Allowances and loan recipients

Among student allowances recipients we can distinguish those who receive allowances only (SA) and those who also borrow from the Student Loan Scheme (SA+SL). The proportion of students who received allowances only decreased from 23 percent in 2003 to 20 percent in 2004 and 2005 and 18 percent in 2006 and 2007. 

Table 8: Student allowances and loans combinations

Of the 62,500 student allowances recipients in 2007, about 51,100 students received allowances and a loan.  This was about 29 percent of all (173,800) 2007 loan borrowers.

The profile of student allowances recipients who receive allowances only differs from the profile of students who receive allowances and borrow through the student loan scheme.

Figure 13: Comparison of student allowances recipients and student loan borrowers, 2000-2007

In 2007:

• Allowances only recipients and allowances recipients with a loan had a similar gender breakdown: about 54 percent female and 46 percent male.
• Half of the students who received an allowance only were under the age of 25, compared to 60 percent of those with allowances and loans.
• About 22 percent of students who received allowances only were not single compared to 14 percent of those with allowances and loans.
• About 12 percent of students with allowances only had children compared to 8 percent of students with allowances and loans.
  

Table 9: Profile of recipients of allowances only and recipients of allowances and loans, 2007

In 2007, among those receiving allowances only, there were about 8 percent fewer single recipients under the age of 25 with no dependents and 9 percent more students with dependent partners.

Table 10: Recipients of allowances only and recipients of allowances and loans by allowance type, 2007

Student loan borrowers who are studying full-time are entitled to borrow up to $150¹ per week towards meeting their living costs, less any net student allowances entitlement they have.

In 2007, about 22,100 students (35 percent of student allowances recipients) received both student allowances and a living costs loan entitlement.  Only 50 percent of 2007 student loan borrowers received the living costs component of the loan; this is due to part-time students and students whose allowance is above $150 per week being eligible for the living costs entitlement.  Of those borrowers, about 25 percent also received student allowances.

Table 11: Student allowances and living costs loan recipients combinations

Figure 14: Comparison of student allowances recipients and student loan borrowers, 2000-2007

In 2007, about 32 percent of the recipients of allowances only studied at bachelors degree level and 50 percent studied at degree level and above.  In comparison, for students who received allowances and loans, those figures were 56 percent and 65 percent respectively. This shows that receiving both student allowances and student loans is more prevalent amongst those studying for higher qualifications. 

Table 12: Recipients of allowances only and recipients of allowances and loans by level of study, 2007

Footnote

1. From January 2009 the living costs loan entitlement is $155 per week.