Bennett 'confused' over student allowances

Labour MP Lianne Dalziel has accused Social Development Paula Bennett of misleading the public.

Labour claims Social Development Minister Paula Bennett is misleading the public over student loan allowance.

Comments by Labour MP Lianne Dalziel yesterday follow a week of controversy after Ms Bennett released the income details of two solo mothers, Natasha Fuller and Jennifer Johnston, who criticised cuts to the Training Incentive Allowance (TIA).

She has remained staunch in her position.

Yesterday, Ms Bennett told TV One's Q+A parents on the benefit could get a student loan for tertiary study like any other potential student.

The TIA was still available for those wanting to study at levels 1,2 and 3.

Ms Dalziel said she was "sick" of Ms Bennett saying people who would have received the Training Incentive Allowance had other avenues for help.

Ms Dalziel suggested the minister was "confused" over access to funding support.

"As the Studylink website points out, if people received the TIA, the amount they could get for compulsory fees and course-related costs went down by the amount of Training Incentive Allowance received (not including childcare, transport or disability-related costs).

"This means that depending on the course requirements, many people on benefits and receiving the TIA would have already been borrowing the full amount for course fees and up to $1000 on course related costs," Ms Dalziel said.

If the Government did not want to reinstate the TIA it could increase the amount that could be borrowed on a student loan or reinstate the TIA for degree and diploma qualifications that would address skill shortages, Ms Dalziel said.

- NZPA