provided an explanation for the visa ruling on Wednesday, pointing directly to comments the Israeli politician had made describing Palestinian children as the enemy. "If anyone wanted to come on a public speaking tour and they had those views publicly expressed about Israeli children, I would block the visa," he said. "And I am going to not have a lower bar for the protection of views that are bigoted views against the Palestinian people." The letter revoking Mr Rothman's visa, seen by the ABC, said he had the potential to use the events he would be participating in to "promote his controversial views and ideologies, which may lead to fostering division in the community". It cites examples of Mr Rothman claiming that children were not dying of hunger in Gaza, that those children were Israel's enemies, and that the idea of a two-state solution had "poisoned the minds of the entire world". But Mr Rothman, in an interview with the ABC earlier in the week, claimed the sole reason he was blocked from entering Australia was because he had said: "Hamas is bad and Israel is good." "I take the role very seriously in Australia that we have a power, or I have a power, and my delegates in the department have a power under the Migration Act, to block people from coming here if we think they will incite discord," Mr Burke said. The opposition has blamed Labor for the deterioration in relations with Israel, describing the current status of the relationship as an "all-time low". Shadow Home Affairs Minister Andrew Hastie on Wednesday suggested Mr Rothman should have been given more leeway in his visa application because he was an elected member of a foreign parliament. "I'm sure he said a whole range of things that I probably wouldn't agree with, but nonetheless, he's a member of the Knesset," he said. "I think the government's failed to recognise what this cancellation would mean. This wasn't just any old visa." Mr Hastie did not answer directly when asked whether he believed Mr Rothman should have been granted a visa, but noted he was a "member of the Israeli parliament". The Coalition is also opposed to Labor's decision to recognise Palestinian statehood at a United Nations meeting next month and has vowed to reverse the decision if elected in three years. Mr Hastie argued that Labor had been selective in which visas it denied, alleging supporters of Hamas's October 7 attack on Israel had been let in to the country, while Mr Burke accused the opposition of being selective in their outrage. "It seems that the Coalition only believe I should be rejecting people if they will cause harm to the Jewish community and not if they will cause harm to the Palestinian or Muslim community," Mr Burke said. "I have a strong view that no matter who you are in Australia, you have a right to feel safe and to be safe. And I also have a view that words can be bullets."
Sky News AU
4 hours ago
- Sky News AU
‘Betrayer': Netanyahu unleashes on ‘weak' Albanese in stinging social media post
Israeli Prime Minister Benjamin Netanyahu has launched a stinging attack on Prime Minister Anthony Albanese. In a social media post, the Australian Prime Minister has been labelled 'weak' and a 'betrayer' as tensions between Australia and Israel escalate. Mr Netanyahu also wrote an explosive letter to Mr Albanese, accusing him of pouring 'fuel on antisemitic fire' by calling for recognition of a Palestinian state.
ABC News
4 hours ago
- ABC News
Netanyahu's criticism of Albanese and Australia takes a different tone but follows a familiar playbook
Just before 7pm in Canberra on Tuesday night, phones lit up with a social media missive from the Israeli prime minister. Benjamin Netanyahu's office, adopting the abrupt digital diplomacy style of Donald Trump, shared its leader's character assessment of Anthony Albanese. "History will remember Albanese for what he is: a weak politician who betrayed Israel and abandoned Australia's Jews," Netanyahu's office posted on X. It was dramatic, for sure. But if "Bibi" expected it to unsettle "Albo", the Israeli leader may well be mistaken — particularly as the tsunami-like wave of global opinion appears to turn further away from Israel. It's likely too flippant to describe the frank critique as a badge of honour for Albanese, but it certainly puts him in a growing group of peers who've provoked the ire of Netanyahu — a man subject to an arrest warrant issued by the International Criminal Court for alleged war crimes in Gaza. The language from Netanyahu is scathing but not surprising, in line with the approach taken to criticising any and every leader of a globally significant country daring to utter phrases or policies that fail to reflect the Israeli government's worldview. "Hypocrisy," the prime minister's office declared as France, Canada and the United Kingdom announced they would recognise a Palestinian state, each with certain conditions and caveats. "I say to President Macron, Prime Minister Carney and Prime Minister Starmer: when mass murderers, rapists, baby killers and kidnappers thank you, you're on the wrong side of justice," it posted on social media. "You're on the wrong side of humanity and you're on the wrong side of history." Netanyahu reportedly sent similarly worded private letters to Albanese and Macron, where he criticised their leadership and accused them of fuelling antisemitism, but saved his strongest rhetoric for a public audience. The personal vitriol directed at Albanese appears to be something slightly different, other than what Netanyahu's son had to say about French President Emmanuel Macron. It's perhaps indicative that Israel sees Australia as an easier target than others. Australia's rhetoric about Israel has been changing in recent months, as the scenes of utter devastation, destruction and despair emerging from Gaza pushed even the most strident fence-sitters to take a firmer and far more critical stance. Australia had earlier joined other nations in sanctioning two of the most controversial members of the Netanyahu Coalition government for their comments about the future of the West Bank and illegal settlements, inciting violence against Palestinians as war raged in Gaza. Anthony Albanese used interviews with the ABC to accuse Israel of breaching international law in restricting aid to the strip, and that the alleged involvement of Israeli forces in shooting Palestinians clamouring