For immediate release
COMMENT ON BUDGET
15 June 2000
Tertiary Institutions could spoil Fee Freeze
The National Student Unions are predicting some tertiary instituions will choose to put up fees rather than take the
2.3% Government funding increase following today's Budget annoucement.
The Government today allocated an extra $30.5 million to encourage tertiary institutions to voluntarily freeze fees in
2001 at 2000 levels.
"For the first time the Government has provided incentives for institutions not to hike up student fees to whatever
level they like, as was the tradition for the last ten years under the previous Government," said David Penney and Sam
Huggard, National Student Presidents.
"We certainly applaud the Government's move, as this represents the first step in reinvestment in tertiary education
from any Government for over a decade," said Sam Huggard, New Zealand University Students Association Co-President.
"We have real fears that the $30.5 million will not be enough for some tertiary institutions and this will inevitably
lead to the same old story of massive fee hikes at some universities and polytechnics," said David Penney, Aotearoa
Post-compulsory Student President.
"Tertiary institutions have become accustomed to reaching deep into students' pockets for extra revenue. Since 1992
student fees have increased by an average of 13% a year, and for some fee increases may prove to be a habit that is too
hard to break," said David Penney.
"We believe that if the Government is serious about honouring its fee stabilisation commitment, it should introduce fee
regulation and force tertiary insitutions not to hold fees," said Sam Huggard.
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