Hardship Fund Has Hard Time Keeping Up

Te Herenga Waka’s hardship fund has seen a sizeable increase in applications for financial aid over the past year, reflecting mounting pressure on students as living costs climb. In February alone, forty-eight students applied for asisstance—double the twenty-four who sought support in the same month last year. 

Kirsty McClure, the acting Deputy Vice-Chancellor for Students, attributes the uptick to rising living expenses. “Student demand for financial support continues to grow, reflecting the real impact of the cost-of-living pressures on our community,” she said.

In 2025, the university received 408 applications to the Weekly Hardship Fund. By March of this year, 102 applications had already been submitted.

The Hardship Fund, administered by the university’s Student Finance division, is intended as an emergency measure for students facing financial difficulty. Applicants often cite high medical, transport, or course-related costs, as well as changes in employment or living situations, disability, illness, or family issues. Assistance is distributed through weekly hardship payments, equity grants, and winter energy grants, and is funded primarily through the student-paid Hardship Fee, which rose from $30 to $32 at the end of 2024. 

Not all applications are approved. In 2025, 24 percent of Weekly Hardship Fund applications were rejected, along with 21 percent of energy grant applications and 36 percent of equity grant requests. As demand increases, there are concerns that rejection rates may rise further in order to prevent overspending.

“Our Hardship Fund is limited, and Student Finance carefully manages it across the year to avoid over- or under-spending,” McClure said. ”Higher demand in one area can affect how funding is prioritised.” In 2025, the Hardship Fund received $537,958 in revenue from the Student Hardship Fee, and an additional $84,000 from donations. Of this, $205,783 was allocated to weekly hardship grants, $185,250 to winter energy grants, and $170,150 to equity grants. Remaining funds supported Disability Access Awards, the VUWSA community pantry and menstrual product stock, and food initiatives during Stress-Free Study Week.

Financial strain among students has been building for several years. Annual Student Finance reports from 2024 and 2025 both note an increase in students unable to secure employment, leaving many struggling to meet basic living costs. Demand for assistance with the cost of ADHD assessments was also high in both years. The number of students engaging with Student Finance services rose from 5148 in 2024 to 6577 in 2026.

The student job market has grown increasingly competitive. In January 2026, Student Job Search listed 4600 jobs but received 38,000 applications—roughly eight applicants per position. As a result, many students are relying on StudyLink loans, which often fall short of covering living expenses.

Aspen Jackman, VUWSA’s Welfare Vice President who sits in on Hardship Fund applications as a student representative, described the cases she encounters as  “real intense”, and reflective of “unfortunate circumstances for students to be in.” 

“People are having to choose between groceries, rent and transport,” she said. “There have been students pulling out of courses because StudyLink isn’t picking up the phone to pay fees on time.”

Jackman also noted increased demand for basic necessities. “The stands are running out very quickly,” she said, referring to menstrual product supplies and the community pantry. “People are going without and relying on these services.”

Like McClure, she attributes the surge in need to the broader cost-of-living crisis. “100%,” she said. “There’s a real need for investment—not just in student poverty, but poverty in general.” 

As financial pressure on students continues to grow with rising living expenses and decreased employment opportunities, it remains unclear whether existing university and government support systems will be able to keep pace.