Catholic Ed welcomes low-rate loans in the West

23 Feb 2013

By The Record

Dr Timothy McDonald. PHOTO: CEOWA

The Director of Catholic Education in Western Australia, Dr Timothy McDonald, has welcomed the recent announcement by Education Minister Peter Collier regarding $25 million of capital loans at a reduced interest rate available to non-government schools in 2013.

Dr McDonald noted the 17 projects which will be supported in 2013 including some funding for new primary schools to commence in Ellenbrook and Hocking in 2014.

“The range of projects supported will add significantly to the schools involved and will ultimately contribute to an increase in opportunities for students,” Dr McDonald said.

While the loans will benefit the schools involved for 2013, Dr McDonald noted that for the past 18 years the amount available had been pegged at $25 million.

Over this period, the cost of building a primary school for 450 students has more than quadrupled.

“In times when the total cost of building a small primary school is approximately $20 million and a secondary school closer to $60 million, the loans are clearly less than what is required,” he said.

“Perth’s booming population and rapidly changing demand for a variety of educational offerings point to an urgent need to increase the loans available to closer to $50 million per year.

The record low interest rates available in Australia provide an opportunity to increase the quantum of loans with little impact on the level of government subsidy.”

Dr McDonald acknowledged that the failure to increase the total loans for nearly two decades has been raised as a serious issue for many years now and was likely to be an election issue for the 20 per cent of WA families whose children attend Catholic schools.