The Australian Government has committed to reducing Higher Education Loan Program (HELP) debt by 20%, this is subject to the passage of legislation.
The Government has committed to this being the first piece of legislation it introduces when Parliament sits in late July.
On 1 June 2025, indexation will be applied to HELP debts. This is the law and cannot be changed. Once legislation comes into effect, the ATO will retrospectively apply the 20% reduction and the indexation that was applied will be adjusted.
For more information visit: FAQs - 20% reduction off all outstanding HELP loan debt