PM pledges HECS help
Labor is promising more free TAFE and HECS reforms in what is seen as a pre-election rally.
Prime Minister Anthony Albanese has pledged to extend fee-free TAFE nationwide and to implement cuts to student loan repayments if his government is re-elected.
Speaking in Adelaide, Albanese committed to making 100,000 TAFE places permanently fee-free every year, saying that the government would “lock in free TAFE and make it permanent nationwide”.
Labor’s broader education promises also include a 20 per cent reduction in HECS debts, the first major bill it would introduce in a second term.
Education Minister Jason Clare says the reduction would relieve cost pressures on graduates and is structured to avoid inflationary effects.
Since 2022, Labor has provided 180,000 fee-free TAFE places, with a further 300,000 projected by 2024.
According to Albanese, these places focus on areas of skill shortages such as aged care, construction, and disability services.
Over 508,000 students have enrolled through the program, which Albanese described as having “exceeded expectations”.
For university graduates, Labor’s proposed HECS reform would provide annual savings, especially for those in lower income brackets.
This follows changes already introduced in the budget, including raising the income threshold for mandatory HECS repayments to $67,000 and introducing a marginal repayment system.
The reforms have received mixed reactions.
Some, including HECS architect Professor Bruce Chapman, have welcomed changes to the repayment structure, calling it a “really good idea” that addresses inequalities faced by low-income earners.
Others, such as higher education expert Andrew Norton, have suggested that the 20 per cent cut is only a “temporary measure”, and a more comprehensive solution may be required.
Labor’s promises also include potential revisions to university course fees, particularly with the anticipated establishment of an Australian Tertiary Education Commission to set course pricing.
Clare is reportedly considering recommendations from the Universities Accord panel to replace policies that have increased fees in the humanities while reducing costs in STEM fields.
The Albanese government projects the HECS debt reduction will impact over three million Australians and cut roughly $16 billion in overall student debt by 2025.
“This will help everyone with a student debt right now, whilst we work hard to deliver a better deal for every student in the years ahead,” Albanese said.
As Labor readies for the next election - to be held on or before 27 September 2025 - Albanese says he is aiming to ensure “no one [is] held back and no-one [is] left behind”.