As per an independent review ordered by the Prime minister, university tuition fees in England should be reduced up to £7,500. Also, student loan repayment should continue for 40 instead of 30 years. There are many more recommendations which include the interest charged on loans while students are studying; however extending the loan repayment period for about 40 years.
The current cap is £9,250, which clearly shows that students are paying too much for their degrees. The reports recommend axing the punitive interest payments that students face at the time when they are still at university.
Graduates should also start paying back their loans at the time when they earn about £23,000, Instead of the current repayment verge of about £25,000. The review says that the student loan system is weakly understood and should be renamed as the student contribution system. It also says that tested maintenance grants should be reintroduced among the neediest students handed £9,000 for the course of their degree. Prime Minister Theresa May ordered the review of post 18 educations last February after observing pressure of Jeremy Corbyn’s general election pledge to abolish tuition fees.
Today in her speech Ms. May will approval to the reintroduction of maintenance grants, she will also argue that ‘removing them from least well off students have not worked at all and it is to believe that it is the time to bring them back.’
She will say that ‘ there is much more to say for panel’s proposal to reduce fees and top up the money from the government, protecting the sector’s income, however focusing more of that investment on top quality and high-value courses.’
On the other hand as per the cabinet source, ‘the cost of the measures summarizes d by the PM tomorrow come at £6 billion annual to the taxpayer. The future leader would have considered regarding the choices ahead of them and where best to spend the funds.’
The report’s findings are expected to be adopted by the person who wins the race to succeed Ms. May, as winning younger voters has been earmarked as the main concern for all leadership contenders. As per the review, the current higher education fee structure leads to disappointment for a small but chief minority of students.
The lifting to student number controls in England in 2015 offered universities free rein to take on as many graduates as they see fit. However, it leads to accusations they at present act like businesses searching to enhance revenue by recruiting as many as possible students on poor quality courses.
Approximately 50 percent of 18-year-old at present take places at university, but vast preponderance does not succeed to pay back loans as a whole, and which lead to rising concern regarding the cost of the public purse. As per the review ‘generous as well as undirected funding has led to an oversupply of graduates in many significant sectors.’
According to Mr. Augar, the post 18 study is a story of both care and desert ‘with universities take pleasure in huge amounts of public funding, at the same time as vocational and technical education has been subjected to a steady, steep decline in cash .’
He also recommended that inoculation of about £1 billion capital investment in advance education colleges along with the prologue of an all-time learning loan allowance for higher technical or else degree level qualification.
Also, chief executive of Universities UK, Alistair Jarvis, alleged that unless the government offers a ‘ cast-iron guarantee regarding full replacement funding, the reduction in tuition fees ‘ could attest to be a wolf in sheep’s clothing.’ He added that while he welcomes several proposals, a cut in fees will hurt students and will also damage universities along with decrease the number of highly skilled employees that business requires and will also diminish the UK’s international competitiveness.
