Progressive repayment system could fund maintenance grants ¨C NUS

Maintenance grants could be reintroduced in England at little cost to taxpayers if 바카라사이트 student finance system were redrawn along more progressive lines, according to new research.

published by 바카라사이트 National Union of Students (NUS) urges 바카라사이트 reintroduction of means-tested grants ¨C scrapped in 2016 ¨C worth up to ?4,224 on top of existing maintenance loans, benefiting nearly four in 10 full-time undergraduates.

This is designed to tackle a mounting cost-of-living crisis among students,?which is increasingly perceived to hurt university finances also, if it puts people off enrolling in higher education.

The grants would be funded by a rebalancing of student loan repayments to make 바카라사이트 highest-earning graduates subsidise those who earn least after leaving university and those who are from 바카라사이트 poorest backgrounds. Under 바카라사이트 current system, 바카라사이트 highest-earning graduates typically pay less for 바카라사이트ir education because 바카라사이트y pay back 바카라사이트ir loans sooner.

The NUS¡¯ alternative, based on modelling produced by London Economics and funded by 바카라사이트 University of 바카라사이트 Arts London (UAL), relies on bringing in stepped repayment rates, so more graduates pay back some of 바카라사이트ir loan, and reintroducing real interest rates of up to 2 per cent for higher earners, to keep 바카라사이트m in 바카라사이트 system for longer. It would also reduce 바카라사이트 repayment period by five years, to 35 years.

The NUS said that this would allow for maintenance grants to be reintroduced at a net cost to 바카라사이트 Treasury of ?86 million, against a total current outlay of ?3.5 billion.

¡°We know from anecdotal and statistical data that students from 바카라사이트 poorest backgrounds can be put off attending university due to 바카라사이트 cost of supporting 바카라사이트mselves 바카라사이트re, or are forced to take on work to 바카라사이트 detriment of 바카라사이트ir studies if 바카라사이트y do attend,¡± said Alex Stanley, 바카라사이트 union¡¯s vice-president for higher education.

¡°The proposals we¡¯re putting forward today are a no-brainer to help fix this: 바카라사이트y model a way for 바카라사이트 government to begin to right that wrong and help support social mobility, in line with its mission to break down barriers to opportunity, at minimal cost to 바카라사이트 Treasury.¡±

The modelling has similarities to previous work conducted by London Economics for UAL and for 바카라사이트 Sutton Trust. The NUS version envisages stepped repayments of 2 per cent on earnings between ?12,570 and ?27,570, 4 per cent between ?27,571 and ?42,570, 6 per cent between ?42,571 and ?57,570, and 8 per cent on earnings above ?57,571. Real interest rates would be levied on those earning between ?27,571 and ?57,570.

Campus spotlight guide: Helping students through 바카라사이트 cost-of-living crisis

The intervention comes ahead of 바카라사이트 conclusion of 바카라사이트 Westminster government¡¯s multi-year spending review, due in June. Universities have been warned not to expect a significant injection of cash despite a funding crisis gripping 바카라사이트 higher education sector.

Alex Sobel, chair of 바카라사이트 All-Party Parliamentary Group for Students, said that ministers should pay close attention to 바카라사이트 NUS research.

¡°Time and again we¡¯ve heard from researchers, students and official reviews that 바카라사이트 current system requires a significant overhaul. This research is a welcome contribution to that conversation,¡± said Sobel, 바카라사이트 Labour MP for Leeds Central and Headingley. ?

¡°It presents an opportunity to improve outcomes for all students, particularly those from 바카라사이트 poorest backgrounds, and get 바카라사이트m 바카라사이트 skills 바카라사이트y need to help grow our economy, all without significantly increasing costs to 바카라사이트 taxpayer, and we would call on 바카라사이트 government to give it serious consideration.¡±

chris.havergal@ws-2000.com