for aid in Gaza was "completely indefensible". He spoke to Netanyahu days before announcing Australia would recognise a Palestinian state, a phone call Albanese described as "long" and "civil", but which the Israeli government would not comment on. Days after that call, but before the public announcement of plans to recognise Palestinian statehood, Netanyahu fired a broadside at Australia. "To have European countries and Australia march into that rabbit hole, just like that, fall right into it and buy this canard is disappointing, and I think it's actually shameful," he said in response to a question from the ABC at a rare press conference in Jerusalem. His outrage was palpable, and his utterance of the word "canard" was preceded by an apparent pause and correction from saying something starting with "sh" — perhaps a four-letter word that better summed up his anger. A week later, and partly in protest of the statehood announcement, the Israeli Foreign Minister announced he'd kick out Australian diplomats representing Canberra to the Palestinian Authority in the West Bank — a similar response to how Israel behaved when Norway and Spain took the same step. It is telling that moments after the post from Netanyahu, labelling Albanese as a "weak politician" who had "abandoned Australian Jews", one of the country's peak Jewish groups was calling for calm. The Executive Council of Australian Jewry was quick out of the blocks to urge restraint, and for the two countries to restrain from "engaging in a diplomatic tit-for-tat" — highlighting the links between Israel and Australia's economies and its ties with the Jewish population in Australia. "There are real-life consequences here and we want to see the countries work through any issues before things get out of hand," its co-chief executive Alex Ryvchin said in a statement clearly tinged with concern that the matter has already deteriorated dramatically. On Israeli television, Israel's ambassador to Australia, Amir Maimon, was also trying to right the diplomatic ship. "What we need to do is calm things down, so the relations don't continue to deteriorate," he told Israel's Channel 12 hours after Netanyahu's post. "After all, the relations between Israel and Australia are historical relations that go back to 1947, when Australia supported and helped with the partition plan. "At the same time, we also have our own interests and it is important that Australia accepts it and respects it." Acceptance and respect, it appeared, is demanded by Israel but not offered in return to another country in its foreign policy. Maimon also wasn't prepared to downplay the Israeli allegations the Albanese government was fuelling antisemitism. "The Jewish community is in fear, [others] before me have said that the relationship is friendly, but since the Labor party won, there is an encroachment, and since the 7th of October, there is a dramatic rise in manifestations of antisemitism," he told public broadcaster KAN. Israeli opposition leader Yair Lapid went further than his country's envoy in Canberra, describing Netanyahu's critique as a "gift" for Albanese. "The thing that strengthens a leader in the democratic world today most is a confrontation with Netanyahu, the most politically toxic leader in the Western world," he posted on X. In slamming Albanese, the Israeli prime minister is playing to a domestic audience — showing he is standing up while Israel is "attacked" by a Western nation with, as he would describe it, no clue about the pressures and threats in the Middle East. And while that may well resonate in some quarters of the Jewish community in other parts of the world too, including in Australia, it is increasingly hollow in most other quarters. The war in Gaza, now in its 22nd month and with a death toll reportedly in excess of 62,000 Palestinians, is fuelling outrage against Israel. Many analysts of the war and critics of Israel have argued for many months that the military offensive has shifted from an exercise in self-defence by Israel long ago, and is now a vehicle for its territorial ambitions in the Middle East — something Israel has repeatedly denied. While the humanitarian considerations are clear for all to see, with horrific scenes being broadcast from Gaza each and every day, the political implications are a factor here too. Albanese only has to see huge crowds marching across the Sydney Harbour Bridge, a stone's throw from his official residence in Kirribilli, to get a sense of where public debate stands in Australia. Supporters of Israel often denigrate those protesters as antisemitic, describing any legitimate rebuke of the Israeli government and military's conduct as an attack on the entire Jewish population — a conflation the prime minister himself has sought to rebut. "Criticism of Israel is legitimate, as is criticism of the Palestinian Authority," he said in July. Even with the shift in language, there is something Australia has not done as it ratchets up criticism of Israel. In November, the International Criminal Court (ICC) issued an arrest warrant for Prime Minister Netanyahu for alleged war crimes in Gaza. The warrants were also issued for his former defence minister and for senior Hamas official Mohammed Deif — a man believed to have been killed before the orders were drafted. Warrants had been sought for another two Hamas leaders, Yahya Sinwar and Ismail Haniyeh, but weren't issued because they had been confirmed already killed. While Israel (and the United States) doesn't recognise the jurisdiction of the ICC, Australia is a member state. With that comes obligations under international law to enforce such a warrant — arresting an individual while in their jurisdiction. A trip down under is unlikely on Netanyahu's agenda any time soon, particularly as he racks up the frequent flyer miles travelling to the US and friendly European nations. But the Albanese government has been deliberately vague, to the point of avoiding answering questions on whether it would arrest the prime minister if he arrived in Australia — dismissing it as a hypothetical. If it were to properly wade into that debate, no doubt the fury from Netanyahu would increase tenfold. The fact it remains an outstanding issue, even with that obfuscation from Canberra, further underpins why the Israeli leader's latest intervention is unlikely to worry Australia's Prime Minister now.
