Changes to funding policies for studying overseas *UPDATE 30/09/2016*

This package includes changes to the eligibility requirements for tuition subsidy funding and Student Support for Tertiary students starting study overseas on or after 1 January 2017.

Changes to student support for study at an overseas campus or delivery sites of a New Zealand provider

For study starting on or after 1 January 2017, there will be changes to the tuition subsidy funding and student support for students who are studying at an overseas campus or delivery site of a New Zealand provider.

These students will need to be studying:

• in regions the Government wishes to expand its commercial and social linkages
• level 7 or above on the New Zealand Qualifications Framework
• full-time and not extramurally, with part of the qualification being completed in New Zealand.  

Changes for New Zealand Permanent Residents (NZPRs) *UPDATED 30/09/2016*

Changes have been made for New Zealand Permanent Residents who are starting study overseas on or after 1 Jan 2017.

The requirement ‘studying in countries where they hold citizenship’ has been removed and replaced with a new requirement.

For study starting on or after 1 January 2017, eligibility for tuition subsidy funding and student support for NZPRs while they are studying part of their New Zealand qualification overseas (including at an overseas campus or delivery site of a NZ TEO) will be targeted.

The purpose of this targeting is to ensure that NZPRs grow new overseas skills and capabilities which will provide the most benefit to NZPRs and New Zealand.

Eligibility for tuition subsidy funding and student support will be targeted for NZPRs studying overseas by:

•  removing eligibility if in the last 5 years, they have spent more than 6 months in the country they are going to study in
•  removing eligibility if they are overseas studying extramurally
•  requiring them to meet an ordinarily resident test for tuition subsidy funding

These changes will require amendments to the Student Allowances Regulations and for Education Act regulations to be made.

Information of tuition subsidy change will made available on the TEC website in due course.

Note: A New Zealand Permanent Resident, includes those who hold a Residence Class visa which gives them the right to reside in New Zealand and includes refugees and protected persons.

Changes to the student loan interest exemption for full-time study overseas

The Government is extending the student loan full-time study interest exemption to the recipients (and eligible partners) of Government-funded scholarships studying overseas or on an internship (to be implemented from the date of enactment and apply to all those who go overseas after this date).