§ Mr. RendelTo ask the Secretary of State for Education and Skills pursuant to his Answer of 2 December, ref 83011, if he will estimate the level of funding required if student maintenance grants had been maintained at their final level in(a) real terms 1995–96 prices and (b) actual terms in (i) 1998–99, (ii) 1999–2000, (iii) 2000–01, (iv) 2001–02 and (v) 2002–03, in (A) England and (B) Wales. [85812]
§ Margaret Hodge[holding answer 9 December 2002]Under the "Mandatory Awards" scheme in operation up to academic year 1997–98 eligible students received a grant from LEAs towards their living costs. In 1997–98 this comprised a means tested basic grant of up to £1,755 (other than in London) plus extra allowances the student could claim depending on his/her circumstances, for example for those with disabilities or dependants. The grant was means tested against the student's own income and that of their parents (if the student was under 25 or not otherwise regarded as independent) or their spouse.
Tables 1 and 2 show the estimated funding required for LEA expenditure on maintenance grants (i.e. the basic grant excluding allowances) in real and cash terms for each of the financial years 1998–99 to 2002413, assuming that the grants available in 1997–98 had continued thereafter.
587W
Table 2: Estimated grant funding in cash terms £ million 1998–99 1999–2000 2000–01 2001–02 2002–03 England 725 750 767 800 834 Wales 44 46 48 51 53 England and Wales 769 795 815 850 887 Notes:
1. Figures may not sum due to rounding.
2. Includes medical and dental students and allied health professionals, grant funding for whom under the new student support arrangements, has been transferred to the Department of Health.
These are approximate estimates derived by applying the grant arrangements in 1997–98 to numbers of English and Welsh students for the academic years 1998–99 to 2002–03. Costs for English and Welsh students have been pro-rated on the basis of numbers of students from each country.
Table 3: Outturn maintenance grant pavements in real1 terms £ million 1998–99 outturn 1999–2000 outturn 2000–01 outturn 2001–02 projected outturn 2002–03 projected outturn England 508 300 129 37 6 Wales5 31 18 8 2 * England and Wales 539 319 137 39 6 Notes:
1. Figures have been converted to 1995–96 price levels using the November 2002 GDP deflators
2. Figures may not sum due to rounding
3. Figures for England and Wales have been estimated
4. 2000–01 outturn is provisional
5. Projected outturn less than £0.5 million in 2002–03
6. Includes the Department's funding for dental and medical students and allied health professionals
Table 4: Outturn maintenance grant payments (cash terms) £ million 1998–99 outturn 1999–2000 outturn 2000–01 outturn 2001–02 projected outturn 2002–03 projected outturn England 556 336 148 43 7 Wales 34 21 9 3 4 England and Wales 590 357 157 45 7 Notes:
1. Figures may not sum due to rounding
2. Figures for England and Wales have been estimated
3. 2000–01 outturn is provisional
4. Projected outturn less than £0.5 million in 2002–03
5. Includes the Department's funding for dental and medical students and allied health professionals
Cost for English and Welsh students have been pro-rated on the basis of numbers of students from each country.
Notes:
1. Costs have been estimated by academic year and then converted to a financial year basis. Financial year costs have been estimated on the assumption that 2/3 of the cost will arise from the current Academic Year and 1/3 from the previous Academic Year.
2. Maintenance grant costs for tables 1 and 2 have been estimated for 1998–99 to 2002–03 by multiplying the number of students by the estimated average maintenance award.
3. Average maintenance award per student has been estimated for 1998–99 to 2002–03 by uprating the average assessed maintenance award in 1997–98 by increase in grant rates for each year 1998–99 to 2002–03.
588WIn addition, students also received a subsidised loan towards living costs. The maintenance grant comprised approximately 50 per cent. of the total package available to students for their living costs.
Tables 3 and 4 show actual payments for maintenance grants (excluding allowances) made by LEAs in real and cash terms under the "Mandatory Awards" scheme for each of the financial years 1998–99 to 2002–03.
The estimates also allow for changes in the proportions of students entitled to the Home, London and elsewhere rates of grant.
4. Outturn data used in tables 3 and 4 has been derived from LEA returns for 1998–99 to 2000–01.
5. The estimates are based on actual student numbers for 1998–99 to 1999–2000 and projected student numbers for 2000–01 to 2002–03.
6. Costs by country of domicile have been estimated using proportions of students in England and Wales from:
(a) 1998–99 LEA assessment data for 1998–99 and 1999–2000, and
(b) 2000–01 SLC data for 2000–01 to 2002–03.