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Extra support for small, rural and isolated schools to help manage fuel cost pressures is timely and very welcome, Federated Farmers’ education spokesperson Richard Dawkins says.
“The huge spike in fuel prices – particularly diesel – from the Middle East conflict has hit rural schools particularly hard. Students and teachers in rural areas face longer distances when travelling to and from school.
“Smaller rural schools have the same or similar fixed costs as much bigger schools but when your roll is a couple of dozen, dividing costs per-pupil based across that smaller roll is a lot tougher.”
As reported previously, the government announced a package of targeted relief, including $37 million to accelerate work to replace diesel boilers at up to 70 schools, and a temporary increase to Relief Teacher Transport Allowance mileage rates.
One-time cash grants of $2500 will be provided to all schools with 100 students or fewer to cover extra mileage costs. There will also be a 30 per cent increase in the conveyance allowance to help eligible families with the cost of getting children to school or the nearest bus route, benefiting 5000 further students.
“This is sensible, financially prudent and targeted assistance that will make a difference for rural schools,” Dawkins says. “Federated Farmers has been working closely with the Rural School Leadership Association and Rural Women NZ over our successful campaign for a review of school bus routes and eligibility criteria.
“I think, through that campaign, we’ve heightened awareness among MPs that schools are an essential part of rural communities, and that they enable families and farm staff to live and work in more isolated areas.”
Earlier this month, the three groups wrote to the government seeking an increase in the conveyance allowance, which hadn’t been reviewed since 1985.
“The rural National Party MPs have been supportive of our advocacy and we thank Education Minister Erica Stanford and Cabinet for listening, and taking this action,” Dawkins says.
In the medium term, the government is to invest $2.35 million per year into two initiatives to grow the workforce and ensure rural schools have a good pipeline of teachers, funded through reprioritisations.
The Go Rural programme, where student teachers receive $4,000 to cover the costs of undertaking a professional experience placement in a rural and isolated school is being expanded by a further 87 places per year, from the 2026/27 financial year.
The number of places available in the Teacher Bonding Scheme will increase by 50, from 185 places to 235 per year. This scheme supports teachers with up to an additional $40,000 over five years for working in hard-to-staff schools, the majority of which are rural and isolated.
“These changes are positive for the future of rural schools – an investment not just in education of rural school children but in farming and rural communities,” Dawkins adds.


