Anthony Chisholm (Queensland, Australian Labor Party, Assistant Minister for Education) Share this | Hansard source

I'd like to thank all senators for their contributions to this debate on these bills. The Trade Support Loans Amendment Bill 2023 is part of the Albanese government's work to ensure Australians from all backgrounds are supported to achieve their full potential. The changes in this bill facilitate the expansion of the trade support loan program, providing cost-of-living relief to Australian apprentices and trainees. Trade support loans are interest free government loans available to support apprentices in occupations of high skill needs with everyday living expenses. Currently the Trade Support Loans Act 2014 restricts access to these loans to apprentices in trade occupations on the trade support loans priority list. The existing list of occupations has not been updated for many years. It is not responsive and no longer aligns with current or future skill needs.

The amendments in this bill will replace the existing priority list with a new Australian apprenticeships priority list. The new priority list will be responsive to Australia's skills needs and will include key in-demand occupations that can be pursued through an apprenticeship or a traineeship. Occupations with current, emerging or future demand will be determined with regard to advice from Jobs and Skills Australia, ensuring a rigorous evidence base. These changes mean we will be able to support Australians training in priority non-trade occupations, such as aged care, child care and disability care, with an income contingent loan to help them meet the cost of living while they train. By extending eligibility the bill will assist many women, as women predominately take up non-trade apprenticeships and traineeships and currently lack the support for these loans. To reflect the expanded eligibility this bill will rename trade support loans 'Australian apprenticeship support loans'. The bill will also make the program fairer by enabling flexibility to provide immediate support to apprentices who miss payments due to issues outside their controls such as administrative error.

In response to the second reading amendment moved by Senator Faruqi and the Australian Greens: trade support loans are a small element of the program of student and training loans offered by government, all of which are repaid on the same income contingent basis. It would not be appropriate to treat trade support loans differently to other loans. As a result, this bill is not the appropriate forum to make broad changes to the approach to student debt. Any changes to the current system of indexation should be considered in their whole and in the context of the Universities Accord, the National Skills Agreement and a wider reform agenda so that the cost brought in a policy context and long-term effects and consequences can be taken into consideration for such a change.

With the expanded Australian apprenticeship support loan program, the government is boosting access to the support available to apprentices and trainees to complete their qualifications. It is also better targeting that support towards occupations of greater skill needs.

Once again, I thank senators for their engagement and commend these bills to the chamber.