HC Deb 11 December 2003 vol 415 cc612-3W
Mr. Cousins

To ask the Secretary of State for Education and Skills what(a) fee remission systems, (b) grants and (c) bursaries he proposes for (i) higher education and (ii) other level 4 courses delivered through the further education system. [142635]

Alan Johnson

[holding answer 9 December 2003]: The HE White Paper sets out our proposals for student support. From 2004, we are introducing a grant worth up to £1,000 to assist students from low-income backgrounds. The full grant will be available to those whose household income is below £15,200, estimated to be around 30 per cent. of students. This is in addition to the loans available for students' living costs, currently of up to £4,930 and a grant for tuition fees currently worth up to £1,125 a year. From next year, the hardship loan fund will be merged into the Access to Learning Fund. All payments of grants will be non-repayable and will be delivered through universities and colleges. Students with dependants and disabled students will continue to benefit from a series of grants that are designed to assist with the cost of entering higher education. We are also introducing a more flexible package of support for part-time students. Full details on the 04/05 student support package were announced on 3 December 2003, Official Report, column 61WS.

From 2006, students will no longer have to pay upfront fees. Instead, we will offer a loan for fees, which with the maintenance loan will be repayable after graduation once earnings exceed £15,000. Any institution that wishes to charge higher fees must first have an access agreement, approved by the Office for Fair Access (OFFA). We are considering and discussing the content of access agreements, including bursaries and other financial support, and the role of OFFA, and will make an announcement in due course.

Michael Fabricant

To ask the Secretary of State for Education and Skills pursuant to the oral answer given by the Prime Minister to the hon. Member for Nottingham, South (Alan Simpson) on 3 December 2003,Official Report, column 504, if he will publish the alternative methods for funding higher education being considered by his Department. [142735]

Alan Johnson

[holding answer 9 December 2003]: I refer the hon. Member to the letters from my right hon. Friend the Secretary of State to my hon. Friend the Member for Newcastle-under-Lyme (Paul Farrelly) dated 11 April, 3 June and 12 November, and also to our response to the Education and Skills Select Committee of 28 July. Copies of all these documents have been placed in the House Library. We will be providing further information in due course.

Mr. Drew

To ask the Secretary of State for Education and Skills how many students in each university are receiving(a) full fee remission and (b) bursary support. [143102]

Alan Johnson

[holding answer 9 December 2003]: The information requested has been placed in the Libraries.

Mr. Drew

To ask the Secretary of State for Education and Skills what research he has commissioned into students' risk aversion to debt. [143104]

Alan Johnson

[holding answer 9 December2003]: The Department has recently published results from the 2002–03 Student Income and Expenditure Survey. This showed that more students are taking on debt; 92 per cent. of students anticipated leaving university with debts in 2002–03. All students are taking on more debt on average, partly as a result of the complete replacement of mandatory grants with student loans, and partly to finance higher levels of expenditure.

In addition, in 2001 the Department published research entitled, 'Social Class and Higher Education: Issues Affecting Participation by Lower Social Class groups' which amongst other things explored the relationship between social class and students' attitudes to debt. This research showed that most potential and current students accepted that they would accumulate debt but felt that the investment was worthwhile and that most current students were confident about paying back the debt they were accruing.

Both research reports are available from the Department's website at http://www.dfes.gov.uk/research/