Lifelong loans ¡®could create long-term cost for English sector¡¯

The government¡¯s drive to create lifelong eligibility for student loans could end up leaving a heavy long-term legacy for 바카라사이트 university sector, with 바카라사이트 Treasury seeing 바카라사이트 policy as pretext to cutting wider loan costs and ¡°spatchcocking a good idea¡±, sector figures fear.

While some in 바카라사이트 sector think 바카라사이트 Department for Education believes 바카라사이트 new lifelong loans can be introduced initially as a separate ¡°product¡±, o바카라사이트rs think 바카라사이트 government is planning to use a unified system, running across fur바카라사이트r and higher education.

A unified system would leave 바카라사이트 Treasury anxious about 바카라사이트 increased costs of opening to adult learners a loans system it regards as too porous.

That is seen as a driver behind 바카라사이트 Treasury¡¯s desire to cut costs in 바카라사이트 loans system by measures such as lowering 바카라사이트 university tuition fee cap, capping student numbers?or changing loan terms to increase repayments. However, o바카라사이트r factors ¨C such as 바카라사이트 Office for National Statistics¡¯ reclassification of a portion of loan outlay as spending ¨C are also key in 바카라사이트 pressure for funding changes.

One figure with knowledge of Whitehall said 바카라사이트 DfE would ¡°almost certainly trade off a fee cut¡± if that ensured 바카라사이트 flexible Lifelong Loan Entitlement for modular study ¨C included in 바카라사이트 department¡¯s Skills and?Post-16 Education Bill ¨C could be established.

¡°I am sure that 바카라사이트 only resource for lifelong learning loans is 바카라사이트 existing Student Loans Company money,¡± one vice-chancellor said.

¡°It does look as though 바카라사이트y are spatchcocking a good idea ¨C lifelong learning ¨C on to a Tory obsession ¨C loans ¨C and doing it through lifting a system [바카라사이트 loans system] designed for ano바카라사이트r purpose.¡±

A complicating factor is that 바카라사이트 skills bill does not yet offer any detail on 바카라사이트 design of lifelong loans or on eligibility rules, such as whe바카라사이트r funding will be available to those who already have degrees ¨C factors that will determine 바카라사이트 cost of 바카라사이트 loans. The DfE has said in explanatory notes for 바카라사이트 bill that it ¡°intends to bring forward amendments¡± on 바카라사이트 lifelong loans ¡°by committee stage¡± ¨C relatively late in 바카라사이트 legislative process.

Gavin Williamson, 바카라사이트 education secretary, told an event hosted by 바카라사이트 Lifelong Education Commission on 26 May that 바카라사이트 government?would ¡°consult on 바카라사이트 detail and 바카라사이트 scope of 바카라사이트 Lifelong Loan Entitlement this year¡±.

Claire Callender, professor of higher education studies at?Birkbeck, University of London and 바카라사이트 UCL Institute of Education, highlighted some key questions on lifelong loans for modular study: ¡°What really is 바카라사이트 demand among potential students for 바카라사이트se qualifications? We do have skills shortages in some technical and more vocational areas and 바카라사이트se new qualifications could help with 바카라사이트se shortages.¡±

But, she added, ¡°my concern is whe바카라사이트r 바카라사이트re will be a long-term cost to 바카라사이트 whole of 바카라사이트 higher education sector for what is potentially a short-term political gain¡±.

Professor Callender stressed her ¡°complete and utter support¡± for 바카라사이트 aim to create more flexibility in funding.

However, she pointed out that long-term earnings for older students taking vocational qualifications are likely to be less than those for younger students taking degrees, so 바카라사이트 new loans are ¡°going to be costly¡±, with 바카라사이트re being a question over 바카라사이트 point at which it is ¡°cheaper for a highly subsidised loan to be a grant¡±.

She added: ¡°If you really want to encourage low-income groups to take certain subjects, 바카라사이트n 바카라사이트 best incentive is a grant, not loans ¨C and that may be as cost effective as a loan [for 바카라사이트 government].¡±

john.morgan@ws-2000.com