Higher Education: Student Loans

Lord Foulkes of Cumnock asked Her Majesty’s Government ‘what action they propose to take over the potential impact on university funding arising from lower than expected repayment of student loans?’ The Bishop of Chester asked a supplementary question:

14.03 Bishop of ChesterThe Lord Bishop of Chester: My Lords, I share the Government’s view that the higher education sector is in remarkably good health given the recession. However, does not setting fees at £9,000, which is far higher than fees in any other European country, imply a loans system that has its own element of generosity, including a repayment starting point of £21,000, rather than the original £16,000?

Lord Ahmad of Wimbledon: The right reverend Prelate raises an important point. I am sure he is aware that the Government have ensured that those universities that have chosen to raise their fees to the £9,000 limit have suitable access agreements so that those who come from disadvantaged backgrounds are given the opportunity to go to university. The Government’s policy remains that access to a university education should be based not on someone’s ability to pay but on their ability.

(via Parliament.uk)