HC Deb 28 October 1982 vol 29 cc552-3W
Mr. Benn

asked the Secretary of State for Education and Science, in respect of the last three years for which figures are available(a)how many students in receipt of mandatory awards are estimated to have benefited by receipt of a higher grant payment as a result of the provision which enables mortgage interest payments to be deducted from gross parental or spouse income before grant entitlement is calculated,(b)what is the estimated total cost of this benefit in each year and(c)how many students in receipt of mandatory awards benefited by receipt of a higher grant payment as a result of being able to have rent payments deducted from gross parental or spouse income before grant entitlement is calculated.

Mr. Waldegrave

The provisions of the Education (Mandatory Awards) Regulations for the assessment of the parental or spouse's contribution broadly follow income tax practice: as a result, a deduction from gross income is made for mortgage interest but not for rent payments. The basis of assessment is however currently under review. No information is available on the cost of the deduction for mortgage interest payments nor on the number who have benefited.

Mr. Dobson

asked the Secretary of State for Education and Science whether, when considering student grant levels for 1983–84, he will take into account the reduced entitlement of students under the new system of housing benefit and recent increases in the student deduction.

Mr. Waldegrave

No. The level of a student's entitlement to housing benefit is not one of the factors taken into account in determining the level of student grants. However, my right hon. Friend the Secretary of State for Social Services will take account of the level of student grant when determining the level of the student deduction for housing benefit purposes.

Mr. Dobson

asked the Secretary of State for Education and Science how many award holders qualify for the older students' allowance.

Mr. Waldegrave

In the academic year 1980–81, the latest date for which information is available, 14,000 students in receipt of mandatory and full value discretionary awards qualified for the older students allowance. Payment of this allowance is subject to a means test.

Mr. Dobson

asked the Secretary of State for Education and Science what was the average grant paid by local education authorities to students on mandatory awards in 1982–83; and how this compares with 1981–82, both in money and real terms.

Mr. Waldegrave

Final data for 1981–82 is not yet available. However, it is estimated that in the academic year 1981–82 the average grant paid by local education authorities to students receiving mandatory awards was £1,240. It is further estimated that the corresponding figure for the academic year 1982–83 will be £1,220. At 1981–82 prices this latter figure is equivalent to £1,140. These estimates are based on assumptions about the increase in parental incomes, and hence in the parental contribution, which are uncertain.

Mr. Dobson

asked the Secretary of State for Education and Science how many students were assessed for a parental contribution for the academic year 1982–83; and how this compares with 1981–82.

Mr. Waldegrave

It is estimated that about 220,000 parents in England and Wales were assessed in 1981–82 as making a contribution towards their children's student maintenance. It is estimated that in 1982–83 academic year this number has increased to about 240,000.

Mr. Dobson

asked the Secretary of State for Education and Science how the extra weeks' payment, which is payable to those students who study for more than 30 weeks three days in a year, is calculated; and if he will consider including elements for books and course costs in this section of the student grant.

Mr. Waldegrave

In response to representations from those students who have to attend their courses for longer than the normal 30 weeks three days, rates of additional grant for extra weeks attendance for the academic year 1982–83 were not calculated on the basis of the established formula, which would have given an increase of just under 1 per cent., but were instead increased by 4 per cent. in line with the increase in the main rate of grant. My right hon. Friend will consider the best method to adopt when calculating future levels of additional grant for extra weeks' attendance.