Post-18 Education and Funding

Carol Monaghan Excerpts

Tuesday 4th June 2019 Commons Chamber

[Damian Hinds]

My right hon. Friend has been a consistent champion of apprenticeships—specifically, degree-level apprenticeships. I thank him and the Committee for their work on that, including the wider work he mentions on higher education. I confirm that I think degree-level apprenticeships play a very important role in our system.

[Carol Monaghan (Glasgow North West) (SNP)]

Elements of the review should be welcomed. It is encouraging that the UK Government finally recognise the barrier that tuition fees can place in the way of a young person’s decision to go to university, but I suggest that the recommended reduction in fees is the bare minimum, rather than a meaningful reduction, for the young people who are considering this pathway. The Scottish Government will study the review’s recommendations carefully to examine the impact on the college and university sectors in Scotland.

UCAS figures currently show that the number of Scots winning a place at university, including those from disadvantaged backgrounds, is at a record high. That is a testament to the Scottish Government’s commitment to free education. I therefore welcome the recommendation that students from a low-income background in England will have maintenance grants reinstated, following the example set by the Scottish Government for low-income students.

The reduction in earnings threshold for repayment will hit those on a low income hardest. That, in addition to increasing the repayment time from 30 years to 40 years, will have far greater impact on low earners, who will have little hope of repaying early and will therefore accrue additional loan interest. What assessment has the Secretary of State made of the impact on lower earners of the earnings threshold reduction and longer loan repayments?

Universities have raised concerns that unless the income shortfall is made up by Government funding they will pay the financial penalty for these proposals. Will the Secretary of State confirm that the Government will make up the funding shortfall?

Finally, the review was carried out at the request of a Prime Minister now serving her last week in power. Will the Secretary of State assure the House that the proposals are to be considered now as firm Government policy, and that they will not be shelved once the Prime Minister departs and a new Tory leader takes over?

[Damian Hinds]

No, that is not correct. This is an independent panel report that feeds into the wider process of the Government’s review into post-18 education and its financing. As I said to the hon. Member for Ashton-under-Lyne (Angela Rayner), who speaks for the Opposition, we will of course consider very fully all the recommendations.

The hon. Member for Glasgow North West (Carol Monaghan) asked about repayment thresholds. I might ask her why Scottish students are still waiting—and, I gather, will still be waiting until 2021—for the recommendation made by her independent review into repayment thresholds to be put in place. She talked about barriers to young people going into higher education. I am afraid that the reality is: in England, we have record numbers of people going into higher education. In Scotland, as a direct result of her policy, the number of university places remains capped, which limits the number of young people who can benefit from the opportunity of going to university. The impact of that is that the disadvantage gap, if we look at England, Scotland and Wales, is biggest of all in Scotland.