§ Mr. WrayTo ask the Secretary of State for Scotland what measures he is now taking in order to provide financial support to students, following the ending of their entitlement to welfare benefits.
§ Mr. Michael Forsyth[pursuant to his reply 15 July 1991]: I very much regret that my earlier reply to the hon. Member was inaccurate in one respect. For eligible students who still wish to take out a student loan for session 1990–91, it is their completed loan agreement form which must reach the Student Loans Company Ltd by 31 July.
The full test of the reply should have read as follows:
We are already providing such support through student loans and access funds. Loans and grants together provided an increase of 25 per cent. in the resources available to students in session 1990–91 and the loan element more than compensated the average student claimant for the loss of benefits. The average student's likely entitlement to benefits was estimated to be about £327, whereas the average full year loan rate for session 1990–91 is £420. Eligible students who have not already done so can still apply for a loan for 1990–91 provided their completed loan agreement reaches the Student Loans Company Ltd by 31 July.For session 1991–92 the overall provision for student maintenance has been increased by a further 6 per cent. on average, giving a loan facility of £580 for students living away from the parental home.In addition to student loans, discretionary assistance may be available in cases of need through the access funds which are administered by the individual academic institutions.