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Students: Finance

Volume 506: debated on Tuesday 23 February 2010

To ask the Minister of State, Department for Business, Innovation and Skills what the cost of (a) fee loans, (b) maintenance loans and (c) maintenance grants for full-time higher education students and (i) fee grants and (ii) maintenance grants for part-time higher education students is expected to be in (A) 2009-10 and (B) 2010-11. (317088)

The current estimated provisions for 2009-10 and 2010-11 for England only are:

£million

Programme

2009-10

2010-11

Maintenance Loans (RAB cost)

584

606

Tuition Fee Loans (RAB cost)

722

782

Maintenance Grants

929

1,076

Part-time Support

41

43

As fee grants and maintenance grants are not treated separately for part-time higher education students accounts it is not possible to provide a breakdown of this figure.

The Resource Accounting and Budgeting (RAB) cost figures represent the cost to the Government, not the cash made available to students for their support, tuition fee or payments made to universities on behalf of students. RAB costs are made up of interest rate subsidy together with the costs of loans that are not repaid as a matter of policy, for example loans that are written off after 25 years, or death.

To ask the Minister of State, Department for Business, Innovation and Skills what the resource cost of (a) fee loans and (b) maintenance loans for full-time higher education students in England was in the latest period for which figures are available. (317089)

In financial year 2008-09, the resource cost to Government of tuition fee loans was £546 million, and maintenance loans was £574 million for full-time higher education students in England. These costs are made up of interest rate subsidy together with the costs of loans that are not repaid as a matter of policy, for example loans that are written off after 25 years, or death.