student finance

Student Finance

1. Changes to fees in 2012

2. What finance is available

3. Applying for finance

• Teaching budgets to be cut by 82% - from £4billion to £700million over 4 years.

• For some courses, public funding is being removed entirely.

• New £150m National Scholarships Scheme for “bright potential students from poor backgrounds”.

Government changes to Higher Education

• Universities can charge a basic threshold of £6,000 per year for tuition fees (current max. = £3,375)

• In “exceptional cases”, some universities will be able to charge up to £9,000, on approval by the Office For Fair Access (OFFA).

Proposed changes - Tuition Fees

by 19 April deadline of the 80 universities that had confirmed their 2012 planned fees, nearly 70% want to charge the full £9,000 for all or some courses

Maintenance grant

• £3,250 (household income below £25,000)• £50 - £3250 (income £42,600 - £25,000)

non-repayable

Loans

Tuition fee loan• maximum value = £9,000

(paid direct to university)

repayable when earnings reach £21,000

Maintenance loan• 78% available to all / 28% depends on

household income (2011-2012)• max. value = £4375/ 5500/ 7675

repayable when earnings reach £21,000

Bursaries

• variable value; awarded by university non-repayable

• No repayments until after you are earning £21,000 (currently £15,000)

• Repayment = 9% of income above £21,000

• All outstanding repayments written off after 30 years.

Proposed changes - repayments

Interest rates: RPI (inflation) + 3% during study

graduate salary proposed interest rate

below £21,000 RPI

£21,000 - £41,000 RPI – RPI + 3%

above £41,000 RPI + 3%

SalaryAmount of salary from

which 9% will be deductedMonthly

repayment

£25,000 £4,000 £30

£30,000 £9,000 £67.50

£35,000 £14,000 £105

£40,000 £19,000 £142.50

£45,000 £24,000 £180

£50,000 £29,000 £217.50

£55,000 £34,000 £255

£60,000 £39,000 £292.50

Proposed repayments

How to applyLogon to www.direct.gov.uk/sf-apply and register

When to apply Registration opens in March

When you receive your money

Payments are made after you have started your university course not before - so make contingencies !