Posts Tagged ‘Universities UK’

Justine Greening Wants Tories to Re-Introduce Maintenance Grants – More Lies from the Tories?

October 5, 2017

The I newspaper yesterday reported that Justine Greening, the Tory education minister, wants to reintroduce maintenance grants for the poorest students in order to combat Labour’s popularity with them over the issue of student debt.

The I wrote

Ministers are preparing plans to bring back university maintenance grants. The move is part of the “broader thinking” being undertaken by the Department for Education to implement policies that will have greater appeal to younger voters.

The level of debt in which graduates are leaving university has come under mounting scrutiny in recent months. Tuition fees became a major election battleground following Jeremy Corbyn’s promise to scrap the policy which saw young voters flock to Labour in their droves.

Over the weekend, Theresa May announced plans to freeze tuition fees at £9,250 a year while the income threshold at which graduates will be expected to start paying back their loans was raised from £21,000 to £25,000.

But I understands that the DfE wants to go further and bring back maintenance grants to help the poorest students as the Education Secretary, Justine Greening, battles with the Treasury to push through the plans.

“We didn’t think it is right that the poorest students come out of the university with the most debt,” a senior DfE source said.

The source refused to rule out that the plans could be contained in the Budget next month, although separate sources said the plans were not that advanced.

According to the Institute for Fiscal Studies, bringing back maintenance grants would cost just under £500m. the IFS published research yesterday showing that the Prime Minister’s plans to raise the repayment threshold would cost the taxpayer £2.3bn a year, and lead to 83 per cent of graduates never paying off the full amount of their loan.

The former Chancellor George Osborne announced in 2015 that maintenance grants would be scrapped in time for the start of the 2016 academic year as part of the Government’s austerity drive. The grants were kept by the devolved government in Scotland, Wales and Northern Ireland.

The move to abolish the funding meant students from the lowest-income households were forced to take out loans on top of their tuition fees loans to pay for living costs.

Labour has said it would bring back the grants, and the policy is gaining support from university vice-chancellors. Universities UK, which represents the majority of higher education institutions in Britain, said the return of maintenance grants would be a “welcome enhancement”.

Alistair Jarvis, UK’s chief executive, said: “Students tell us that it is cash in their pockets while studying that matters most.

“It is right to continue to examine how the current system can be improved to ensure that money isn’t a barrier for students.”

See Greening battles Treasury for maintenance grants return, in the I for Wednesday, 4th October 2017, page 4.

So an anonymous source in the Department of Education claims that Justine Greening would like to bring back maintenance grants, as Labour intends to do so, thus becoming massively popular with the young people looking at being saddled with massive debt. And other sources say the plans aren’t that advanced, and the Treasury don’t want it.

This shows that the claims is yet another lie, intended to make the Tories look more like they actually care about providing for the British public, rather than giving more money to the extremely rich.

Just as the article shows that Theresa May’s plan to cap student debt still would leave four-fifth of all students unable to pay it off.

And Mike has shown how May’s claim to freeze tuition fees actually represents an increase. And who’s going to bet that the freeze only lasts as long May decides it’s convenient. Which from the evidence of the rest of her broken promises, means that it’ll be dumped as soon as she gets back into power. Assuming that ever happens.

The Tories are lying to us again. Just like they always do. But students aren’t daft, and I doubt anyone is going to be taken it.

If you want to make sure our young people are able to go to uni to get the education they want, and which this country needs, then vote Labour so that Corbyn can do something about the monstrous level of student debt forty years of Thatcherism have inflicted on students.