Labour's being applauded for promising to increase funding for polytechs and universities so they don't have to rely on international students.

Michael Gilchrist from the Tertiary Education Union told Kate Hawkesby it's a failed model because international student revenue has been essential to allow those institutes to function.

He says there's been a drop in the number of students that has to be met.

"In the first instance to simply improve domestic funding to a realistic level would make a big difference."

However, there's disappointment Labour isn't promising to reinstate allowances for post-graduate students.

Gilchrist says many students want to carry on at university or polytech because they can't get jobs.

"They still won't have access to post-graduate student allowances, and that's something we think must be corrected."