Wednesday 19th July 2017

(6 years, 9 months ago)

Commons Chamber
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Angela Rayner Portrait Angela Rayner
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I thank the hon. Gentleman for his intervention, but I cannot really say it any more clearly than we have said it. We said we would look at that, but that we would not do anything with it unless we could afford it.

I have put forward and will continue to put forward three things that the Government could do right away to help our students, including the hon. Gentleman’s family members. First, the Government have decided to freeze the repayment threshold, which they do not have to do. They could put it in line with earnings. Secondly, they could look at the percentage rate of the loans. It is 6.1%, but it does not have to be that much. It was the Bank of England rate plus 1%, which would now be 1.25%—considerably lower than the current 6.1%. Lastly, if the Government really care about social mobility and getting students into university, let them bring back maintenance grants.

Karen Lee Portrait Ms Karen Lee (Lincoln) (Lab)
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I was a nurse until a month ago. I was not even adequately paid, let alone overpaid. I got a bursary when I trained. I was a single parent and I could not have trained without it. The fact that nursing applications have fallen by 23% since the Government took away bursaries means that people like me will not be able to train. What are my hon. Friend’s comments on that?

Angela Rayner Portrait Angela Rayner
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I welcome my hon. Friend to this place. She makes an extremely important point. Ending nursing bursaries has had a negative impact on people applying to go to university to do nursing courses. As we look to exit the European Union, Members on both sides of the House know that we have to train and skill up our own workforce in order to provide all the nurses, doctors and other skilled workers we require. Conservative Members said during the general election campaign that they wanted to cut immigration. If they truly want to do that, they have to invest in young people in this country.

It seems that the Secretary of State believes that access to higher education simply ends with admissions. Figures from the Office for Fair Access show that the proportion of students dropping out before they finish their studies is at a five-year high. Disadvantaged students are nearly twice as likely to drop out than their more affluent peers.

--- Later in debate ---
Lord Johnson of Marylebone Portrait Joseph Johnson
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I suspect that the Opposition decided to do that spectacular U-turn when they realised what impact it would have on hard-working taxpayers up and down the country. As I have said, the proposal to write off student debt will add £3,500 to the debt carried by every household in the country.

Karen Lee Portrait Ms Karen Lee
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The decision to scrap the maintenance grant means that the most disadvantaged students will graduate with the highest level of debt. Does the Minister think that is fair?

Lord Johnson of Marylebone Portrait Joseph Johnson
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A better way of looking at it is that the Government are making the most resources available to the people who are most in need of them. We want people from disadvantaged backgrounds to go to university. We are delighted that they are doing so in record numbers, and that they are now 43% more likely to do so than they ever were before.