HC Deb 16 December 1985 vol 89 cc39-40W

Mr. Charles Wardle asked the Secretary of State for Education and Science if he will make a statement about levels of student grants and parental contributions in 1986–87.

Sir Keith Joseph

My right hon. Friend the Secretary of State for Scotland and I have agreed that, subject to Parliamentary approval, the main rates of student grant will be increased by around 2 per cent. in 1986–87. There will, in addition, be some adjustment to grant rates following the consultations on students' entitlement to certain benefits described in the White Paper on Social Security published today.

The parental contribution scale for 1986–87 will be adjusted upwards in line with earnings, as follows:

align="center">Parental contribution scale 1986–87
Residual income £ 1986–87 contribution £
8,100 —
8,200 —

Residual income£ 1986–87 contribution £
8,400 —
8,600 —
8,700 20
8,800 34
8,900 48
9,000 62
10,000 205
11,000 348
11,100 362
11,200 382
11,300 402
11,400 422
11,500 442
12,000 542
13,000 742
14,000 942
15,000 1,142
16,000 1,342
16,200 1,382
16,300 1,407
16,400 1,432
16,500 1,457
17,000 1,582
18,000 1,832
19,000 2,082
20,000 2,332
21,000 2,582
22,000 2,832
23,000 3,082
24,000 3,332
25,000 3,582
26,000 3,832
27,000 4,082
28,000 (maximum)4,300

Notes:

  1. (1) For 1986–87 the rate of contribution is assessed at £1 in £7 for residual incomes from £8,700 to £11,100; then £1 in £5 to £16,200; then £l in £4 thereafter. In 1985–86 the rate of contribution was assessed at £1 in £7 from £8,100 to £10,300; then £1 in £5 to £15,000; then in £4 thereafter.
  2. (2) The contribution payable may be less than the amounts shown on the scale, particularly at its top end. This will depend on the amount of the grant against which the contribution has to be set and whether any of the assessed contribution is offset by allowances for other dependent children.
  3. (3) The maximum parental contribution of £4,000 introduced in 1985–86 has been increased in line with earnings to £4,300 in 1986–87.