UK: Grants frozen as fees rise

The UK government has frozen maintenance awards for English university students but announced a 2% rise in tuition fees.

Higher Education Minister David Lammy told MPs: "We have decided to maintain the current package of maintenance support for full-time students, reflecting the current low inflationary environment. In 2010-11 students starting a full-time course will be eligible for the same level of up-front maintenance support that was available for new students in 2009-10."

The full maintenance grant is £2,906, while the family income threshold needed to qualify for a full maintenance grant will remain at £25,000, while the income ceiling for a partial grant is £50,020.

The fees loan of up to £3,290 a year is increased by 2% to reflect the up-rating of the maximum tuition fee level. But Wes Streeting, President of the National Union of Students, attacked the plan to peg grants while allowing tuition fees to rise.

"Students are already racking up thousands of pounds of debt, and in a recession every penny counts. It appears that the inflation rate is being applied where it suits universities, but not where it will improve student support," Streeting said. "In the context of the current recession, these real terms cuts in student support will be felt in students' pockets."

Shadow Universities Secretary David Willetts said: "In his first week as Prime Minister, Gordon Brown said there would be an extra increase in financial support for students but he has run out of money and has been cutting back support for students ever since. It is poorer students in particular who will be hit by these reductions. This is why we need to get on with the long-promised student finance review to do more to help students from poorer backgrounds."

Diana Warwick, Chief Executive of Universities UK, which represents vice-chancellors, called the freeze on maintenance support unfortunate.

Sally Hunt, General Secretary of the University and College Union, said: "This is a kick in the teeth for the thousands of people who have already applied to university. We should be doing all we can during these difficult times to make education and learning as accessible as possible. For all the Prime Minister's warm words and promises that education would not become a victim of the recession, we are yet to see any actions to back up his rhetoric."

david.jobbins@uw-news.com