Student Maintenance Support Frozen As Tuition Fees Increase

Fri, 03 Jul 2009

Student maintenance grants and loans are to be frozen for the 2010-11 academic year, under new Government plans.

Students starting undergraduate courses in September 2010 will only be eligible for the same level of maintenance loans as is available in the upcoming 2009-2010 academic year – the first freeze since the system was introduced.

The full maintenance grant, which is payable to students whose total family income does not exceed £25,000, will also remain at the 2009-10 level of £2,906.

Higher education minister David Lammy also announced that tuition fees will be raised by 2.04 per cent from September 2010, but added that student loans will also increase to £3,290 to cover the rise in fees .

In a statement, Mr Lammy said: "In these difficult economic times, we are continuing to take difficult decisions in the interests of students, universities and taxpayers alike."

"We have therefore decided to maintain the current package of maintenance support for full-time students, reflecting the current low inflationary environment."

The Russell Group, an association of 20 leading universities, said the announcement "demonstrates the difficult decisions that have to be made during a recession, but it remains vital that income from fees keeps pace with inflation ".

Director general Wendy Piatt commented: "The introduction of fees has managed to halt a long term decline in funding per student but funding for higher education in Britain is still significantly lower than in most other OECD countries."

"The system of student support in England remains one of the most generous - and expensive - in the world."

However, Wes Streeting, president of the National Union of Students (NUS), criticised the move, saying: "Students are already racking up thousands of pounds of debt, and in a recession every penny counts."

"It appears that the inflation rate is being applied where it suits universities, but not where it will improve student support ."

"In the context of the current recession, these real terms cuts in student support will be felt in students’ pockets."
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