Medical study boost for Otago

The University of Otago's medical school could see more scholars after additional funding for up to 40 domestic medical students was announced in the Budget yesterday.

Otago Faculty of Medicine dean Prof Peter Crampton welcomed the boost in funding for New-Zealand based students.

"The Government has been remarkably consistent and true to its word about increasing funded places for domestic students ... This is a continuation of that policy," he said.

Universities New Zealand chairman Derek McCormack said the Budget's 2% increase in the funding rate for all degree and postgraduate courses recognised the importance of higher education. However, the increased funding did not keep pace with inflation, let alone the real increase in university costs, he said.

High demand for student places meant universities continued to carry more students than the Government would fund, which compounded the financial pressure on institutions and potentially compromised the quality of teaching and research, Mr McCormack said.

Queenstown Resort College (QRC) chief executive Charlie Phillips said the increase in private training funding helped create a "level playing field" with other tertiary providers.

Course completion rate figures and its retention rate of students, "which both sit at about 90%", gave QRC a high-performing ranking and meant it would be eligible for a funding increase, Mr Phillips said.

Tertiary Education Union national president Dr Sandra Grey said the reality was that funding for tertiary education was in decline.

She said total spending on tertiary education had actually fallen by at least $200 million per year.

---

Tertiary spending
• 2% increase in funding rate for all degree and postgraduate courses.
• Forty additional medical school places from 2012.
• Up to 750 additional funded places in new and high performing private training establishments.

---