Tony Windsor (New England, Independent) Share this | Link to this | Hansard source

My question is to the Prime Minister. Given the continued misinformation being peddled in regional Australia in relation to youth allowance, can the Prime Minister outline the recent proposals for youth allowance, particularly for country students?

Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

I thank the member for New England for his question. I thank him as well as many members of the Labor Party who have consistently raised with me over a long period of time the circumstances of regional students. Because of the advocacy of Labor members, the member for New England and the member for Lyne, in the last parliament the government acted to create a better and fairer system of youth allowance for Australian students generally and particularly for country students.

Mr McCormack interjecting—

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Order! The member for Riverina is warned.

Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

In the 15 months since those new arrangements have been in operation, the statistics speak for themselves. I know these may be uncomfortable facts for the members of the opposition, but the fact is in the 15 months since these changes came into effect the number of rural and regional university students receiving youth allowance has increased by 26 per cent, an additional 7,400 students. There has also been an 18 per cent increase in the total number of university students receiving youth allowance, an additional 24,600. Those statistics are telling you that everyone has benefited, but country students have proportionally benefited more.

Mr Chester interjecting—

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Order! The member for Gippsland is warned.

Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

This is against a backdrop where under the Howard government the percentage of regional students and country students in Australian universities was going down. We acted to improve youth allowance for regional students. I am pleased to be in a position to say that we will act again to improve the circumstances of country students in getting access to university.

Mr Christensen interjecting—

Ms Marino interjecting —

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Order! The member for Dawson is now warned and the member for Forest is warned.

Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

That is because we want country students to be able to go to university. We do not want to see the sorts of statistics that the Howard government used to think were fine, where the participation of country students was going down.

The government will devote $265 million to deliver on a package to eliminate regional eligibility distinctions for youth allowance from 1 January 2012. Inner regional students will be able to access independent youth allowance in the same way as outer regional, remote and very remote students. The government is also providing further support for eligible students as they face additional barriers to accessing higher education and often have more limited access options. The government will increase to $2,000 both second and third year relocation scholarships for eligible regional university students required to live away from home. This represents a $900 increase in relocation scholarship payments for each of those two years. We expect that these new measures will continue to improve the support for students in regional areas. It will allow approximately 5,500 inner regional students to access payments or receive upward variation in their income support payments and provide about 15,000 regional students with higher relocation scholarship amounts each year.

I am pleased to be able to report to the House that on top of a proud track record of better support for country students, we are improving that support again.