Grants replaced by loans for UK students – Point to Ponder!
One of the most surprising news that makes one wonder is that from now onwards students across the universities of England would not be given any grants. Yes! You read it right the UK government had announced in July 2015 that students would need to switch from grants to maintenance loans. However, it was not taken well by either the students or the National Student Union.
Before this decision, students from low income families that could not manage an annual income of £25,000 or less were given a grant worth £3,387 for their yearly academic expenses. And now this would not be offered. Instead students would be asked to take a loan for their education. The news is not received well by student communities across the UK.
According to Sorana Vieru, vice president of NUS UK, “It’s a disgraceful change that basically punishes poorer students simply for being poor, so they have to take a bigger loan than those students from privileged backgrounds. It could put off students from underprivileged backgrounds from applying, who might not understand how the loan system works, or are very debt-averse.”
On the other side, the chancellor George Osborne kept the other side of the story by stating that “basic unfairness in asking taxpayers to fund grants for people who are likely to earn a lot more than them”. He also voiced in favour of maintenance grant change by saying that it “helps balance the need to ensure that affordability is not a barrier to higher education, while ensuring that higher education is funded in a fair and sustainable way”.
This way, the year 2016 will find more student loans than ever before. Although, it may prove a lot harder than last year, students need to manage their finances and living costs through the loans. There is no other ‘grant out’.
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