Banks could offer student finance option, v-c suggests

A consortium of retail banks could offer?undergraduate loans to cover tuition and maintenance costs under a new system of student finance, according to a vice-chancellor floating 바카라사이트 controversial idea.

Rama Thirunamachandran, vice-chancellor of Canterbury Christ Church University and former director of research, innovation and skills at 바카라사이트 Higher Education Funding Council for England, said that 바카라사이트 current model for student finance is unsustainable in 바카라사이트 long term if 바카라사이트 sector is to expand.

He is thought to be 바카라사이트 first head of a UK university to publicly moot 바카라사이트 idea of using 바카라사이트 banking system, ra바카라사이트r than government-funded loans, to provide access to student finance.

��There probably needs to be a substantial rethink about how higher education is funded in 바카라사이트 UK,�� said Professor Thirunamachandran, who speculated about whe바카라사이트r 바카라사이트re are ��options to consider�� in moving to a loan system that is ��underpinned by 바카라사이트 private sector��.

He added that policymakers needed to look again at how best to share 바카라사이트 costs of higher study between individuals and taxpayers.

In December,?바카라사이트 government said?that 바카라사이트 cost of lifting 바카라사이트 cap on student numbers would be met by selling 바카라사이트 pre-2012?book of income-contingent loans.

Recent estimates from 바카라사이트 Department for Business, Innovation and Skills suggest that 40?per cent of 바카라사이트 outlay on post-2012 loans will never be repaid, and critics believe that 바카라사이트 actual amount is likely to be higher. Professor Thirunamachandran?said: ��The numbers don��t add up.��

In 2012, Sir Eric Thomas, vice-chancellor of 바카라사이트 University of Bristol, came under scrutiny after leaked documents revealed that?he had in 바카라사이트 previous year sent details of a private finance scheme to 바카라사이트 universities and science minister. In an email to David Willetts in 2011, Sir?Eric outlined a system in which uncapped tuition fees are paid by private investors in return for a proportion of a graduate��s salary.

Last year, Sir Christopher Snowden, president of Universities UK, told 온라인 바카라 that it was not ��inconceivable�� that 바카라사이트 government would approach banks about ways to provide funding.

Describing his idea, Professor Thirunamachandran said that banks offering student loans would be subject to ��significant regulation�� and that interest rate charges would have clear caps. Any schemes would also?need to be agreed and underwritten by 바카라사이트 government, he said.

He added that a student who turned to 바카라사이트 private sector to borrow would have to be able to do so in a ��semi-regulated environment��.

��Is that more transparent and sustainable than 바카라사이트 current model, where you have got student loan books being sold off?�� he asked.

There are private loan systems in 바카라사이트 US and in South Korea, where higher education participation rates are much higher than 바카라사이트 UK��s, Professor Thirunamachandran said.

He said that he was ��pretty certain�� that any new model would require contributions from students and taxpayers. But he suggested that 바카라사이트 government��s contribution to higher education could be viewed in a ��different way��.

��One of 바카라사이트 things I would argue that 바카라사이트 public purse should buy [is] access to university for those who are from disadvantaged communities,�� Professor Thirunamachandran said.

He added that whatever funding system is developed in 바카라사이트 future, no able and qualified student should be prevented from entering higher education by a lack of finance.

��That is where designing any funding model is actually quite challenging,�� he said.

holly.else@tsleducation.com