Labor’s student debt relief is likely to sail through parliament despite a Greens push for Labor to end indexation of Hecs debts and wind up Coalition-era fee hikes for humanities courses.
Labor’s legislation to lower Hecs debt levels by about 20% for about 3 million graduates will be the first government bill to be introduced to the new parliament on Wednesday.
It is expected to deliver savings of about $16bn, and lift the repayment threshold for taxpayer-supported loans from $54,000 to $67,000.
The measures are being sold as providing cost-of-living relief for young Australians, who hold the bulk of student debt. Labor says the average student debt would be reduced by about $5,500.
It’s likely the bill will be passed by both houses…