§ Mr. Thorntonasked the Secretary of State for Education and Science if he will make a statement on the question of introducing a loans scheme for student support.
§ Mr. Mark CarlisleAfter studying a number of possibilities and taking into account the experience o other countries which operate a loans scheme for student support, I believe that there would be considerable merit in a system which would replace the present system of grants by a scheme of student support involving a mixture of grants and loans. I am also satisfied that it would be feasible to devise a system which would be suitable to this country's circumstances. However, I consider that an essential element of such a scheme should be the abolition of the parental contribution. To make this change would mean additional set costs in the early years of any new scheme. I also considered, as part of my review, the desirability of extending a loans scheme to include those courses for which students have to rely on discretionary awards, but that would, of course, mean further additional costs. Since in present economic circumstances the Government do not feel able to provide the extra funds that would be entailed by either change, I have concluded that the existing system of student support by means of grants only should be retained.