(7 years, 9 months ago)
Commons ChamberThat was a hell of a lot more than two seconds, but I forgive the hon. Lady. We need to look at this issue in the context of our proposal, to which I have already alluded.
New clause 6 deals with yet another regressive policy that has been highlighted during the passage of this Bill. My hon. Friend the Member for Ilford North spoke about some of the significant issues in this regard. The students affected will end up having to pay more than they were loaned as a greater proportion of their income. To those who have, more will be given, because they can pay their loans back more speedily; from those who have not, more will be taken. The Government seem to have been disregarding in their education policy the fact that there is a regional and demographic dimension to this as well. Constituents of mine taking up a graduate job in the past 12 months will have had a more reasonable ability to hit a threshold that was supposed to be uprated on a regular basis. Students in parts of the country where starting incomes for graduates are much lower than in London and the south-east will be particularly badly hit by this proposal.
Does the hon. Gentleman accept that the situation he describes particularly hits students in places like Northern Ireland where starting salaries are much lower? Does he also accept that the Minister’s point about the affordability of this is a red herring, because when the loans were sold to students, surely the cost of raising the thresholds was taken into consideration? The Government cannot now go back and say, “We want to rewrite the rules.”
The hon. Gentleman is absolutely right, as he is to make that point about the situation for students in Northern Ireland. When we discussed this matter in the Opposition day debate and again in Committee, we made the point that students in Northern Ireland, Wales and Scotland—the students of all of the devolved Administrations—would be affected by this process. It is nonsense for the Government to say that this will not make any difference. The Minister said to my hon. Friend the Member for Sheffield Central (Paul Blomfield) that the RAB charge was now okay, but as my hon. Friend said, it is only okay because this Government—the Minister and the rest of his colleagues—have created a Frankenstein’s monster that is going to cause problems for so many thousands of students.