The cost of essential items for New Zealand students has increased by 220 percent while student support has risen only 86 percent, according to RNZ analysis that reveals a significant affordability crisis in tertiary education.
The gap represents a fundamental question about whether university remains a viable path for young Kiwis when the financial burden has become this severe.
New Zealand tells young people to get an education, then makes it financially impossible. The maths here is brutal: essentials up 220%, support up 86%. Students are being asked to make up the 134-point difference with debt or by dropping out.
The 220 percent increase in essential costs captures the full weight of what students face: rent in university towns has skyrocketed, food prices have surged, transport costs have climbed, and course materials have become more expensive. The accommodation crisis is particularly acute in cities like Auckland, Wellington, and Dunedin, where student housing supply has not kept pace with demand.
Meanwhile, student support — the combination of allowances, loan living costs, and other financial assistance — has increased 86 percent over the same period. That's not nothing, but it's nowhere close to matching the actual cost increases students face.
The result is that students are working more hours to make ends meet, taking on larger debts, or relying on family support that not everyone has access to. For students from lower-income backgrounds, the financial barriers to tertiary education have become increasingly insurmountable.
The affordability crisis raises fundamental questions about New Zealand's commitment to accessible education. The country once prided itself on a system where anyone with ability could pursue higher education regardless of family wealth. That promise is harder to sustain when student poverty is the norm.
There's also the question of whether the investment pays off. Student debt in New Zealand has reached record levels, and graduates are entering a job market where starting salaries haven't kept pace with the debt they've accumulated. The RNZ analysis explores whether a university degree still delivers the economic returns it once did.
For many students, the answer is that tertiary education has become a luxury rather than an opportunity. The financial stress affects academic performance, mental health, and the ability to engage fully in university life beyond just attending classes.
The gap between costs and support also affects which students can afford to study certain fields. Courses with long hours or mandatory unpaid placements — like teaching, nursing, and social work — become effectively closed to students who need to work substantial hours to survive.
New Zealand needs skilled graduates in exactly these fields, yet the financial structure of student support makes them the hardest to pursue for students without family wealth.
The 220 percent versus 86 percent figures tell a simple story: student support has not kept pace with the reality of student costs. Until that changes, tertiary education in New Zealand will increasingly be the preserve of those who can afford it, not those who have the ability to succeed.
