Education Minister Julia Gillard bowed to pressure this week and reworked changes to the Youth Allowance scheme, which would have reduced Centrelink payments to thousands of Uni students.

She announced a compromise which will delay the introduction of the new scheme.

This means that several thousand students currently taking a gap year will no longer be seriously disadvantaged.

It will cost $150 million to ensure these students still qualify, and the delay is necessary to maintain a budget neutral package.

This report from 2SER’s Britta Jorgensen begins with David Barrow from the National Union of Students.