The ‘father’ of HECS calls for similar scheme for post-lockdown business recovery

The Australian economist best know for being the architect of the HECS system for higher education system says small business should be afforded a similar scheme for post-lockdown recovery.

Bruce Chapman told Tom Elliott there was “huge uncertainty” for business and understandably many were now risk-averse.

He’s calling on the federal government to take on some of that risk with loans.

“The businesses that are assisted would re-pay the money, or some part of the money, only when their revenue is fine in the future,” he said on 3AW Drive.

He said it would give business some sort of insurance, pointing out some 85 per cent of HECS debts were ultimately paid off.

“If you’re in trouble, you don’t have to pay.”

Tom Elliott backed the idea.

“I think this makes a lot of sense,” he said.

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