The Australian government is set to follow through on its election promise to cut student debt, but critics say its real benefit will be far smaller than promised.
In one of the first acts of the new parliament, a bill is expected to be tabled this week by the Labor government enacting the pledge, which has been credited as helping the party win its second term in office.
The bill, expected to pass with support from either the Greens or the Coalition, would see 20 per cent of all outstanding student loans – including the Higher Education Loan Program (HELP), Vocational Education and Training (VET) and apprenticeship debts – wiped automatically by the Australian Taxation Office.
Around three million Australians stand to benefit, with…